Regulation of Illegal Fintech Lending in Indonesia
- DOI
- 10.2991/assehr.k.211020.080How to use a DOI?
- Keywords
- Regulation, illegal fintech, lending
- Abstract
Presently, fintech lending in Indonesia is increasing significantly. Fintech lending is regulated with the Financial Services Authority Regulation Number 77 of 2016 concerning Information Technology-Based Money Lending and Borrowing Services. Until November 2020, there was 154 lending fintech registered and licensed in the Financial Services Authority. Besides this registered and licensed fintech lending, there are also many illegal fintech lending operating. Almost 2,591 illegal fintech lending business activities have been blocked with the Financial Services Authority. Unfortunately, this illegal fintech lendings are still emerging. Of course, this condition is not suitable for the development of lending fintech activities in Indonesia. Therefore, this paper tries to analyse why illegal fintech lending continues to emerge even though the Financial Services Activities has made various efforts to prevent it. The study of this research uses normative juridical. This paper concludes that the current regulations governing fintech do not strictly regulate illegal fintech lending. There need to be strict and heavy sanctions given to the perpetrators who carry out illegal fintech lending activities so that no one else dares to carry out such activities again.
- Copyright
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Abdul Rasyid PY - 2021 DA - 2021/10/21 TI - Regulation of Illegal Fintech Lending in Indonesia BT - Proceedings of the 1st UMGESHIC International Seminar on Health, Social Science and Humanities (UMGESHIC-ISHSSH 2020) PB - Atlantis Press SP - 562 EP - 566 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.211020.080 DO - 10.2991/assehr.k.211020.080 ID - Rasyid2021 ER -