Experiencing accumulated debt will certainly have an impact on your name in the Bank Indonesia Debtor Information System (SID). When checking data at Bank Indonesia, or commonly called BI Checking, you can usually see firsthand whether your name is really clean, or have had a bad track record due to delinquency. For that, you need to find out how to clean BI Checking and take strategic steps to be able to clear the name from BI’s blacklist.
How to Clean BI checking
How to clean BI checking is actually nothing but paying off debts that are still in arrears on the bank, either in the form of credit cards or KTA. Usually after you have successfully paid off all the remaining arrears (including fees such as late fees, administration, interest, etc.), the bank will update the data to Bank Indonesia. Later, your name will come back clean, and you can re-apply for a loan like you used to, because the name has been recorded as responsible for paying off arrears. ( As of January 2018, the entire BI Checking process to obtain a Historical IDI can no longer be accessed through Bank Indonesia. You can get it through the Financial Services Authority (OJK) in the Financial Information Service System (SLIK)
Unfortunately, when you want to pay off arrears, many problems usually block. This is usually the reason why someone is in debt and is unable to clear his name at BI Checking. The following are some of the causes that make a person unable to pay the debt and make himself included in the list of bank customers BI blacklisted.
Family Backbone Loss
The most common cause is because the main producing source in the family dies. Events like this certainly greatly affect financial conditions. It could be that the family’s backbone still has installments that can still be repaid, only when the family member dies, there are no more members able to pay off the installments to completion. The stagnant flow of income in family finances is often the main reason why someone is in debt. Not to mention, often debt can also be inherited to the family and still must be repaid. This in itself has an exception if the debtor (owner of the debt) has had time to insure the credit card or loan he has.
Loss of a job
The existence of a program to cut the number of employees often brings a domino effect. Why not, if someone loses his job, then of course many needs that cannot be fulfilled. Not to mention, there are debts that still need to be settled. This is what often causes limited income to be allocated in advance for other purposes, and the debt is left in arrears. Though the debt should be a priority so that the name can still be recorded cleanly in the Historical IDI.
Affected by a disaster
Disasters such as natural disasters, illnesses, or accidents can certainly cause someone to be hit by debt. The amount of costs that have to be spent again is the reason why someone is unable to pay off the debt that has been running, or even start applying for loans without knowing whether he can pay off the debt or not.
Generally, to start a business requires considerable capital, so it is not uncommon for people to use KTA to start their business. Although this is an inappropriate decision, there are still many people who use KTA to start a business, not to develop a business. When the business runs smoothly, often entrepreneurs will slowly be buried in debt piles that often have a large nominal and are hard to pay. (Read also: Want to Use Bank Loans to Grow Your Business? Read This First!)
Using the Relief Program as a Way to Clean BI Checking
How to clean BI Checking that you can do for example by using a relief program. This relief program is usually referred to as credit restructuring. According to the Bank Indonesia Regulation , credit restructuring is an improvement effort made by the Bank in credit activities to debtors who have difficulties in fulfilling their obligations. The results of this credit restructuring can usually alleviate customers so that they can better afford to pay.
There are several types of relief programs that can be obtained, for example: getting a discount on credit, deductions with extended installments, or a combination of both.
One-time discount / discount
This type of relief program allows customers to reduce their total debt to smaller amounts. As the name implies, even though the customer gets a discount in his debt, they must pay directly in one payment.
Extended Installments with Low Interest
Unlike the one-time discount program, this one program is suitable for those who are financially less. In short, customers who have credit card arrears or KTA arrears can extend their installment tenure to be lighter, the interest earned is lower than the prevailing interest rate in general.
Another program with this one, this type of program is a combination of the two types of programs above, namely customers get a discount and the remaining payments can be made in installments. The bank will also see the conditions experienced by the customer first. If the customer has supporting conditions that make it more difficult to pay off the debt, then it is likely that they can get this program (provided that the bank in question has the program).
To get the relief program above, you can ask for help from a company that provides debt management program services. Companies like this usually have experienced teams that are professional in helping you to strategize in paying off debt. Not to mention if you have multiple debts in various banks at the same time, of course a company that provides a debt management program can help you to formulate a strategy and decide which type of arrears must be completed in advance according to the financial conditions that you have. One company that you can use is Prospero.
Prospero international is the first technology-based professional services company in Indonesia, which provides a debt management program. This program is designed so that consumers who are in debt, have the ability to control their finances again. Prospero Indonesia helps clients through a debt management program, specifically designed to suit different needs for each client. This program is a combination of education on various opportunities to increase income and reduce expenditure, as well as conduct negotiation processes on existing bank debt requirements to reach the amount of payment that is in accordance with the ability. Prospero Indonesia headquarters was established in Jakarta in 2015 by a founding team that has collective experience in finance including debt settlement for more than two decades. Prospero makes Indonesia the center of operations as well as a blueprint for the company’s development plan to other ASEAN countries. Since July 2016, Prospero Indonesia has become the first company in Asia to get accreditation from the International Association of Professional Debt Arbitrators (IAPDA).