Syndication loan is the loan which is granted by some banks and non-bank financial institutions in financing debtors, in which the inter creditor relationship among the members of the syndication banks is closely related and tenaciously coordinated by one bank as the coordinator which is called lead creditor or lead manager, and the subjects of the syndication loan are debtors, creditors, lead manager and bank agenciesThe result of the research showed that in practice, there were two kinds of syndication: Pure Syndication and Club/Join Banking. In the Pure Syndication, the loan syndicated by two or more banks is based on o loan agreement which is effected to all creditors. The loan agreement will be administered by the Representative. In the Club Deal, each creditor or debtor has loan agreement (bilateral), and the creditors will share the guarantee with the other creditors. The application is done by the guarantee representative who is appointed by the creditors.One thing which cannot be ignored in the loan agreement is the legal protection for the creditors if the debtors default, or they cannot pay up their debts. In the Pure Syndication, in order to cover the debtors’ finance, the debtors can give collateral as the hypothecation, not as the primary guarantee but as the supplementary one. In the Club Deal/Join Banking, the collateral which is guaranteed by the hypothecation is the primary guarantee because the creditors will share the guarantee with the other creditors. The application is done by the guarantee representative who is appointed by the creditors. The relationship among the creditors is established by themselves, while the relationship between the creditors and the hypothecation providers is established by one of the creditors on behalf of their own rights. In the application of syndication loan, the procedure of giving the hypothecation is similar to all cases, based on the Hypothecation Act.