Origin of Fintech
FinTech started by WeChatPay and followed by AliPay in China many years ago. Both are eWallets where customers have to deposit money into their account or their credit card or direct debit card are linked to it. There was no cause for alarm.
A year or two ago, eWallets were introduced by GrabPay and Touch n Go in Malaysia, there were no problems as most if not all customers spent within their means. It operated like the internationally known PayPal where the account is linked to the bank account or credit card.
Digital Microloans
The emergence of Digital Microloan that is of concern to the nation!
We all support the government to make life easier for the Rakyat especially the B40s so that they will be easily accessible for loans through financial schemes such Digital Microloans to help them. However, at this juncture there are no laws in place to govern Digital Microloans to protect the vulnerable B40s of which consist mainly of students and low income households.
It must be noted that out of a sudden in January 2021 the Governor of Bank Negara Malaysia (BNM) (Malaysia Central Bank), Tan Sri Nor Shamsiah Bte Mohd Yunus, had announced that BNM had opened invitations for companies to apply for Digital Banking Licence from January 2021 and closing date was 30 June 2021. This Digital Banking Licence issue went quiet until early this year. Suddenly BNM had said that it will award this licence to the
