Parliament Passes Consumer Credit Bill 2025
Announcing the development, Deputy Finance Minister Lim Hui Ying said the legislation establishes a robust legal framework to oversee non-bank credit providers and curb unethical lending practices.
'With the passing of this Bill, Malaysia is reinforcing its commitment to consumer protection and financial governance. This is a vital reform to ensure fair, responsible and transparent credit practices, especially for vulnerable groups,' she said.
She shared that the newly passed law will mandate licensing and regulation of all non-bank credit providers, establish the Consumer Credit Oversight Board as the central regulatory authority, standardise lending practices and consumer protection measures across the sector, and strengthen dispute resolution mechanisms for credit-related issues.
Lim highlighted that the Bill was driven by increasing public concern over unregulated credit providers and rising household debt. By formalising oversight and regulation, consumer confidence will be restored and a healthier financial ecosystem can be promoted.
The Bill is expected to gazetted later this year, with implementation to be done in stages. Related
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