Role of the Financial Services Authority (OJK) to Protect the Community on Illegal Fintech Online Loan Platforms

Abstract

This article describes the duties, functions and authorities of the Financial Services Authority (OJK) in providing supervision and regulation of the development of types of businesses in the financial services sector in Indonesia, one of which is regulating Financial Technology (Fintech). The fintech concept adapts technological developments in the Industrial Age 4.0 combined with the financial sector, which later is expected to facilitate more practical and secure financial transaction processes. The role of the Financial Services Authority (OJK) in protecting the public against illegal fintech online lending platforms (Peer to Peer Lending). Online loans are increasingly spreading during the Covid-19 pandemic, so OJK has a very important role in preventing and protecting the public against illegal online loans. OJK provides education and socialization so that people can be more selective and wise when they want to make loans online.

Keywords: OJK, Fintech, Online Loans, Peer to Peer Lending

JEL Classification: G28