A TOTAL of 490 single mothers in Malaysia have been declared bankrupt after failing to meet various financial commitments, including personal loans, housing loans, business borrowings and credit card debts, according to the Malaysian Department of Insolvency.
Director-General Datuk Ishak Bakri said the inability to manage debt obligations, compounded by rising living costs, has been among the key factors pushing many in the group into bankruptcy.
He noted that financial strain and mounting repayment burdens have left some individuals unable to keep up with their loan commitments.
In response, the government has introduced the Second Chance Policy 3.0 – Fast Track Discharge, an initiative aimed at helping bankrupt individuals exit bankruptcy more quickly if they meet specific conditions.
“That is why the government introduced DPK 3.0 to help this group obtain a bankruptcy discharge more quickly if they meet the stipulated conditions,” he said.
Ishak revealed that since applications for the programme opened earlier this year, 169 individuals have submitted requests to participate.
“The highest number of applications comes from single mothers, although I do not have specific data on the exact figure,” he added in an interview.
Under the DPK 3.0 scheme, individuals declared bankrupt may be discharged from bankruptcy in as little as 36 days from the date of application, provided that all required documentation is complete and that they have not committed offences under the Bankruptcy Act 1967.
The Malaysian Department of Insolvency is currently intensifying efforts to promote the initiative nationwide to ensure that more eligible individuals can benefit from the programme. Ishak said the department plans to travel across the country to engage directly with single mothers and raise awareness of the policy.
“We will travel throughout the country and reach as many single mothers as possible to explain DPK 3.0. In fact, the department will also contact eligible single mothers directly to assist them in applying for bankruptcy discharge through this programme,” he said. - March 14, 2026
