{"id":2999,"date":"2026-01-20T17:47:20","date_gmt":"2026-01-20T17:47:20","guid":{"rendered":"https:\/\/malaysian-business.com\/wptest\/2026\/01\/20\/alliance-bank-announces-non-compounding-interest-on-loans\/"},"modified":"2026-01-23T17:47:58","modified_gmt":"2026-01-23T17:47:58","slug":"alliance-bank-announces-non-compounding-interest-on-loans","status":"publish","type":"post","link":"https:\/\/malaysian-business.com\/portal\/2026\/01\/20\/alliance-bank-announces-non-compounding-interest-on-loans\/","title":{"rendered":"Alliance Bank Announces Non-Compounding Interest on Loans"},"content":{"rendered":"<p><strong><em>Kuala Lumpur, 27 March 2020<\/em><\/strong> \u2013 Alliance Bank Malaysia Berhad (\u201cAlliance Bank\u201d or the \u201cBank\u201d) today announced that all individual and small and medium enterprise (SME) customers will be automatically enrolled for the 6-month moratorium<a href=\"#_ftn1\" name=\"_ftnref1\">[1]<\/a> on loan\/financing repayments beginning 1 April 2020 until 30 September 2020.<\/p>\n<p>\u201cWe welcome Bank Negara Malaysia\u2019s announcement on the six-month moratorium as it provides clear relief to both businesses and consumers who have existing financing and are facing short-term cash flow constraints,\u201d said Mr. Joel Kornreich, group chief executive officer of Alliance Bank.<\/p>\n<p>\u00a0\u201cFollowing BNM\u2019s announcement, we are pleased to announce that interest on conventional loans will not be compounded during the moratorium period. This is to help alleviate the financial burden of our individual customers and SME clients during the moratorium period,\u201d added Mr. Kornreich.<\/p>\n<p>In accordance with Shariah principles, the profit for Islamic Financing is not compounded. During the 6-month moratorium period, the interest\/profit on the deferred loan\/financing repayments will continue to accrue.<\/p>\n<p>Credit cardholders may convert their outstanding balances into a 3-year term loan tenure at an effective interest rate of 13.0% p.a.<\/p>\n<p>Individual customers and SME clients with loans\/financing who wish to opt out from the automatic 6-month moratorium may do so by replying to the SMS notification sent by Alliance Bank by 30 March 2020. The Bank\u2019s relationship managers have also been actively engaging with its corporate and commercial clients during this time to provide moratorium and other loan restructuring solutions. \u00a0<\/p>\n<p>To-date, the Bank has approved financing of over RM230 million to affected businesses and consumers under several financial relief initiatives, one of which being the COVID-19 Special Financing Facility for SMEs.<\/p>\n<p>Customers who would like to find out more about the Bank\u2019s financial relief programmes may visit the Bank\u2019s corporate website at <a href=\"http:\/\/www.alliancebank.com.my\">www.alliancebank.com.my<\/a>. \u00a0<\/p>\n<p>\u00a0<\/p>\n<p>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kuala Lumpur, 27 March 2020 \u2013 Alliance Bank Malaysia Berhad (\u201cAlliance Bank\u201d or the \u201cBank\u201d) today announced that all individual and small and medium enterprise (SME) customers will be automatically enrolled for the 6-month moratorium[1] on loan\/financing repayments beginning 1 April 2020 until 30 September 2020. \u201cWe welcome Bank Negara Malaysia\u2019s announcement on the six-month [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[],"class_list":["post-2999","post","type-post","status-publish","format-standard","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/posts\/2999","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/comments?post=2999"}],"version-history":[{"count":1,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/posts\/2999\/revisions"}],"predecessor-version":[{"id":3688,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/posts\/2999\/revisions\/3688"}],"wp:attachment":[{"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/media?parent=2999"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/categories?post=2999"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/malaysian-business.com\/portal\/wp-json\/wp\/v2\/tags?post=2999"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}