Credit Rescue: Ensuring Business Continuity and Financial Stability Amidst a Pandemic

DOI

10.2991/978-2-38476-052-7_68How to use a DOI?

Keywords

Credit; COVID-19; Rural Banks; Agreements; Legal Protection

Abstract

This study investigates how Rural Credit Banks changed credit agreements to save credit during the COVID-19 pandemic and the legal protection for debtors and creditors in credit rescue. Using a legislation (statute approach), the study finds that Rural Banks used novation, subrogation, cessie, and other addendum agreements to change credit agreements and save credit. Legal protection for debtors allows them to rearrange their cash flow to repay loans and maintain their businesses. Meanwhile, Rural Banks receive interest income and improve credit collectibility, ensuring the bank's health. The study concludes that written agreements provide legal certainty and protection for both parties during credit rescue.

Copyright

© 2023 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Sri Budi Purwaningsih
AU  - Misti Hariasih
AU  - Indri Fogar Susilowati
AU  - Akhmadjon Taniyev
PY  - 2023
DA  - 2023/05/22
TI  - Credit Rescue: Ensuring Business Continuity and Financial Stability Amidst a Pandemic
BT  - Proceedings of the International Conference on Intellectuals’ Global Responsibility (ICIGR 2022)
PB  - Atlantis Press
SP  - 619
EP  - 628
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-052-7_68
DO  - 10.2991/978-2-38476-052-7_68
ID  - Purwaningsih2023
ER  -