Hi all,

I'm considering paying the full amount of PTPTN to grab the discount of 15% given by our beloved government by using KWSP Account 2. After the workout which seems like not worth doing so? here is my calculation

Here is my calculation:-
PTPTN amount of RM 38,500.00
Monthly payment RM 245.50 (RM 212.92 payment and RM 34.58 interest)
Full payment to save RM 5,775.00 (15% from RM 38,500)

If monthly stick to the monthly pre-payment required 181 months (RM 38,500.00 / RM 212.92 = 181 months equivalent to 15 years) to clear the PTPTN.

With this 15 years, KWSP Account 2 compound interest of 5.5% p.a (assumption) will be earned about RM 49,200.00.

In order to save you RM 12,033.98 (RM 5,775.00 plus RM 6,258.98 (RM 34.58 x 181 Months)). You're losing RM 37,166.02 (RM49,200.00 - RM 12,033.98)

Meaning to say, it's not worth clearing PTPTN using KWSP Account 2. Any sifu can enlighten me? Just a simple calculation.