This legal writing intended to know and analyze: (1) factors causing failure of
debtor by insurance of guarantee rights in PT. Bank CIMB Niaga, Tbk
Yogyakarta Branch, and (2) legal effort of settlement that is conducted by PT.
Bank CIMB Niaga, Tbk Yogyakarta Branch to resolute the failure . Methodology
used in this legal writing was: interview to respondent. Respondents in this legal
writing were Head of Credit Department in PT. Bank CIMB Niaga Tbk,
Yogyakarta Branch. Method of analysis used was qualitative analysis method.
From the result of this legal writing, it gained two conclusions, i.e. (1) there are
some factors causing the failure of debtor to the insurance of guarantee rights in
PT. Bank CIMB Niaga, Tbk Yogyakarta Branch, i.e. the drawback of business
owned by the debtor. Thus, their business have bankruptcy, the disturbance to the
acceptance of fixed income of which disturbs to the financial condition of debtor,
and the credit given by bank is not used appropriately to the purpose of credit
providing (there happens credit misuse) by debtor. (2) Legal efforts of which are
conducted to the failure of debtor by insurance of guarantee right in PT. Bank
CIMB Niaga, Tbk Yogyakarta Branch by litigation effort, of which litigation is
the last effort conducted if the settlement efforts by compromise (compromised
settlement) has been conducted optimally however it have not been successfully
settled. Litigation process is conducted by execution of insurance of guarantee
right (for the guarantee object that has been burdened by guarantee right) or by
filing the Civil Pursuit (for guarantee object of which has never been burdened
Guarantee rights). Negotiation in litigation process is only possibly conducted for
the purpose to settle the debt of which is not possibly for the purpose of debt
restructuring. The suggestions submitted by author from the result of research are
(1) bank should precisely and deeply conduct analysis to the potential debtor in
giving credit decision and conduct more intensive supervisory in the
implementation of credit agreement by insurance of guarantee rights to anticipate
the risk of stagnant credit of which emerges from the providing of credit; (2) In
the trading of object of guarantee rights that is conducted privately by debtor for
settling his credit, the bank should requires the payment through bank account or
before the bank in order the result of trade is not misused by debtor.