OJK to Oblige Fintech Companies to Disclose Disbursed Loans

TEMPO.CO, Jakarta - The Financial Services Authority (OJK) will add another requirement to ensure the transparency of online peer-to-peer (P2P) lending fintech company.

Director for Regulation on Licensing and Supervision of Fintech of the OJK Hendrikus Passagi, said that currently, the OJK is in the process of drafting a plan to oblige all P2P lending companies to include the number of disbursed loan and the number lenders and borrowers in their website. Although admitting that such data may be crucial for several P2P platforms, Hendrikus argued that all P2P companies will have to comply with the regulation.

"[The provision] will be completed within the next few weeks. Once we make the push, [P2P companies] will have to be open for public because it is part of transparency. So the public will rate the company," Hendrikus said as quoted by Bisnis on Wednesday, June 19, 2019.

The move will be made to prevent the misuse of P2P companies' registered status to gain access to funding. "Supposedly, once they receive registered status, [P2P companies] must actively approach small-medium enterprises. I am concerned that when they received a license, then only serve 100 customers, I am worried [the company] is just peddling licenses," Hendrikus said.

Previously, P2P lending companies have agreed to disclose their 90-days payment return rate (TKB 90). The number also used to indicate the default rate within 90-days of a certain P2P platform.

For P2P companies that did not apply this system, sanctions will be rendered by the Indonesian Crowd Funding Fintech Association (AFPI) as the official association for all P2P lending companies.

"P2P lending regulation is different from conventional banking, insurance, finance, and other regulation. They just connect people so we are not supposed to regulate it too strict. We call this principle based regulation," Hendrikus said.

AFPI Chairman Adrian Gunadi hoped that with additional transparency, the public can have a better understanding on the P2P business model, loan amount, and lender-borrower ratio.

"It's fine. We are not a public company, so it’s not a problem. It depends on each [P2P] platform. If am a consumer and I have more complete information, I will feel more comfortable," Adrian said.

He added that AFPI is still discussing the sanctions that will be given to P2P companies that refused to comply with the new regulation. In addition, AFPI is also in the process of drafting a standard of information that needs to be presented in P2P lending website.

BISNIS