At a Glance
Pay for your consumption expenditures and invest in Mutual Funds and Bonds
For each IAL Facility, you can put more than 1 (one) product as collateral.
Competitive interest rates with small provision fees.
Loans up to 70% of your total investment funds.
IAL Facility
|
Type |
Collateral |
Term |
Fund Limit |
|
Mutual Funds as Collateral |
Money Market Fund, Fixed Income Fund, Balanced Fund, Equity Fund, (In IDR & USD) |
≤1 (one) year |
≥IDR 100 million per product put as collateral |
|
Bonds Collateral |
(In IDR & USD) |
≤ dependent upon the term of the product put as collateral, or the shortest term if the product put as collateral is more than 1 (one) |
≤ IDR 10billion
|
How to Calculate Daily Interest of IAL Facility.
The accumulation is based on the daily interest at the end of each month and it becomes collectible interest at the beginning of the following month.
The amount of collectible interest not paid will automatically reduce the amount of the unused IAL Facility.
Daily interest of IAL Facility = Value of IAL Facility used X Interest Rate of IAL Facility X Amount of days of usage of IAL Facility / 360
Illustration of Interest Calculation.
|
Value of IAL Facility Rp250,000,000 |
Tenor of IAL Facility 12 months |
Interest of IAL Facility 10% |
|
|
First Month |
Second Month |
||
|
Value of use: Rp100,000,000 Remaining value of IAL Facility: Rp150,000,000 Interest on usage of IAL Facility = Rp100,000,000 x 10% x 30 days 360 = Rp833,333 |
If the collectible interest is not paid, then the value of IAL Facility in the 2nd month is: Remaining value of IAL Facility - collectible interest Rp150,000,000 - Rp833,333 = Rp149,166,667
|
||
Loan To Value ("LTV") Ratio:
|
Maximum 70 % |
of the total investment funds in Mutual Funds / Bonds / Structured Products |
During the period of the provision of IAL Facility, the Bank will monitor LTV (Loan to Value) so that it is within the specified limit at all times |
LTV = Facility limit or total outstanding (Whichever is higher) X 100% / Market value of collateral
Two possibilities that require a follow-up from you:
2. If LTV is 75% < LTV <80%, Collateral Shortfall will occur.
|
|
Composition of Products Put as Collateral |
% |
Value (Rp) |
|
First Day |
Mutual Fund A |
|
300,000,000 |
|
Mutual Fund B |
|
400,000,000 |
|
|
Mutual Fund C |
|
300,000,000 |
|
|
Total Market Value of Products Put as Collateral |
|
1,000,000,000 |
|
|
Loan to Value |
70% |
|
|
|
Maximum Value of Loan Facility (fixed during the facility tenor) |
|
700,000,000 |
|
|
Value used (assumption) |
|
300,000,000 |
|
|
Composition of Products Put as Collateral |
% |
Value (Rp) |
|
Second Day* |
Mutual Fund A |
|
250,000,000 |
|
Mutual Fund B |
|
350,000,000 |
|
|
Mutual Fund C |
|
300,000,000 |
|
|
Total Market Value of Products Put as Collateral |
|
900,000,000 |
|
|
Loan to Value |
70% |
|
|
|
Maximum Value of Loan Facility (fixed during the facility tenor) |
|
700,000,000 |
|
|
Value used (assumption) |
|
300,000,000 |
*There is market movement of the products put as collateral
|
Calculation of Status |
Status of IAL Facility on the second day |
|
|
||
|
700,000,000 900,000,000 |
X |
100% |
= |
77.78% Collateral Shortfall |
|
You have 4 (four) business days (T+4) after notice from the Bank to do a follow-up as stated below. Otherwise, the Bank may liquidate the collateral on the following 1 (one) business day.
|
Status |
LTV |
Duration of Settlement |
|
Collateral Shortfall |
75% < LTV <80% |
4 business days |
FOLLOW-UP
|
If the IAL Facility has not been fully used |
If the IAL Facility has been fully used |
|
|
2. If LTV is ≥85%, Forced Selling will occur.
|
|
Composition of Products Put as Collateral |
% |
Value (Rp) |
|
First Day |
Mutual Fund A |
|
300,000,000 |
|
Mutual Fund B |
|
400,000,000 |
|
|
Mutual Fund C |
|
300,000,000 |
|
|
Total Market Value of Products Put as Collateral |
|
1,000,000,000 |
|
|
Loan to Value |
70% |
|
|
|
Maximum Value of Loan Facility (fixed during the facility tenor) |
|
700,000,000 |
|
|
Value used (assumption) |
|
300,000,000 |
|
|
Composition of Products Put as Collateral |
% |
Value (Rp) |
|
Second Day |
Mutual Fund A |
|
250,000,000 |
|
Mutual Fund B |
|
350,000,000 |
|
|
Mutual Fund C |
|
250,000,000 |
|
|
Total Market Value of Products Put as Collateral |
|
850,000,000 |
|
|
Loan to Value |
70% |
|
|
|
Maximum Value of Loan Facility (fixed during the facility tenor) |
|
700,000,000 |
|
|
Value used (assumption) |
|
300,000,000 |
*There is market movement of the products put as collateral
You have 2 (two) business days (T+2) after notice from the Bank to do a follow-up as stated above. Otherwise, the Bank may liquidate the collateral on the next 1 (one) business day. The proceeds from liquidation of the collateral due to Forced Selling is directly deposited to the loan account and if there is an excess, it will be credited to your account.
|
Status |
LTV |
Duration of Settlement |
|
Forced Selling |
≥ 80% |
2 business days |
EXCESS USAGE
In the case of usage of facility exceeding the LTV limit at 70%, you will be given 15 (fifteen) business days (T+15) after notice from the Bank to take action. The bank will immediately liquidate the collateral in the following 1 (one) business day (T+16) if there is no follow-up from you.
|
Status |
Duration for Settlement |
Duration of Settlement |
|
Excess Usage |
T+15 business days |
Pay the excess in usage of IAL Facility |
Eligibility & Fees
-
Indonesian citizen and individual customer.
-
Minimum age of 21 and maximum age of 65 at the time of application.
-
The IAL Facility will be used for consumption expenditure.
-
The currency of the product put as collateral must be the same as the currency of the IAL Facility.
-
Investment products to be put as collateral are not being put as collateral for other loan facilities at DBS Bank.
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