The Role of The Financial Services Authority in The Legal Protection of Privacy Rights in Connection with Personal Data of Fintech Lending Debtor in Indonesia

Abstract

The speed of disbursement of funds also makes fintech lending seems easy. Consequently, many people are interested to make credit. There are more than 900 alleged violations of law and human rights by online funding applications, including alleged violations of the privacy rights of the debtor’s personal data where billing is submitted not only to the debtor but also to all telephone contacts stored on the debtor’s cellphone without consent. This study is a prescriptive normative study through library research to look for secondary data by using primary, secondary, and tertiary legal materials and field researches. The study reveals several results. Firstly, although the Regulation of the Financial Services Authority Number 77 of 2016 has been published, fintech providers registered in the Financial Services Authority have not upheld a legal culture to protect debtors on the use of debtors’ personal data. Secondly, fintech lending makes it easier for Indonesian people to have a positive impact due to the speed of the application fund disbursement system but this convenience is not matched by the knowledge of debtors who do not read and pay attention to the contents of electronic contracts. Thirdly, as long as the Personal Data Protection Bill has not been ratified, as a preventive measure, the Financial Services Authority can take some alternative roles, namely Financial Services Authority should be involved in reviewing electronic contracts made by fintech lending and giving feasible recommendations on electronic contracts made by parties and standardize electronic contract contents so that each fintech lending company has the same and clear contract contents set by the Financial Services Authority.