Document background
The Interest Loan Agreement is a fundamental legal document used in Indonesian financing transactions, essential for both commercial and personal lending. This agreement is typically used when one party (the lender) provides financial accommodation to another party (the borrower) with the expectation of repayment with interest. The document must comply with Indonesian banking laws, OJK regulations, and the Civil Code (KUH Perdata), particularly regarding interest rate calculations, security requirements, and enforcement mechanisms. It includes comprehensive provisions for loan disbursement, repayment schedules, events of default, and security arrangements. The agreement is crucial for documenting lending transactions ranging from corporate financing to personal loans, ensuring legal protection for all parties involved while maintaining compliance with Indonesian regulatory requirements.
