Requirements and Ways to Get an Indonesian Credit Card

Sep 20, 2023


To encourage the use of cashless payment methods in the state budget (APBN) spending, Bank Indonesia released the Government Credit Card. Then, since the 2023 FEKDI (Indonesia Digital Economy and Finance Festival) on May 7-10, 2023, the Government Credit Card was rebranded the Indonesian Credit Card to improve spending accountability while encouraging digital transformation.

The use of the Indonesian Credit Card is expected to encourage development throughout Indonesia, both by the central and local governments. Then, how to get the card?

Requirements for Ownership of an Indonesian Credit Card

Not much different from the previous Government Credit Card, the Indonesian Credit Card can only be owned by certain groups. In other words, those who can use this card for transaction purposes are limited to officials and/or employees of the central and local government work units.

In addition to civil servants who hold administrative positions, other government personnel such as the Indonesian National Armed Forces (TNI) and police can also own Indonesian Credit Card. However, the Indonesian Credit Card may not be used for the personal needs of the civil servant. Instead, to pay for the procurement of goods or services that can support work operations. For example, renovation of office buildings, employee travel expenses for development activities, and the like.

Application Procedure for Indonesian Credit Card

Minister of Finance Regulation No. 97/PMK.05/2021 in lieu of Minister of Finance Regulation No. 196/PMK.05/2018 on Procedures for Payment and Use of Government Credit Cards also regulates the steps for applying for an Indonesian Credit Card. Therefore, to get an Indonesian Credit Card for payment purposes, a work unit must follow these procedures:

1. Submission of documents

Representatives of work units that want to have an Indonesian Credit Card must prepare a number of documents before following the specified registration process. The following are the documents that must be submitted to the relevant Budget User Authority (KPA):

  • Reference letter from work unit stakeholders;
  • Indonesian Credit Card Registration Form from the cooperating bank as the issuer;
  • Copy of the active ID card of the Indonesian Credit Card holder;
  • Copy of NPWP;
  • Copy of Approval Letter for the amount of supply money issued by the State Treasury Service Office (KPPN);
  • Copy of KPA Appointment Letter.

2. Issuance of the Indonesian Credit Card

After receiving all the required registration documents, the Issuing Bank partnering with the Indonesian Credit Card program will verify the Application Letter for the Issuance of the Indonesian Credit Card and all supporting documents. 

This verification stage includes checking the amount of the proposed transaction limit based on the provisions of the bank as well as the Approval Letter for the amount of supply money issued by KPPN. This verification step is carried out to ensure that the limit requested by a work unit is in accordance with the limit so as not to exceed the budget.

3. Handover of the Indonesian Credit Card

If the Budget User Authority’s application passes the Issuing Bank’s check, the Budget User Authority will receive a special credit card for government personnel from the bank. After that, they can hand over the card to the work unit that submitted the application or the Indonesian Credit Card holder. To prove its validity, the handover of this credit card is proven by the Minutes of the Handover of the Indonesian Credit Card and the Indonesian Credit Card Usage Agreement Letter with the signatures of the Budget User Authority and the Indonesian Credit Card holder.

4. Activation and use of Indonesian Credit Card

After the handover is complete, the Indonesian Credit Card cannot be used immediately. Credit card holders must first carry out an activation process. This is done by contacting the Indonesian Credit Card Administrator for assistance or activating it yourself through call center services, SMS support, or other means of assistance provided by the issuing bank. After following the instructions from the administrator and setting a PIN, Indonesian Credit Card users can make transactions with their new credit card.

Just like the application procedures and ownership requirements, the use of Indonesian Credit Cards is also regulated by law to support accountability. At the end of each transaction, various parties from the Commitment Making Official (PPK) to the work unit treasurer will check the validity of the Indonesian Credit Card receipt before the funds can be debited.

Because the purpose is only for state development spending, Indonesian Credit Cards can only be owned by certain groups, namely government officials and/or employees. 

The procedures for Indonesian Credit Card application and use are regulated by law to ensure that its functions are in line with the government’s initial objectives. With these regulations, cashless transactions for the state budget will become more secure, especially due to the additional infrastructure of Jalin Verified.

Jalin Verified provides advanced 3D Secure encryption technology to protect transactions with cards bearing the GPN including Indonesian Credit Card-so that they are not easily hacked by irresponsible parties. So, with an Indonesian Credit Card, fraud can be prevented. Jalin Verified and its benefits for banking service providers can be learned more here.

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