LEGAL PROTECTION FOR DEBTORS OF ONLINE LOANS

Dimas Pramodya Dwipayana* -  Universitas PGRI Madiun, Indonesia

DOI : 10.24269/ls.v4i1.2590

Business concepts has experienced change from conventional (offline) to that which is digital (online) to win the market. This includes businesses in the financial technology (FinTech). This research aims to analyze the quality of loans in Indonesia FinTech-Peer to Peer (P2P) Lending. The objects of this research are seventy-two companies which establish FinTech-P2P lending. The tool used in this research is the analysis of the loan quality and the data trend from January until October 2018. Results of this research show that borrower and lender accounts have increased by 10,8 times, and it has increased by 1,8 times compared to the previous year. P2P lending has distributed loans as much as Rp.15.990.143.141.355 until October 2018. This number has grown 5,3 times since January of that year. Most of the loans in the P2P lending are current loans, in which its monthly payment is less than 30 days past due as of any date of determination. On average, the loan quality in the P2P lending is dominated by current loans, which reach 97,09%. The rest are non-current loans (1,90%) and bad loans (1,03%) every month. The low rate of non-performing loans shows a good quality of financial transaction. The information from this research may be used as a consideration for the society in using FinTech-P2P Lending for lending funds and investment.

Keywords
Financial Technology, P2P Lending, Loan Quality in Indonesia
  1. Anikina, I.D., Gukova, V.A., Golodova, A.A. & Chekalkina, A. A. (2016) . Methodological Aspects of Prioritization of Financial Tools for Stimulation of Innovative Activities. European Research Studies Journal, 19(2)
  2. Atz, U., Bholat, D. (2016). Peer-to-Peer lending and financial innovation in the United Kingdom. World Bank Working Paper. April 2016. Staff Working Paper No. 598.
  3. Financial Stability Board. (2017). FinTech credit : Market structure, business models and financial stability implications. May 2017 . http://www.fsb.org/wp- content/uploads/CGFS-FSB-Report-on-FinTech-Credit.
  4. Giudici, P. (2018). Fintech risk management: a research challeng e for ar tificial intelligence in finance. Front Press, Paris
  5. Haewon, Y., Byungtae, L., & Myungsin, Ch. (2012). From the wisdom of crowds to my own judgment in microfinance through online peer-to-peer lending platforms. Electronic Commerce Research and Applications, 11(5), Seoul National University Press
  6. Inna, R., & Marina, K. (2016). Banking and fintech: a challenge or opportunity Contemporary Issues in Finance: Current Challenges from Across Europ e (Contemporary Studies in Economic and Financial Analysis). Volume 98. Emerald Group Publishing Limited, Singapore
  7. Koffi, H. W. S. (2016) The fintech revolution: an opportunity for the west african financial sector. Open Journal of Applied Sciences, New York
  8. Magee, J. (2011). Peer-to-peer lending in the United States: surviving after Dodd- Frank. North Carolina Banking Institue Journal.
  9. OJK RI. (2016). POJK No. 77 tahun 2016. Tentang layanan pinjam meminjam uang berbasis teknologi informasi. OJK RI. (2018). POJK No . 13/PJOK.02/2018. Tentang inovasi keuangan digital di sektor jasa keuangan.
  10. Otoritas Jasa Keuangan. (2018). Ikhtisar Data Keuangan Fintech (Peer To Peer Lending) Periode Oktober 2018. https://www.ojk.go.id/id/kanal/iknb/dat a-dan- statistik/fintech/Pages/Ikhtisar-Data-Keuangan-Fintech-(Peer-To-Peer-The Journal of Risk Finance, 20(1), 59-81.
  11. Pokorna, M., & Sponer, M. (2016). Social lending and its risks. Procedia – Social and Behavioral Sciences, vol 220
  12. Saksonova, S., Kuzmina, I., & Merlino. (2017). Fintech as financial innovation – the possibilities and problems of implementation. European Research Studies Journal, XX (3A), 961-973.
  13. Setiawan, S. D. (2018). Analisis transformasi kapabilitas penyedia layanan broadband perusahaan telekomunikasi Indonesia. Jurnal Manajemen Teknologi, 17(2), 76-94. doi: 10.12695/jmt.2018.17.2.1
  14. Sree, V. (2016). 7 Things to Know About Peer to Peer Lending. Market Calls: Simply ntelligent Technical Analysis, May 27 . https://www.marketcalls.in/personal-finance/7-things-know-peer-peer- lending.html
  15. Vlasov, V.A. (2017). The evolution of e-money. European Research Studies Journal, 20(1), 215-224.
  16. Wilson, J. D. (2017). Creating Strategic Value Trhough Financial Technology, 1st. Edition. Wiley Finance. Canada, 2017 . https://doi.org/10.1002/97811193186

Full Text:
Article Info
Submitted: 2020-04-24
Published: 2020-04-25
Section: Articles
Article Statistics: 81 30
Citation :