Skip to content

28/04/2020 News


As the coronavirus pandemic continues and the number of new confirmed cases still on the rise, the government of Indonesia has ordered its people to isolate themselves at home.

While this policy is needed to curb transmission, it is also a hard blow for some. Jobs are lost and income gets drastically slashed, leaving the most impacted scrambling to pay bills, including vehicle instalment if they have one.

The consequence of this decision does not escape the government, which has now issued various economic stimulus amid the pandemic. They include the relaxation of vehicle loan payments, both cars and motorcycles.

This does not mean that loans are waived, but vehicle owners can now at least negotiate for a more favourable terms of payment with the bank or financing company. Loan restructuring can result in, for example, extended tenor, partial deferment of the payable sum, or any other facilities that the lender may offer.

Moreover, the decision to restructure will be based on several criteria defined by the Financial Services Authority (OJK). Read more to know whether you’re eligible to apply for loan relaxation.


According to the Indonesia Financial Services Association, the criteria of eligibility are:

  1.  Persons directly impacted by COVID-19 with loan value below IDR 10 billion
  2. Workers in the informal sector and/or MSME owners
  3. Persons without outstanding payment prior to 2 March 2020, or the date the government announced the first coronavirus case
  4. Owner of the vehicle unit/collateral, and
  5. Other criteria specified by financing companies

How to apply?

  1. Go the official website of the financing company where you are registered as a debtor. Download and fill out the application form.
  2. Return the form digitally via email; at this time, debtors do not need to visit the company’s office
  3. Restructuring approval will be sent to you by email.

Please contact your financing company to know what additional criteria or specific loan facilities they may have. Their approval will also depend whether you are still the owner of a collateralized unit/other collaterals as stated in your financing contract.

If you are not eligible for loan relaxation, you are expected to complete payment as usual to avoid any penalty and the negative list of the Financial Information Reporting System.