robbing Peter to pay Paul
Also called: utang baru bayar utang lama
Borrowing new money to pay old debt, making the burden pile up further.
What it means
Robbing Peter to pay Paul is a pattern of borrowing new money to pay old debt that is due. The debt doesn't shrink; it just moves to another lender. This pattern often appears when a family runs out of cash near the due date.
Why it matters for families
This pattern makes total debt and interest grow larger because each new loan adds cost. Over time, the family loses track of how much debt there really is. If left unchecked, all income can be used up just paying interest without touching the principal.
Example
For example, someone has a loan bill of Rp3 million due this week. Because there's no money yet, they borrow Rp3.5 million from another app. Next month they have to pay Rp3.5 million plus interest, then borrow again. The debt keeps growing even though the original need is the same.
Common misunderstanding
Many people feel safe because the old bill is paid off. In fact, the debt isn't settled; it just moves and adds cost.