Loan Transfer Agreement Template for Indonesia

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Key Requirements PROMPT example:

Loan Transfer Agreement

"I need a Loan Transfer Agreement under Indonesian law for transferring a corporate loan portfolio worth IDR 50 billion from Bank Mandiri to HSBC Indonesia, with the transfer to be completed by March 2025."

Document background
A Loan Transfer Agreement is essential when an existing lender wishes to transfer its rights and obligations under a loan agreement to a new lender in Indonesia. This document is commonly used in debt trading, portfolio restructuring, or when financial institutions need to manage their loan exposure. The agreement must comply with Indonesian banking regulations, particularly OJK requirements and the Civil Code provisions on assignment of rights. It details the terms of transfer, including the purchase price, conditions precedent, and treatment of security interests. The document becomes particularly important in scenarios involving syndicated loans, restructuring situations, or when banks need to manage their loan portfolio risk exposure. The agreement must address specific Indonesian law requirements regarding notice to borrowers and registration of security interest transfers.
Suggested Sections

1. Parties: Identifies the transferor (original lender), transferee (new lender), and borrower (if party to the agreement)

2. Background: Describes the original loan agreement, the intention to transfer, and any relevant context

3. Definitions: Defines key terms used throughout the agreement, including references to the original loan agreement

4. Transfer: Details the mechanics of the transfer, including the effective date and scope of rights and obligations being transferred

5. Consideration: Specifies the payment or other consideration for the transfer

6. Conditions Precedent: Lists conditions that must be satisfied before the transfer becomes effective

7. Representations and Warranties: Standard representations from both transferor and transferee, including authority, capacity, and loan status

8. Covenants: Ongoing obligations of the parties post-transfer

9. Notices: Process for giving notices under the agreement

10. Governing Law and Jurisdiction: Confirms Indonesian law as governing law and specifies jurisdiction for disputes

11. Miscellaneous: Standard boilerplate provisions including amendments, waivers, and severability

Optional Sections

1. Security Transfer: Required if there is any security package being transferred along with the loan

2. Foreign Currency Provisions: Required if the loan involves foreign currency elements, ensuring compliance with Law No. 24 of 1999

3. Regulatory Compliance: Specific section needed if the transfer requires particular regulatory approvals or notifications

4. Tax Provisions: Detailed tax provisions required if there are specific tax implications or withholding requirements

5. Partial Transfer Provisions: Required if only part of the loan is being transferred

6. Agency Provisions: Required if there is a facility agent involved in the loan structure

7. Borrower Consent: Required if borrower consent is needed under the original loan agreement

Suggested Schedules

1. Schedule 1 - Original Loan Agreement: Copy or details of the original loan agreement being transferred

2. Schedule 2 - Loan Details: Specific details of the loan being transferred, including amount, interest rate, and payment terms

3. Schedule 3 - Transfer Documents: Forms of any additional transfer documentation required

4. Schedule 4 - Security Documents: List and copies of any security documents being transferred

5. Schedule 5 - Conditions Precedent Documents: List of all documents required as conditions precedent

6. Schedule 6 - Form of Transfer Notice: Standard form for notifying relevant parties of the transfer

7. Schedule 7 - Regulatory Approvals: Copies of or requirements for any necessary regulatory approvals

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Relevant Industries

Banking

Financial Services

Investment Management

Corporate Finance

Real Estate

Infrastructure

Manufacturing

Energy

Mining

Telecommunications

Agriculture

Healthcare

Relevant Teams

Legal

Finance

Treasury

Credit Risk

Compliance

Corporate Finance

Portfolio Management

Loan Administration

Transaction Management

Investment

Risk Management

Banking Operations

Restructuring

Relevant Roles

Legal Counsel

Finance Director

Chief Financial Officer

Banking Relationship Manager

Credit Risk Manager

Compliance Officer

Treasury Manager

Portfolio Manager

Loan Officer

Transaction Manager

Corporate Finance Manager

Investment Manager

Managing Director

Chief Legal Officer

Risk Officer

Debt Trading Manager

Restructuring Officer

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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