Lending by banks is the risk of failure or congestion in the repayment, which can affect the health of banks. Because that the bank is sourced from public funds deposited in the bank, then the risks faced by banks may also affect the security of public funds.
This thesis was to determine and analyze non-performing loans. In the preparation of this thesis, the methods used are qualitative and quantitative methods to obtain a clear picture of the analysis of problem loans to borrowers who have at PD. BPR Bank Karanganyar.
Non-performing loans at PD. BPR Bank Karanganyar due to several factors, including customers who are late paying installments due to decreased business earnings, crop failure, or the dispotition of customers who do not want to pay the installments and pay of the loan. Of the bank may becaused by the credit analysis may be less careful and not including 5C in the process of implementing elements of analysis for the realization of the credit because of the other elements of fraud.
Conclusions obtained from analysis of the emergence of non-performing loans at PD. BPR Bank Karanganyar due to the implementation of elements of 5C, character, capacity, capital, collateral, and condition of economy, yet its full potential, and efforts made to collect from borrowers is also less than the maximum.