70 THE EFFECT OF TOTAL SAVINGS, AMOUNT OF DEPOSITS, AND INTEREST RATE ON THE AMOUNT OF CREDIT PROVIDED BY PT. BPR MITRADANA MADANI MEDAN Warsani Purnama Sari , Linda Lores , Tizka Bizlanie Accounting Study Program, Faculty of Economics and Business, Medan Area University E-mail: warsanipurnamasari@gmail.com Abstract This study aims to determine the effect of the amount of savings, amount of deposits, and interest rates on the amount of credit at PT. BPR Mitradana Madani Medan, either partially or simultaneously. This type of research is an associative study. The type of data used in this research is quantitative data and the data source in this study is secondary data. The sample in this study is the total amount of savings, deposits, credit and average of interest rates per month for the period August 2014-August 2018. The techniques that researchers do to collect the data needed in the study are observation and study documentation. The data analysis technique used in this study is analysis multiple regression. The results of this study indicate that the variable amount of savings (X1) partially has a significant positive effect on the amount of credit (Y). While the variable amount of deposits (X2) has no positive and no significant effect on the amount of credit (Y). And the interest rate variable (X3) partially has a significant negative effect on the amount of credit (Y). And based on the F test, simultaneously the amount of savings, amount of deposits, and interest rates have a positive and significant effect on the amount of credit given by PT. BPR Mitradana Madani Medan. Keywords: Amount of Savings, Amount of Deposits, Interest Rates, Amount of Credit. 1. INTRODUCTION The role of banks is very important for the development and economic growth which continues to increase at this time. Almost all aspects of life will not be separated from the role of banks and other financial institutions. In conducting bank business activities, it is not only for profit, but also aims at improving the standard of living of the community. Bank Perkreditan Rakyat (BPR) is a credit bank that provides credit to customers micro, small, or medium enterprises in increasing business financing, because in general, micro and small entrepreneurs need assistance from outside parties. The current existence of Rural Banks (BPR) is not as well known by the wider community as other conventional commercial banks. So far, most people only recognize BPR as a bank that provides credit. However, BPRs also receive funds from the public. Similar to commercial banks, people who save at BPR are also guaranteed by the Deposit Insurance Corporation (LPS), as long as the placement of these funds still meets predetermined criteria. Savings are the safekeeping of funds that the public likes the most, and can also be opened with simple terms and conditions. While deposits are deposits whose withdrawals can only be made at a certain time in accordance with the agreement between the customer and the bank. In addition to providing savings and time deposit facilities, banks also provide credit services. Lending (credit) is the service that most attracts the public. And it can be said that credit is the heart of banking. The performance of Rural Banks (BPR) is still experiencing several problems, both from the internal side and from the external side. The problems seen from the internal side of the company are capital, corporate structure (Good Corporate Governance - GCG), the quality and quantity of human resources (HR), high costs that are impacted by interest rates, and products or services that are still not varied. Government policies are increasingly pushing BPRs to bankruptcy. The People's Business Credit (KUR) is one of them. The KUR program offers a lower interest rate, so in theory it will make competition at the microfinance level tighter. Since 2015 the KUR interest rate has