The Board of Governors (RDG) Bank Indonesia on August 14, 2014 voted to hold the BI Rate at 7.50%. The central bank’s policy of maintaining reasonable amount of BI Rate was a consistent step in a bid to tame inflation.
BI’s announcement was definitely not welcome news. This means there will be no revision of interest rates on bank loans. If you happened to be a debt in the bank, the amount of the instalment ‘s you owe are still throttled. And of course the BI rate decision was a major influence on bank lending rates.
For some people, the rise and fall of interest rates on bank loans is enough to affect the family’s financial cash flow. Quite a lot of stories are about that illustrate how the increase in interest rates have left financial planning in ruins. The most rational choice is to implement changes to your spending habits by tightening your belts!
In situations like this, it was suggested talking to your bank and discussing this rate. Maybe you can pay smaller amounts over a longer time? Your negotiations must be based on a strong argument. But still do not attach high expectations. In situations when interest rates soar, it is difficult for banks to agree, particularly if you want a cut in the interest rate.
For those who have mortgage debt, may try to divert option mortgages to other banks. The term mortgage is called refinance. The ultimate goal of this effort is to get a lower interest than the previous bank. Hopefully this option can work if you are diligent with your efforts. Despite a favourable impression, do not rush to make a decision immediately. Affairs of mortgage refinance that nothing is really free. Customers are still required to pay off a number of predetermined payments to the bank. This is where the importance of the precision of calculating gains and losses of moving the mortgage debt to another bank must be carefully considered.
Then there are the costs that must be paid before you can move your debt to another bank. The main one is a penalty fee charged by the bank of origin due to faster repayment of the mortgage. Its value is between 1-2 percent of the remaining principal of the loan.
If you do not want the bother and worry of variable interest rates, the easiest option is to use fixed rate debt (fixed). For example, such a loan can be had from murabahah Islamic banks which is suitable for those who are always concerned with the rise and fall of interest rates on bank loans.