KTA loans for some people are already familiar. However, there are also those who do not understand the ins and outs of one of the products that is actually already popular in this banking.
Previously, KTA was only a banking product, now this product is also released by other financial services. Other financial services that issue this product are fintech alias financial technology or online loan services.
From earlier we mentioned the word “KTA” but do not know what KTA is. Well, KTA is a credit without collateral alias without collateral. So, you can get credit without the need to provide collateral in the form of valuable assets, such as land certificates, houses, or private vehicles.
For most people, the conditions without guarantees are certainly very helpful. Especially for those who do not have anything to guarantee but are in need of funds. It could be for sudden needs or even to build a business.
Advantages of KTA Loans Compared to Other Loans
For you who again need a loan, you can consider this collateral-free loan product compared to other loans. Why? Here are the reasons.
1. No need to provide guarantees
What is certain is that as mentioned earlier, this loan product without collateral certainly does not need collateral assets. So, for those of you who don’t have a vehicle or property to pledge to the bank, you can still get a loan.
2. The requirements are quite easy
If you don’t use collateral, then how can the bank approve the loan application? All these requirements are enough that you need to complete. These requirements are quite easy for you to fulfill.
You will usually be asked for an ID card, credit card, salary slip or SIUP, and TIN. Even for KTA from certain non-banking services, you don’t even need to attach credit card data and salary slips. You just need to attach proof of identity card. It’s fun, right?
3. The submission process is fairly short
The process of applying for a loan without collateral is quite practical. You just need to go to the relevant bank and fill out the form. Do not want to bother? There are also several banking product aggregator sites that will help you submit KTA to banks online. So, you don’t need to go outside your home or office to take care of your application.
You simply fill out the form and include all photocopies of the requested documents. Then, you wait for your application to be deposited to the bank. Then, you will be called by the bank for the data verification process.
After the bank weighs your application, you will be notified whether your KTA application is approved or not. As long as you meet the requirements and pick up the phone from the bank, your application should get approval. Oh yes, do not forget to adjust the loan nominal with your income.
The timeframe between applications received until you are called is usually around three days. Then, since you are called and the credit approval notice usually takes a week to two weeks. Now, if your application is approved, then the funds will usually go into the account in just a matter of days.
Not long, right?
There are also several KTA loans that promise to disburse only three days, you know. Usually this KTA comes from non-banking services.
4. Almost every bank or non-bank loan service offers KTA
This product is also quite easy to find. You can get credit products without collateral through any bank, because almost every bank provides. In fact, many non-bank loan services provide loans without collateral.
5. The use of very flexible loans
Just so you know that this loan product without collateral is often intended for consumptive needs. So don’t be surprised that bank advertisements about non-collateral loan products show even more frequent uses for holidays, marriage, and others.
Of course, even though the use of money from credit is very flexible, it’s good to use it for really important ones.
Interested in getting a loan from KTA? Following are the requirements and the submission process.
Flow of Submission of KTA from Sent to Disbursement
1. Select the appropriate bank
First, you can research the bank in accordance with what you want. For example, you might consider the interest rates that the bank offers. Then, you also note the credibility of the creditor.
To select a suitable bank, you can go to the bank one by one. Or, you just visit KTA marketing or a bank in the mall. Want more practical? Try to visit one of the banking product aggregator sites, for example DuitPintar.
2. Make sure you fulfill the terms and documents
Keep in mind you really have to meet the requirements and fulfill the requested documents. Here are the requirements that you must meet:
- Indonesian citizens
- Minimum age of 21 years and a maximum of 50 or 55 years, depending on bank policy.
- Have a steady income, as an employee or entrepreneur
Meanwhile, documents that you usually have to include when submitting, include:
- Photocopy of identity card, in the form of a KTP.
- Photocopy of NPWP.
- Salary slips for employees, SIUP for entrepreneurs.
- Attachment to credit card shading.
