Rules For Repaying Credit Before Falling Tempo, Be Careful There Is Something To Consider

Illustration of credit repayment (Freepic)

YOGYAKARTA - When taking credit services, debtors will be given a payment tempo to ease their installment dependents. However, you can speed up repayment if you already have enough funds so you don't have to wait any longer. Even so, there are rules for repaying credit before it matures.

Repayment of credit before maturity will be subject to a fee or penalty. Because accelerating credit repayment before the expiration can harm the bank because it will lose revenue from interest on credit. So the penalty is not only for debtors who are late in paying credit, but also when you pay it off faster.

Therefore, you need to take into account eye-to-eye if you want to pay off your credit dependents faster. What are the credit repayment rules like before they mature?

The bank or finance company imposes penalties for debtors who pay before due. The amount of fines that must be paid can vary depending on the policies of each bank. This penalty is a form of compensation for violations of the agreement that have been agreed upon.

Usually the amount of fine is between 1-3%. For example, if you have a credit debt of Rp. 500 million, then the fine imposed on you is Rp. 15 million. However, several banks also provide relief policies for debtors who will pay off their loans. This relief will be applied at the beginning of the installment period, and some will be applied when the tenor period is running out.

The rules regarding credit repayment have been stipulated within the Financial Services Authority (OJK) in the OJK Circular Number 13/SEOJK.07/2014 concerning the Baku Agreement. These regulations are contained in the Clausula in the Baku Agreement. It is explained that Financial Services Business Actors (PUJK) can make agreements with debtors or credit users must meet balance, justice and fairness. Agreements made should not be burdensome to one side.

In addition to the fine or penalty policy, there are several things you need to pay attention to when you want to pay off credit faster. Here are a number of things you need to consider.

You need to pay attention to inflation when you want to accelerate credit repayment. Every year there is a rate or change in inflation that affects the value of the currency. So you need to take into account your credit repayment by looking at the conditions in the next 5 or even 10 years. Because the value of money can change at any time, don't let your quick repayment result in losses.

When you want to pay off credit before it comes to maturity, you also need to pay attention to the debt dependents that are still there. Calculate how much your main debt is. Because the bank imposes an interest system that affects the amount of debt.

In addition, also calculate when you want to pay off credit. If repayment is made when interest rates are floating or the interest ends are fixed, then it can potentially harm you.

This is the review of the credit repayment rules before they are due. Even though you already have enough money to speed up credit repayment, you should not do it rashly. The bank imposes penalties for creditors to pay off credit before it matures. So you need to consider carefully when you want to pay off credit faster.

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