Education Minister Maszlee Malik said the process to remove them from a travel blacklist began in stages on May 24, and would be completed by June 15.

But the CEO of the higher education fund, Wan Ahmad Wan Yusoff said defaulters would still be listed under the Central Credit Reference Information System (CCRIS), barring them from obtaining bank loans.

Names listed in the CCRIS are barred from obtaining bank loans.

Wan Ahmad said PTPTN borrowers could still negotiate an amount they can afford to pay.

“If they are supposed to pay RM100 a month but cannot afford it, they can still pay RM50. This way, they can be eligible to apply for loans to buy a car, house and other purchases,” he said.

Meanwhile, Maszlee said more than a million borrowers had been placed on the immigration blacklist since 2000, but 655,000 of them had cleared their debts.

He said PTPTN borrowers who earn a monthly income of RM4,000 and below would be allowed to defer repayment.

But he said that the ministry was still studying a repayment mechanism, adding that an announcement on it will be made in the next two months, within the 100 days of Pakatan Harapan coming to power.

“We hope PTPTN borrowers will fulfil their responsibility by continuing to repay their debts,” he said.