KUCHING, Feb 9 2026: A certain Mr Low, by now, must have learnt the most painful lesson to never again he would trust any friend, not with money, after what has happened to him - never stands as a guarantor anymore.
Caption: Mr Low talking to Michael Kong (right) over the loan that Mr Low's friend had taken from money lender
After his friend died, Mr Low was even forced to pay the ballooning amount of over RM40, 000 well above the amount that his friend had failed to settle.
As a last resort, he sought help from the Sarawak DAP.
It started when his friend asked him to be a guarantor a few years ago.
He agreed to stand as a guarantor for a friend who had taken a loan from a money lender.
“At the beginning, he exercised caution by asking his friend to deposit the monthly repayments with him first, before he transferred the payments to the money lender.
“This was done to ensure that the loan obligations were properly met,” explained Michael Kong, who is a special assistant to Sarawak DAP chairman Chong Chieng Jen, today.
Kong said after some time, Low’s friend suggested that he pay the money lender directly to “save the hassle”.
“Trusting his friend, Mr Low agreed,” he said.
“Tragically, the friend has since passed away. Just last week, Mr Low received a letter from the money lender demanding payment of an alleged outstanding sum of RM10,800.
“Wanting clarity, Mr Low visited the money lender’s office and was informed that no payments had ever been made by his friend, hence the outstanding amount,” Kong said.
He added not wanting any further trouble, Mr Low decided to accept the offer and asked for two weeks to settle the amount.
He said Mr Low was then asked to return the following day to sign an agreement to settle the alleged outstanding.
“However, when he returned, he was shocked to be presented with a demand exceeding RM40,000 to “fully settle” the matter.
“When he refused to sign, he was pressured repeatedly to do so. He only managed to leave the premises by giving the excuse that he needed to attend to his elderly mother.
“Disturbingly, even then, the money lender demanded a photograph and the NRIC details of his mother.
“Mr Low subsequently sought my assistance. After reviewing the matter and engaging directly with the money lender, they then agreed to settle the issue at the original amount of RM10,800, the sum initially demanded.
“Mr Low has also since then been able to raise the necessary funds from his family members in order to fully settle the outstanding,” Kong said.
He said this case serves as a serious warning to the public.
He added borrowing from money lenders, and especially agreeing to stand as a guarantor, can expose individuals to significant financial and emotional distress.
“What may begin as a small loan can quickly escalate through excessive charges, and aggressive pressure tactics,” he said, adding that guarantors, in particular, are often left bearing the full burden when borrowers are unable or no longer around to pay.
He urged the public to think carefully before turning to money lenders or agreeing to guarantee someone else’s loan, no matter how close the relationship may be.
“Always understand the risks involved, insist on transparency, and seek proper advice before signing any document,” he advised.
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