Collecting group deposits without putting yourself at risk

Group members should pay the licensed agency directly, against a receipt in the agency’s name. As the organiser, you coordinate, remind and keep records. You do not hold the money. That one rule protects you, the group and the trip.

Why should payments go to the agency, not to you?

If money goes to a personal account, there is no receipt in the agency’s name and no clean record of who paid what. When someone cancels, falls ill or disputes the amount, you are in the middle. A licensed agency has duties to its customers, and a regulator behind it. A friend’s bank account does not.

Running a tourism business without a valid licence can lead to a fine of up to RM500,000, imprisonment of up to ten years, or both¹. If you collect money and arrange the whole package yourself, you may be stepping into that territory. Ask MOTAC, or a lawyer, before you do anything beyond organising.

What can an organiser safely do?

• Collect names, contact numbers and dietary notes.
• Chase members for payment dates.
• Keep a payment tracker and a folder of receipts.
• Hold a small, separate fund for shared extras.
• Relay questions to the agency in writing.

What should an organiser not do?

• Receive the group’s deposits into a personal account.
• Promise a refund that the agency has not agreed.
• Share passport photos in a large chat group.
• Pay the agency in cash without a stamped receipt.
• Pass on a verbal promise about meals or prayer stops as if it were written.

A weekly routine that keeps a clear trail

1. Ask the agency for an invoice for each payer, or one invoice with the bank details in the company name.
2. Ask each member to pay the agency and send you a screenshot of the transfer.
3. Ask the agency to confirm receipt, with a receipt for each payer.
4. Update your tracker and photograph each receipt into the shared folder.
5. Review it with the committee once a week until the balance is paid.

This takes minutes each week and removes most arguments later.

What about members’ personal data?

Malaysia’s Personal Data Protection Act 2010 regulates how personal data is handled in commercial transactions and aims to protect the people whose data it is³. A passport copy is personal data. Collect it only when the agency asks, send it by the agency’s official channel, and delete your copy after the trip.

Messages you can copy

To the agency:

• “Please confirm your company name, MOTAC licence number and the bank account for group payments.”
• “Please send one receipt per payer in the company name, within a week of each payment.”
• “Please confirm the refund terms and the cut-off dates in writing.”

To the group:

• “Please pay the agency directly using the details below and send me a screenshot. Do not send money to me.”
• “Please do not post passport photos here. I will tell you when the agency asks for them.”

If something goes wrong

Keep your tracker and receipts. Raise the issue with the agency in writing first. If you believe the agency is unlicensed or has broken the rules, MOTAC invites the public to report suspected violations through its SISPAA complaints system².

Your next step

Before you collect anything, pick the agency and confirm its licence. Read how to choose a licensed agency for a group trip, then check the licence with our guide on checking a Malaysian travel agency licence. Put meal and prayer terms in writing using which arrangements to confirm in writing. The wider path is in the booking hub.