You Now Have to Share Your Personal Details with Moneychangers Even If You Exchange RM3k & Below

However, a new Bank Negara rule now requires customers who exchange foreign currency with money changers for amounts of RM3,000 and above will be required to provide their full name, identification card number, and date of birth.

This new rule was introduced by Bank Negara Malaysia’s Financial Intelligence and Enforcement Department on 5 February 2024 as part of the Policy Document on Anti-Money Laundering, Countering Financing of Terrorism and Targeted Financial Sanctions for Financial Institutions (AML/CFT and TFS for FIs).

As reported by The Star, foreigners will also need to show their passports. The public is unhappy about the announcement of this recent ruling as they feel that their particulars may be sold to scammers or they may be reported to the Inland Revenue Board (LHDN).

Over in Singapore, those changing less than S$5,000 (RM17,750) are not required to provide their personal details. This has caused a huge drop in business for money changers in Johor as Malaysian workers are instead choosing to change their money in Singapore.

Many Johorians who work in Singapore also find this ruling inconvenient.

Mohd Ali Hassan, 47, a Malaysian who commutes daily to Singapore for work said to The Star, “Why are they asking me for my personal details? I am worried this information may be misused and they might report me to the income tax department,” he said, adding that in the past, he used to change his money in Johor where the exchange rates were sometimes better.

Wendy Tan, 35, also started carrying out her currency exchange transactions in Singapore as she is afraid that her particulars may be misused. “I was shocked when the moneychanger asked me for my details just to change S$200 (RM710),” she said.

Online user @alanbahtu also condemned the new ruling, saying that it was better to change his money in Singapore.

Malaysia implement this rule to Money Changer is stupid. Need your ID/passport regardless of you amount. Better change in Singaporehttps://t.co/L9Iew8xSLn

— Alan Yap???? (@alanbahtu) March 10, 2024

Customers are taking out their frustrations on money changers

The CEO of the Malaysian Association of Money Services Business (MAMSB), K. Raman said that this new policy is in line with global standards and requires all money-changing businesses to take reasonable measures to adhere to sanctions screening requirements.

“In Johor, one man who was asked to give his details at a moneychanger on Feb 6 refused to change his money and went to another moneychanger, who was not aware of the implementation date of the new requirement. (The moneychanger) proceeded to change the money without taking down the customer’s details, said Raman.

“The man then lodged a complaint with the association that the first moneychanger was trying to scam him into getting his personal details,” he told The Star.

Additionally, he said that he received 20 to 30 complaints daily from members of the association about customers who refused to give their personal details. Raman also urged the public to be patient at the outlets they frequented as it would take some time to key in their details.

What do you think about this new ruling? Do you think this will help to curb fraudsters and money laundering or cause more issues instead?