The Financial Services Authority (OJK) has taken firm action by imposing administrative sanctions on 30 peer-to-peer (P2P) lending fintechs found violating regulations. This intensified supervision aims to improve corporate governance and curb the increasing fraud in the online lending industry. Nonetheless, the sector continues to show positive growth with declining non-performing loans, supported by aggressive illegal lending eradication efforts led by Satgas PASTI.
Intensified Sanctions and OJK Oversight on Fintech Lending
From June to July 2025, OJK rigorously enforced regulations by handing out administrative sanctions to 30 P2P lending fintech platforms that breached OJK’s regulatory standards (POJK). Agusman, Head of Supervisory at OJK’s Financing Institutions, clarified these sanctions ranged from official warnings to administrative fines. The goal is to promote better governance, strengthen prudential principles, and enhance compliance across fintech companies.
OJK’s supervision activities involve comprehensive field visits, in-depth audits, management reviews, and evaluations of liquidation and Suspension of Debt Payment Obligations (PKPU) processes. Close coordination with law enforcement is also conducted to investigate suspected legal violations that could harm consumers and the financial sector.
Ensuring good governance in fintech financing is essential to build a sustainable industry that positively contributes to the national economy.
Crackdown on Illegal Online Lending Protects Consumers
In addition to disciplining licensed fintech firms, OJK along with Satgas PASTI continuously intensifies the crackdown on illegal online lenders that exploit and harm the public. More than 1,500 illegal lending entities have been blocked from January to July 2025 as a consumer protection and fintech industry stabilization measure.
Illegal lenders often charge exorbitant interest rates, employ aggressive collection tactics, and violate privacy, endangering borrowers. The closure of thousands of illegal platforms aims to foster a transparent, accountable, and trustworthy fintech ecosystem, increasing public confidence in legitimate digital lending services.
Positive Performance of Peer-to-Peer Lending Sector Amidst Tight Oversight
Despite strict supervision and regulatory sanctions, the peer-to-peer lending sector demonstrates encouraging performance. Outstanding financing in this sector reached IDR 83.52 trillion as of June 2025, growing 25.06% year-on-year (YoY). Meanwhile, the 90-day non-performing loan ratio (TWP90) improved, dropping from 3.19% in May to 2.85% in June 2025.
The Indonesian Joint Funding Fintech Association (AFPI) supports OJK’s measures actively by providing guidance, educating industry players, and consolidating compliance efforts to advance a healthy and trusted fintech industry. This collaborative approach helps ensure stability while expanding responsible digital financing access to the public.
Fraud Challenges and the Importance of Data Protection in Fintech
The rise of fraud cases in the fintech lending industry signals a strong need for robust personal data protection and reliable digital verification mechanisms. Fast and accurate verification technologies must become standard to mitigate risks of identity misuse, data manipulation, and increasingly sophisticated fraud schemes.
Layered and integrated data protection technologies effectively detect suspicious activities in real-time, sending early alerts to fintech providers and users so preventative actions can be taken promptly. This strengthens fintech compliance with data protection regulations while safeguarding business reputations.
Enhancing digital security infrastructure also boosts user trust in official lending services and narrows opportunities for financial criminals.
Leading-Edge Digital Protection and Verification Solutions for Secure Transactions
Implementing up-to-date digital protection and verification solutions is essential in today’s fintech landscape. Ideal technologies feature:
- Fast and accurate digital identity verification using biometric authentication, face matching, and liveness detection to ensure user authenticity.
- Multi-layered data protection with high-level encryption and real-time monitoring to prevent unauthorized access and data breaches.
- Automated anomaly and fraud detection leveraging artificial intelligence to monitor transaction patterns and provide early warnings.
- User-friendly security processes delivering efficient onboarding while maintaining stringent safety standards.
Such advanced technology allows fintech providers to offer safe services while maintaining data integrity and market reputation.
Choose Professional Digital Protection Solutions
Securing your personal data and digital transactions is crucial in the ever-evolving fintech industry full of risks. Opt for protection and verification services that:
- Provide fast, precise identity verification
- Deliver maximum protection to your data and transaction activities
- Monitor suspicious behavior in real-time
- Comply with national and international data security standards
These solutions help you engage with fintech confidently, securely, and reliably.Visit beeza.id to access trusted digital transaction protection and identity verification services designed to safeguard your personal data from fraud and misuse in the digital era.