binding of third party guarantee objects in financing agreement in pt multindoauto finance in padang city

Financial institutions both banks and non-banks play an important role. financial institutions isone non-bank institution that is developing rapidly. consumer financing is one form of financinginstitutions that is often encountered. the financing institution in practice uses guarantees provided bythe debtor are not entirely the debtor's personal property, but are collateral which is the property of thirdparties submitted as collateral. default is one that can occur during the ongoing financing and a thirdparty as the owner of the guarantee can also be made compared to an increase in default. in the financingagreement the parties only consist of creditors and debtors. the formulation of the problem in this returnis how the binding of third parties as collateral in spending and how legal protection to third parties theresearch method used is a sociological juridical method, namely discussing the problem by looking atapplicable legal norms then discussing with legal facts that in the field. the study was conducted at ptmultindo auto finance kota padang. binding of objects belonging to third parties is done with a letter ofrelease of vehicle ownership rights and financing agreements are only signed by creditors and debtors.one of the legal protection for guarantees is through fiduciary. decision of the constitutional courtnumber 18 / puu / xvii / 2019 regarding the implementation of fiduciary executions that were notvoluntarily approved by the debtor, the procedure must be carried out to execute a court decision withpermanent legal force. protection of the owner.