Peer-to-peer lender Pintek predicts that it’s going to see a spike in training loan requests in September as public universities announce acceptances.
The corporate’s cofounder and president-director, Tommy Yuwono, stated personal universities in Indonesia would open their second section of enrollment for the 2020 consumption throughout the identical interval.
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“Unlike other peer-to-peer lenders, most of our loan requests are cyclical according to the beginning of the new school year, which is around August and September,” he stated in an interview with The Jakarta Put up on Tuesday.
“This is because people prioritize education spending, even when other spending is down,” Tommy stated, including that the corporate had disbursed Rp 70 billion (US$4,772) since its institution in 2018.
He added that Pintek gathered funds from banks, monetary establishments and household places of work, whereas different peer-to-peer lenders often applied a crowdfunding model.
“This is because tuition needs to be paid in full, otherwise the student cannot continue their education. This model is different from business borrowers in other peer-to-peer lending platforms who can still run their project even if they do not reach full funding,” he stated.
Pintek presents loan of as much as Rp 300 million to pay tuition for colleges, universities and casual training and coaching. Debtors repay their loans in six-to-12-month installments with a 2 % rate of interest.
The corporate additionally presents working capital loans, bill financing for training establishments and is a cost associate for personal colleges and universities.
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Tommy stated most debtors had been paying college tuition with the funds and that 80 % of debtors had been college students’ mother and father, as borrower wanted to have a month-to-month earnings of Rp three million to be eligible for a loan.
Pintek plans to launch a brand new product subsequent month known as Pinjaman Pendidikan Instan (Instantaneous Training loan) to permit debtors to pay for training wants past tuition, resembling books and supplementary research applications.
“We are also in the process of obtaining a permit from the Financial Service Authority (OJK) to create a Sharia-based product, which hopefully can be launched next year,” Tommy stated, including that the Sharia-compliant loan possibility would create a possibility for Pintek to associate with pesantren (Islamic boarding colleges) and Islamic universities.