KAJIAN PERLINDUNGAN KONSUMEN INDUSTRI FINANCIAL TECHNOLOGY DI INDONESIA

Abstract

Financial Technology (Fintech) involves the optimal use of technology to disrupt the landscape of financial services in Indonesia. The industry has experienced rapid growth, evidenced by a 78% increase over the past decade, involving 140 companies with transaction values reaching Rp 202.77 trillion. Consumer protection poses a significant challenge, as indicated by 3,903 complaints to the Financial Services Authority (OJK) in the first half of 2023. This study aims to observe the arrangement of consumer protection in Indonesia's fintech sector.  The research methodology employs descriptive analysis and literature review, comparing consumer protection in Fintech between Indonesia and other countries. This study finds that regulatory gaps result in lower consumer protection in fintech compared to traditional financial products. Furthermore, it identifies the emergence of risks associated with platform unreliability, insufficient product information, data privacy issues, and conflicts of interest. To comprehensively safeguard consumer interests, more comprehensive regulatory frameworks and enhanced coordination among stakeholders are necessary.