KUALA LUMPUR: Several banks have announced that they will not be compounding interest for its customers during the six-month moratorium period announced recently by Bank Negara Malaysia (BNM). RHB Banking Group, Public Bank, MALAYAN BANKING BHD (Maybank), CIMB Bank Bhd, OCBC Bank (Malaysia) Bhd and HSBC Malaysia are among the banks that have announced non compounded interest or profit during moratorium period for retail and SME customers. RHB Banking Group is the first local bank to announce its offer. The bank announced that it will not be compounding interest during the six-months repayment deferment for banking facilities. This will, however, be applicable to retail and SME customers only and will take effect from April 1, 2020. For Islamic financing, RHB will continue to observe the principle of no compounding of profit. RHB said the Moratorium will apply automatically to all RHB Bank and RHB Islamic Retail and SME customers, with the exception of loans/financing facilities th ...
