Loans without collateral are loans that do not require collateral alias assets to be guaranteed to creditors (lenders). Usually, borrowers only need to attach documents in the form of personal data to get a loan.
This type of loan is suitable for you who do not have assets to be guaranteed. For example, you do not have a house, vehicle, or other valuable assets. The question is, where can the borrower (creditor) be convinced that the prospective borrower (debtor) is eligible for a loan?
The creditor will see the debtor’s credit history. Which data can be accessed through SLIK OJK. Good motorcycle credit history or credit card. In addition, the type of loan we take later will affect the conditions as well.
Source of Unsecured Loans
1. KTA from the bank
KTA or unsecured loans is a product of money loans from banks. This loan product has an affordable interest rate regardless of the need for collateral. As for the average KTA interest in various banks starting from 0.6 percent and not up to 2 percent per month.
Here are some things related to KTA from banks that can be considered for those of you who plan to take out loans.
- Interest rates are quite light, which is not up to 2 percent per month or less than 24 percent per year.
- Interest rates are fixed until the loan contract period ends.
- The tenor or payment term is quite long, which is around 2-3 years. In fact, there are banks that dare to provide tenors for up to five years.
- The loan limit is quite large compared to other non-collateral loan products, which is up to $ 300 million.
For the last point it needs to be underlined that the limit of unsecured loans from banks to be given to customers is certainly adjusted to their financial capabilities. The major consideration related to bank limits is income and credit card limits owned.
Usually, loans can reach five to six times the income or credit card limits of prospective borrowers. So, if the prospective debtor’s income is IDR 10 million, the bank will provide a maximum loan of IDR 50 million.
2. Loans without collateral from the cooperative
To get a loan, you need to become a member of a cooperative first. Even though it is quite ‘complicated’, the interest applied by cooperatives turns out to be much lighter than that of banks, which is only 7 percent per year.
For those of you who want to find a loan someday, then you need to consider becoming a member of the cooperative from now on.
3. Online loans
Now, borrowing funds without collateral is easier by mushrooming online loans. However, the interest applied by these online loan services is not half-hearted, which is around 1 percent per day.
The online loan application process is indeed the easiest. Because, prospective debtors actually only need to attach the requirements for KTP documents and almost no survey.
The loan limit usually ranges from hundreds of thousands to a maximum of $ 8 million. The tenor is also quite short, which is a matter of days and a maximum of 30 days.
Advantages and Disadvantages of Unsecured Loans
The absence of collateral would be an absolute advantage for the existence of loans without collateral compared to other types of loans, especially multipurpose loans (loans with collateral). Not to mention, the terms and process for proposing KTA until it is approved are somewhat more practical.
It’s just that, the consequences of the ease of the loan were quite pronounced. You have to pay a loan with a fairly high interest rate compared to loans with collateral. In addition, the repayment period is also quite short.
This is reasonable because the creditors themselves have a high enough risk if the debtor fails to return the loan. While the creditors cannot confiscate any assets.
Well , you want to apply for a loan without collateral? It’s okay, as long as you have planned your income and expenditure budget in advance. The goal is that you do not get distracted when you have to pay off the installments later.