Good News For KPR Owners, BTN Cuts Interest Rates

Subsidized house illustration. (Photo: Doc. Ministry of PUPR)

JAKARTA - PT Bank Tabungan Negara Tbk. (BTN) announced that it has cut lending rates on a number of loans. Citing the company's official release on Monday, January 4, the bank with the issuer code BBTN has set the amount of housing loan (KPR) for this year at 9.95 percent from the previous 10.5 percent.

Meanwhile, for non-KPR consumption credit to 11.25 percent from 11.5 percent. Meanwhile, the loan rate for the corporate and retail segments was 9.9 percent respectively.

However, BTN's decision to cut the Basic Credit Interest Rate (SBDK) is not an absolute reference in determining interest for debtors. This is because the prime lending rate has not taken into account the component of the risk premium estimation component whose value is highly dependent on the company's assessment of the risk profile of each customer or debtor.

In terms of performance, until the third quarter of 2020, BTN is known to have succeeded in disbursing housing loans worth IDR 196.5 trillion. Of this amount, Rp116.3 trillion was distributed to the subsidized KPR segment. Meanwhile, another Rp80.1 trillion is included in commercial KPR.

Overall, the amount of credit and financing of this housing specialist bank has touched a value of IDR 254.9 trillion by the third trimester of this year.

Then for profit collection, BBTN has successfully earned Rp1, 1 trillion by September 2020. This figure has skyrocketed by around 39 percent from the same period in 2019 with a record of Rp. 801 billion.

"This positive achievement was obtained through a strategy to strengthen capital liquidity, efficiency, and asset quality," said BTN President Director Pahala Nugraha Mansury some time ago.

PEN Fund

BTN, which is one of the four state-owned banks (Himbara), is the party that also receives National Economic Recovery (PEN) funds from the government. Recorded throughout 2020, the state adjusted a budget of IDR 10 trillion in BTN.

Based on information compiled by the editor, as of November 2020, the amount of funds that have been distributed has reached IDR 26 trillion. Of this value, most of it was disbursed to support the housing and mortgage business sectors.