Legal Protection of Customers Using Fintech Services from an Indonesian Positive Legal Perspective

Abstract

This study aims to examine customer protection in fintech agreements from the perspective of Positive Law, focusing on the company's responsibilities towards customers who use fintech services. Utilizing normative legal research methods, the study identifies forms of legal protection available to customers engaging in fintech financing. There are two types of legal protection: preventive and repressive. Preventive legal protection includes measures for users of fintech services, particularly online lending and borrowing. Before any disputes arise, online loan service providers can take preventive actions. These efforts involve adhering to fundamental principles of legal protection for service users, as outlined in Article 29 of POJK Regulation Number 77/POJK.01/2016 regarding Online Money Lending and Borrowing Services. These principles encompass transparency, fair treatment, reliability, data security, effective and efficient dispute resolution, and affordability. Repressive legal protection, on the other hand, addresses disputes that have already occurred, including administrative and criminal sanctions in cases of negligence by the fintech institution. Disputes in online lending and borrowing services can occur between users themselves or between users and service providers. Additionally, the legal position of Fintech Risk and Investment Management companies in Indonesia involves facilitating easier and more practical financial planning and monitoring. The responsibility of business actors is a legal obligation arising from agreements or contracts. Specific regulations are still required to enhance protection for customers of Fintech Risk Management and Investment services in Indonesia.