Legal Protection for Debtors with Non-Performance Debtors Due to Cessie Practices in Banking Agreements

Authors

  • Juliman Juliman University of Merdeka, Indonesia
  • Kadek Wiwik Indrayanti University of Merdeka, Indonesia
  • Diah Aju Wisnuwardhani University of Merdeka, Indonesia

DOI:

https://doi.org/10.47814/ijssrr.v8i3.2609

Keywords:

Bad credit; Cessie/ Debt Transfer; Creditor; Debtor

Abstract

The debtor defaulted while the creditor desired that the receivables owned be received immediately, aka no longer having to collect from the debtor, who is most likely unable to pay off the credit. This Cessie action is considered legal and can be carried out in Indonesia. However, no single rule regulates its implementation so that it is not carried out arbitrarily. Because the implementation of Cessie in practice is sometimes very detrimental to the debtor, especially debtors whose remaining debt is not much or has little remaining, it is necessary to know the legal regulations related to the transfer of receivables (cession) in resolving bad debts in Indonesia, and what form of legal protection for debtors who are harmed by the implementation of cession according to positive law. This study uses a normative research method with an analytical descriptive analysis method. The regulation of cession is generally regulated in the civil code, precisely in book three concerning obligations and in several special laws such as the Mortgage Law and the Fiduciary Law, and Bank Indonesia regulations in general, cession is permitted as long as the parties agree on it by making a new agreement. Meanwhile, the legal protection for the harmed debtor is a cession agreement that the debtor is not informed of. It can be categorized as an invalid agreement because the object still belongs to the debtor, so it can be canceled or null and void by law.

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Published

2025-03-10

How to Cite

Legal Protection for Debtors with Non-Performance Debtors Due to Cessie Practices in Banking Agreements. (2025). International Journal of Social Science Research and Review, 8(3), 1-9. https://doi.org/10.47814/ijssrr.v8i3.2609

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