The Kredit Usaha Rakyat (KUR) program in Indonesia has been instrumental in providing financial support to micro, small, and medium enterprises (MSMEs) since 2007. As of December 2014, KUR has channeled approximately US$13.7 billion to 12.4 million borrowers, playing a vital role in supporting the development of the MSME sector in accordance with Indonesian law. Since June 2015, the government has implemented interest rate caps and introduced various subsidies and guarantees through state-owned credit guarantee companies. However, discrepancies in KUR distribution have emerged, leading to increased default risks. This study delves into the impact of KUR on the economic behavior of MSME owners, particularly focusing on financial discipline and household consumption habits. By analyzing the differences in behavioral patterns between KUR recipients and non-recipients, this research aims to provide insights into the effectiveness of the KUR program and its implications on economic behavior among MSMEs in Indonesia.