If you have several debts such as credit cards and personal loans, two common options are a debt consolidation loan or help from AKPK. They are different and suit different situations.
What is a debt consolidation loan?
You take one new loan to pay off several other debts. After that you make just one monthly instalment. It makes things easier to manage, but it is still new debt with its own rate and cost.
What is AKPK?
The Credit Counselling and Debt Management Agency (AKPK) was set up by Bank Negara Malaysia to help people manage their money and debts. AKPK offers free financial counselling and a Debt Management Programme, in which it helps restructure your repayments with financial institutions.
When debt consolidation makes sense
- You have a steady income and can afford the new instalment.
- The total cost of the new loan is lower than the total cost of your current debts.
- You can stop adding new debt, for example by not using the credit cards you have paid off.
- Your repayment record is still under control.
When AKPK is the better choice
- You already struggle to pay the minimum each month.
- Your total debt is too large compared with your income.
- You need help planning a budget and negotiating with banks.
- Taking a new loan would only add to your burden.
How to compare the cost
- List each debt: balance, interest rate and monthly instalment.
- Work out how much you will pay if you carry on as you are.
- Ask for a written offer for the consolidation loan: amount, rate, tenure and total repayable.
- Compare the total amount, not only the monthly instalment. A longer tenure lowers the instalment but can increase the total interest.
Our debt consolidation loan
We offer a debt consolidation loan as a licensed moneylender, at up to 18% a year, with a written offer that shows the total cost before you agree. We do not provide counselling or debt management. If you are struggling with your current debts, we encourage you to contact AKPK first.
Prepared by the SuperPinjamMan team, a KPKT-licensed moneylender (Licence No. WL4248/10/01-12/130928). Last updated: 16 October 2026. This article is general information, not financial or legal advice.
