Analysis of Factors That Affect the Distribution of Micro Credit in the Private Banking

Bank is a financial institution which grants credit. The objective of the research was to find out and analyze same factor such as Capital Adequacy Ratio, Fund of the Third Party, Non-Performing Loan, and Interest Rate which influenced granting micro-credit in private banks. The research was done at Bank Danamon, bank BTPN, Bank CIMB Niaga in the period of 2014-2019 by using quarter data. The research used quantitative method with secondary data in the form of panel data which were processed by using E-view’s program. The result of the research showed that 1) Capital Adequacy Rate (CAR) had negative and significant influence on granting micro-credit in private banks, 2) Fund of the Party had positive and significant influence on granting micro-credit in private banks, 3) Non-Performing Loan (NPL) had negative and significant influence on granting micro-credit in private banks, and 4) Interest Rate had negative and significant influence on granting micro-credit in private banks.