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Instalment Credit Agreement
"I need an Instalment Credit Agreement for a manufacturing company in Jakarta borrowing IDR 5 billion from a local bank for equipment purchase, with monthly repayments over 3 years starting March 2025, including specific covenants for maintaining certain financial ratios."
1. Parties: Identification of the lender and borrower with complete legal names and addresses
2. Background: Context of the credit arrangement and purpose of the loan
3. Definitions: Definitions of key terms used throughout the agreement
4. Facility Amount and Purpose: Details of the credit amount, purpose, and drawdown conditions
5. Interest Rate and Fees: Specification of interest rate, calculation method, and applicable fees
6. Repayment Terms: Instalment schedule, payment amounts, and payment methods
7. Conditions Precedent: Conditions that must be satisfied before the credit facility becomes available
8. Representations and Warranties: Standard declarations by the borrower about their legal and financial status
9. Covenants: Ongoing obligations of the borrower during the term of the agreement
10. Events of Default: Circumstances that constitute default and consequences thereof
11. Security: Details of any security or collateral provided for the credit
12. Governing Law and Jurisdiction: Specification of Indonesian law as governing law and jurisdiction for disputes
13. Notices: Process and addresses for formal communications between parties
14. Execution: Signature blocks and execution requirements
1. Insurance: Required when the credit facility requires specific insurance coverage for assets or the borrower
2. Guarantor Provisions: Include when a third-party guarantor is providing additional security for the credit
3. Prepayment Terms: Include when early repayment is permitted, specifying any penalties or conditions
4. Assignment and Transfer: Include when either party may need to transfer their rights or obligations
5. Electronic Execution: Include when the agreement may be executed electronically
6. Force Majeure: Include when specific force majeure provisions are required beyond standard contract law
7. Tax Provisions: Include when specific tax implications need to be addressed
1. Schedule 1 - Payment Schedule: Detailed breakdown of instalment amounts, due dates, and amortization schedule
2. Schedule 2 - Conditions Precedent Documents: List of required documents and conditions to be satisfied before drawdown
3. Schedule 3 - Security Details: Detailed description of any collateral or security arrangements
4. Schedule 4 - Fees and Charges: Comprehensive list of all applicable fees, charges, and their calculation methods
5. Schedule 5 - Form of Drawdown Notice: Template for requesting disbursement of the credit facility
6. Appendix A - Specimen Signatures: Authorized signatures for both parties
7. Appendix B - Required Insurance Coverage: Details of required insurance policies and coverage amounts
Authors
Applicable Law
Available Facility
Business Day
Collateral
Conditions Precedent
Default Interest
Default Notice
Drawdown
Drawdown Date
Drawdown Notice
Early Repayment
Event of Default
Facility
Facility Amount
Final Repayment Date
Financial Indebtedness
Financial Statements
Force Majeure Event
Guarantor
IDR
Instalment
Instalment Date
Interest Period
Interest Rate
Late Payment Penalty
Lender
Material Adverse Effect
OJK
Outstanding Amount
Payment Account
Payment Date
Permitted Security Interest
Principal Amount
Repayment Schedule
Security
Security Documents
Security Interest
Taxes
Term
Transaction Documents
Upfront Fee
Utilization
Working Day
Interest and Fees
Repayment
Security
Conditions Precedent
Representations and Warranties
Covenants
Events of Default
Acceleration
Payment Mechanics
Set-off
Insurance
Assignment
Confidentiality
Force Majeure
Notices
Amendments
Severability
Waiver
Entire Agreement
Counterparts
Governing Law
Dispute Resolution
Electronic Execution
Language
Tax
Indemnification
Third Party Rights
Termination
Further Assurance
Banking
Financial Services
Consumer Finance
Retail
Manufacturing
Real Estate
Automotive
Agriculture
Technology
Education
Healthcare
Construction
Small-Medium Enterprises
Legal
Finance
Credit
Risk Management
Compliance
Operations
Treasury
Business Development
Collections
Client Relations
Documentation
Chief Financial Officer
Finance Director
Credit Manager
Legal Counsel
Compliance Officer
Risk Manager
Account Manager
Credit Analyst
Financial Controller
Treasury Manager
Loan Officer
Corporate Secretary
Business Development Manager
Operations Manager
Collections Manager
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