KUALA LUMPUR (March 4): The Consumer Credit Bill 2025, which aims to establish the Consumer Credit Commission (CCC) as the new authority regulating non-bank credit providers and credit service providers in Malaysia, was tabled for its first reading in the Dewan Rakyat on Tuesday.

Deputy Finance Minister Lim Hui Ying tabled the Bill, with its second reading scheduled for the next parliamentary session.

According to the blue bill book circulated in Parliament, Clause 7 outlines the CCC’s functions, which include advising the minister and government on consumer credit matters and policies.

The clause also detailed the commission's role in promoting ethical conduct among credit providers, supporting the growth of the consumer credit industry, and carrying out related duties under the Act.

Clause 8 grants the commission regulatory authority over consumer credit matters, including the power to impose fees and penalties, conduct investigations, and establish standards or guidelines related to consumer credit.

Meanwhile, Clause 41 stipulates that any person intending to operate a credit business must apply to the commission or registrar, while Clause 44 states that a person cannot be licensed without meeting the minimum financial requirements set by the commission or registrar.

Regarding conduct requirements, Clause 86(4) states that upon receiving an application for financial hardship assistance, a credit provider must assess whether such assistance should be granted.

During this assessment, the credit provider is prohibited from initiating legal proceedings, enforcement actions, or other legal processes against the consumer.

Additionally, Clause 127 of the Bill empowers the finance minister, based on the CCC’s recommendation, to exempt individuals or groups from certain provisions of the Act through a gazette order, subject to necessary conditions or restrictions.

If the exemption affects areas regulated by other ministries, the finance minister must first consult relevant authorities, including the minister of domestic trade and cost of living, the minister responsible for cooperative development, or the minister of housing and local government.

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