Legal Status of Credit Agreements with Certificates. Of Ownership whose Transfer Using a Fake Sale and Purchase Of Deeds As Credit Collateral Credit is one of the activities of banking institutions. In disbursing credit, the bank carries out several stages called the 5 C's, namely character, capacity, capital, collateral and condition of economic prospective customers. The identification process is carried out by determining the Bank's Credit portfolio. In determining portfolio allocations and interest rates, banks should also consider provisions 13 Wirjono Prodjodikoro, Perbuatan Melanggar Hukum, Dipandang Dari Sudut Hukum Perdata, Edisi Revisi, Bandung: Mandar Maju, 2018, page. 27. related to the precautionary principle. Banks as lenders have high risks, that's why banks must also carry out risk management, one of which is by applying the 5'C principle as an effort to apply the precautionary principle. Verification process by the bank's first-line operations in the credit sector. Verification is carried out by the branch. The branch, through witnesses, verifies each credit applicant Submitted by a prospective customer. The verification stage begins with examining financial, and legal documents, business projections, and collateral. In the verification process, accuracy is required from the credit officers at the branch to ensure the authenticity and correctness of the documents and the information contained in eachdocument. Failure in the verification process will result in bank losses. To verify the collateral, an investigation is carried out regarding the origin of the goodsto be used as collateral. In the case of land collateral, the bank checks with the National Land Agency (BPN). Credit analysis is carried out by credit analysts who have adequate credit knowledge. Credit analysts conduct credit discussions that refer to the principle of prudence in granting credit. The general principle applied by banks is to carry out analysis by paying attention to character, capacity, capital, collateral and economic conditions. After a credit analysis is carried out, the credit termination process is carried out by an official who has the authority to terminate credit. The bank conveys to customers the credit approval accompanied by information regarding the credit facilities provided, credit limits, interest rates, time periods and requirements that must be met by prospective debtors. The elements that contained in credit is:
