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What is an Indenture in the Purchase of a Motor Vehicle? Know the Advantages and Disadvantages

Posted on December 23, 2023August 8, 2025 by syauqi wiryahasana

When buying a motorized vehicle, whether a car or motorbike, quite a few buyers will be asked to pivot.

For people who are buying for the first time, of course they will be confused about the meaning of pivot every time they want to make a motor vehicle transaction.

So what is meant by indent? Reporting from Daihatsu Indonesia, pivot is a procedure where the buyer must make an upfront payment before making a purchase.

When purchasing a vehicle, the prospective buyer will be asked to pay a certain amount of money as a down payment to the dealer.

By being given this down payment, prospective buyers will get exclusive rights to choose the color, transmission type, and others.

How long is the pivot time?

Each automotive manufacturer varies greatly in pivot time. It could be a matter of months to years.

This is due to several factors ranging from limited unit availability but too many purchasing requests, the production and delivery of cars from abroad to Indonesia, to administrative factors.

Advantages of buying a vehicle by pivoting

1. More affordable prices

With pivoting, consumers can get affordable prices rather than buying credit. Buying a car on an indent only provides a guarantee of an upfront purchase agreement.

Meanwhile, buying on credit will of course be more expensive because of the additional credit tax.

2. According to the desired specifications

Consumers can choose goods that match what they want by using this pivot system.

3. The down payment can be returned in full

The down payment paid by the consumer can be returned in full if the dealer is unable to provide the car unit the consumer wants.

Disadvantages of indent

1. Long waiting time

The disadvantage of car indent is that the car delivery time is long. Not very suitable, for those of you who are in a hurry to own a car.

2. There is no certainty

The next drawback, there is no certainty from the dealer. And this incident has happened many times.

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