- Fill out the submission form.
3. Give the application containing the form and documents to the bank
After you fulfill all the requirements and complete the documents, you can give the application to the bank.
For those of you who apply for a KTA loan via online, you don’t need to go to the bank. Usually the loan service courier will take your documents.
4. Wait for verification from the bank
The application has been received by the bank, later you will be called by them for the verification process. The bank wants to make sure that you really submitted the application.
In addition, the purpose of this phone will also determine whether you deserve a loan or not. So, make sure you make sure when you call.
5. Wait for news about the approval of your KTA loan application
Already completed with the verification process, you are just waiting for news from the bank regarding the status of your KTA loan application.
Usually the bank will call you again to let you know whether your application is approved or not. However, there are also banks that will only notify via SMS. Usually the time needed from verification to approval is around a week to two weeks.
Can you text or call to let you know your KTA application is approved? Congratulations! Soon, the funds will go into your account. Please use it wisely and according to your initial purpose.
It’s really easy to make a loan for a loan? Although it looks very easy, you also need to understand that KTA has a minus. These deficiencies can come from the product itself or from how you use it.
Weaknesses and Risks that Need to be Understood Before and After Applying for a KTA
Consider some of the shortcomings of KTA that you need to understand after knowing some of its advantages:
1. The number of loans and tenors is quite limited
Even though the KTA promo flyer from banks offers loans of up to $ 200 million, you have to know this fact: still the bank will certainly guarantee the maximum loan according to your income.
Usually banks apply a ceiling of three to five times the income of the debtor. For example, if your salary is $ 7 million, the bank will only dare to give you a maximum loan of $ 35 million.
For tenors too, the loan period for this product ranges between a year and a maximum of five years. It’s different from multipurpose loans that can reach eight to ten years.
The amount of a KTA loan is arguably more limited than you are proposing a multipurpose loan. Because multipurpose usually requires collateral assets such as vehicles or housing certificates, so that banks also feel more “safe”.
2. Interest rates are quite high
Because the conditions are quite easy, of course the bank wants to get more profit. Especially here banks are more at risk of losing money because customers can just disappear (although there is still a legal process).
It is well understood that KTA loan interest rates are higher than multipurpose loans. On average, KTA interest rates are up to 2 percent per month. Meanwhile, multipurpose loans are only one percent or even below that.
3. Limited debtor
Here it is that you should pay attention to. This loan is usually only intended for you who are employees or entrepreneurs and professionals. So, for those who work freelance , it will be very difficult to get approval. In fact, even entrepreneurs are sometimes still difficult to get KTA loans from banks, because they are considered not ” settle “.
4. Must have a credit card
One of the most crucial documents if you want to submit a loan without collateral is a credit card. This is because banks will see your ability to pay through your credit history on credit cards.
Do not all employees or entrepreneurs already have a credit card right? But if one day you need a KTA, it’s good from now on you want credit card ownership. Just so you know, when applying for a KTA, your credit card must be at least one year old, you know.
5. Fees and other fees are quite high
Provision fees are a kind of initial administration fee that will be deducted before the KTA funds are transferred to your account.
These funds can reach $ 500 thousand, you know. Just imagine if you borrow $ 10 million then you only receive $ 9 million. That has not been calculated also with the annual fees, the cost of penalties when doing the acceleration of repayment, and the cost of a little delay.
6. Risks in debt
This risk comes from yourself. However, some of the shortcomings mentioned earlier become one of the factors as well.
If you don’t count carefully, KTA can be wrapped around you. This is because the interest rates are quite high juxtaposed also with a short tenor. The amount of your installment might be quite burdensome. Therefore, make sure your total installments (not just KTA) is not more than 30 percent of salary.
Plus, don’t forget to make wise use of this KTA money according to the initial purpose. Don’t use it for snacks! Oh yeah, after that, make sure to tighten your belt as long as you have a KTA loan installment.