A.

Bank Loan
In addition to raising funds, banks also distribute funds to the society by providing loan
products to those in need. A bank loan is a bank product where the bank provides a sum of
money to lend to the customer and the customer is required to pay off the loan debt together
with the interest gradually in a certain period of time in accordance with the agreement.
The benefits of taking a loan from a bank:
1. Meet customer needs
2. Banks offer various types of loans
3. Regulated interest rates
4. Higher loan amount
5. Easier to obtain
6. Debtor information security
In Indonesia the most popular types of loans taken by customers can be classified:
1. Kredit Perumahan Rakyat (KPR)
KPR is long-term credit from a bank that is given to a customer specifically for the
purchase of a residence. If the customer wants to buy a house with a mortgage, then the
customer still needs to also prepare a number of funds because the mortgage does not fully
pay for the house. Generally KPR have a percentage of credit ceiling provided by banks
based on house prices while the rest of the percentage must be paid by the customer,
usually called Down Payment (DP). For example, customers want to buy a house for Rp
500,000,000 with a KPR. The conditions for bank loan are 80%, so the bank only provides
loans of Rp 400,000,000 and Rp 100,000,000 will be paid by the customer.
Other factors that affect the loan ceiling, for example, some banks can provide a
higher ceiling if the customer has an Individual Debtor Information (IDI) record or the
bank cooperates with a home developer that reaches 90%. Conversely, if the customer IDI
is not good or the amount of other debts that the customer has is too high from the
monthly income portion, the ceiling can be lower. Banks in Indonesia generally offer fixed
rates for the first few years and then floating (floating).
2. Kredit Tanpa Agunan (KTA)
KTA is short-term loans from banks for customers in the form of cash that does not
require any collateral. So if there is continuous installment arrears, the bank can sue
customers through legal channels.
After the KTA is disbursed, customers will need to pay KTA installments every
month for the agreed period. The amount of the installment is calculated by simulating the
KTA based on the principal amount and the credit interest rate. KTA has fixed flat interest
rates. Usually the KTA interest rate ranges from 1% to 2% per month.
3. Kredit Mobil
Car loans are short-term loans provided by banks to customers specifically for car
purchases. For how it works the same as the KPR and the interest rate is the same as the
KTA, which is calculated based on the loan principal and the percentage of interest rates
does not change during the car loan tenor. The amount of interest on car loans offered by
banks today ranges from 5% - 14% per year.
 4. Kredit Motor
Loans provided by banks aimed at purchasing motorcycles. Basically motorcycle
loans are almost the same as car loans. It's just that motorbike credit uses the BPKB
motorbike as collateral. In terms of interest calculation, motor loans are similar to car
loans.

B. Non-bank Loan
According to the Finance Minister's Decree No. KEP-38 / MK / IV / 1972, a non-bank
financial institution is an entity that performs financial activities both directly and indirectly,
collects funds from the public by issuing securities, then distributes it to finance investment
companies that need loans .
1. Pegadaian
Pegadaian provides loans with collateral and without non-bank collateral recognized by
the state through OJK.
- Conventional mortgage is a service that is given to get funding facilities by mortgaging
important items or documents (securities). Interest given starts from 0.75% to 1.5%
per month.
- Sharia mortgage is a product or service that is not much different from conventional
mortgaging. It's just that sharia mortgaging uses a system of ujrah or rent a place, not
a capital lease that is used for the interest system.
- Gold mortgage is a service provided by Pegadaian to those who want to get precious
metals (gold) in cash or in installments.
2. Savings and Loan Cooperatives
Non-bank financial institutions in the form of cooperatives that collect funds from its
members then distribute it back to members and non-members but loan services are only
given to members. Interest provided by savings and loan cooperatives is generally greater
than banks and Pegadaian.
Terms of applying for a loan are easy, just need to fill out a loan form and attach a copy
of your ID card, paycheck, electricity account, and collateral. The drawback is that
customers cannot borrow large amounts of funds because the funds in the savings and loan
cooperative are very limited.
3. Venture Capital Company
Companies that play a role in providing capital to other companies that have high risk
activities but need large capital to build it and have good business prospects. The form of
financing can vary, ranging from bonds to special loans. Of course this loan must be with
the return conditions agreed upon by both parties.
4. Leasing or Multifinance Companies
Leasing companies that are often referred to as leasing are non-bank financial
institutions that have a lease contract system that is combined with purchase in
installments, both to individuals and companies. Even though all the facilities and uses of
goods can be used, but before payment is paid off, the right of the goods is still the leasing
party.
C. Foreign Loan

Foreign loans by type consist of cash loans and activity loans. Cash loans or program
loans are loans related to programs that have been and will be carried out by the Government
of Indonesia. The cash loan is carried out with the aim of providing support to the existing
budget to help alleviate poverty, eradicate corruption, infrastructure development etc. These
loans can be in the form of stand-by loans, short-term liquidity financing, contingent
financing, financing for capital, etc., whose disbursements are cash. Activity loan or Project
loan can be in the form of project loans, credit lines, etc., whose disbursements are related to
activities. Foreign loans are sourced from Multilateral Creditors, Bilateral Creditors, Foreign
Private Creditors; and the Export Credit Guarantee Agency.