THE ANALYSIS OF THIRD PARTY FUND (TPF), CAPITAL ADEQUACY RATIO (CAR), NON PERFORMING LOAN (NPL), AND BANK OF INDONESIA CERTIFICATE (BIC) TOWARD CREDIT COMMERCIAL POLICY (A CASE STUDY IN COMMERCIAL BANK IN INDONESIA PERIOD 2005-2011)

Abstract

Bank is the financial institution possessing function as the financial intermediary. Bank accepts the money savings from the society and then redistributes them upon the credit. The objectives of this research are to analyze the influence of Third Party Fund (TPF), Capital Adequacy Ratio (CAR), Non Performing Loan (NPL), and Bank of Indonesia Certificate (BIC) toward Credit Commercial Policy period 2005-2011. The reason chooses this topic because the existence of phenomenon of the non-optimized banking credit distribution. It is shown with Loan to Deposit Ratio (LDR) that is still below the expectation of Bank Indonesia. The method of this researcher is using quantitative method and used the multiple regression in calculate the data. The data that used of research is from secondary data which taken from Bank Indonesia website that have published to the public. The secondary data are Credit, Third Party Fund (TPF), Capital Adequacy Ratio (CAR), Non Performing Loan (NPL), and Bank of Indonesia Certificate (BIC) of Commercial Bank. The general result of this research is the independents variables, which are Third Party Fund (TPF), Capital Adequacy Ratio (CAR), Non Performing Loan (NPL), and Bank of Indonesia Certificate (BIC) affected significantly toward Credit Commercial Policy partially and simultaneously, it indicate by the F-test result and T - Test result are 0.000 respectively. The value of R square is also indicates there are influences between those variables. The result of R square is 99.5%, which mean that the variable of Third Party Fund (TPF), Capital Adequacy Ratio (CAR), Non Performing Loan (NPL), and Bank of Indonesia Certificate (BIC) could explain 99.5% of the volatility of Credit Commercial Policy, while the remaining 0.5% would be explained by other variable outside of this research.