OJK: Crime In The Banking Sector Can Also Happen Because Customers Negligently Maintain Personal Data

JAKARTA - Chief Executive of the Behavior Supervisory of Financial Services Business Actors, Education, and Consumer Protection of the Financial Services Authority (OJK) Friderica Widyasari Dewi reminded the public to always be vigilant to maintain personal data so as not to be used as a loophole for banking crimes.

"Even though the bank has implemented a layered security system and ensures compliance with personal data protection regulations, crimes can still occur if customers are not alert or negligent in maintaining the confidentiality of their personal information," said Friderica Widyasari Dewi in Jakarta, quoted by Antara, Saturday, May 24.

He stated that now the risk of crime is getting higher because digital criminals are increasingly sophisticated, while many people still do not have digital literacy and adequate financial literacy.

In addition, he said that crimes in the banking sector are currently increasingly complex in line with the increasing use of technology, one of which is through phishing fraud, social engineering, skimming, carding, to account hijacking with SIM swap techniques.

"Therefore, consumer protection in the financial services sector is not only the responsibility of financial institutions, but also requires adaptive regulations and cross-sectoral collaboration to tackle various forms of crime as a whole," said Friderica.

To minimize these crimes, the OJK has issued Financial Services Authority Regulation (POJK) Number 22 of 2023 concerning Consumer Protection and Society in the Financial Services Sector, which puts forward seven principles of consumer protection, including aspects of personal data protection, transparency, and settlement of complaints.

The regulation also gives the OJK the authority to defend the law for consumers who are harmed.

In addition to crime in the banking sector, Friderica said that currently there are also many fictitious investment and loan scams on behalf of official financial institutions, as well as the phenomenon of illegal online social gatherings that promise high returns in a short time.

He said that online social gathering fraud often targets vulnerable groups such as housewives and the younger generation, by utilizing trust between participants as loopholes to run pyramid schemes or ponzi.

To minimize the number of victims caught in various acts of fraud, OJK is aggressively conducting education and increasing financial literacy through social media, public campaigns, as well as cooperation with educational institutions and local communities.

"One of the main focuses of education is increasing awareness of digital fraud, including illegal online social gatherings, so that people are more prepared to face risks in the growing digital financial era," Friderica said.