Juridical Problems of Standard Clauses in Fair Banking Credit Agreements

Sandi Iriawan and Budi Santoso
Additional contact information
Sandi Iriawan: Master Program in Law, Faculty of Law, Diponegoro University, Semarang
Budi Santoso: Lecturer in Magister Law Program, Faculty of Law, Diponegoro University, Semarang

International Journal of Research and Innovation in Social Science, 2024, vol. 8, issue 3s, 5204-5218

Abstract: The purpose of this study is to analyze: 1) How problematic are the standard clauses in fair banking credit agreements? 2) How is the construction of a fair banking credit agreement?. The research method used is empirical juridical with a statutory approach, concept approach, and case studies. The results showed that the construction of a fair banking credit agreement is an effort to create a fair agreement between the bank as the lender and the customer as the recipient of credit. Some important aspects that need to be considered in building a fair agreement are Information Transparency, Balance of Rights and Obligations, Customer Ability to Pay, Legal Protection, Principles of Trust and Honesty, Fairness in Interest and Fee Determination. By taking these aspects into account, bank credit agreements can be designed in a more equitable manner, reducing potential disputes, and increasing trust between banks and customers. Fairness in banking credit agreements will not only benefit customers, but will also support the stability and reputation of the bank in the long run. In addition, to ensure the sustainability of the principle of fairness, banks must constantly update and adapt their credit policies to regulatory developments as well as changing economic and market conditions. Banks also need to provide effective evaluation and feedback mechanisms to hear and respond to customer feedback, which in turn contributes to the creation of a banking system that is more inclusive and responsive to public needs.

Date: 2024
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.rsisinternational.org/journals/ijriss/ ... sue-3s/5204-5218.pdf (application/pdf)
https://rsisinternational.org/journals/ijriss/arti ... g-credit-agreements/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bcp:journl:v:8:y:2024:i:3s:p:5204-5218

Access Statistics for this article

International Journal of Research and Innovation in Social Science is currently edited by Dr. Nidhi Malhan

More articles in International Journal of Research and Innovation in Social Science from International Journal of Research and Innovation in Social Science (IJRISS)
Bibliographic data for series maintained by Dr. Pawan Verma ().