Indef Researcher: Most Users Of Pinjol And Paylater Still Thanks To The 'Unbanked' Category

Photo: Doc. Antara

JAKARTA - Digital economy researcher Institute for Development of Economics and Finance (Indef) Nailul Huda stated that most online or online loan users (pinjol) and paylaters are residents who are categorized as unbanked and underbanked.

"Our society is still underbanked and underbanked, where unbanked and underbanked cannot be served by formal banking services, and this has caused a lot of people to finally choose online loans or paylaters for their financing, be it consumptive or productive," Nailul Huda said in a virtual Public Discussion on "Light Online Loans for Young People", quoted from Antara, Tuesday, September 12.

Until December 2022, the loan growth was 71 percent and 18 percent until July 2023. The paylater growth is estimated to average 32.5 percent per year from 2022 to 2028.

According to him, the increase in the use of loans is not accompanied by financial knowledge, and financial literacy which still lasts at 49 percent in 2022.

"This is what causes a lot of our society to finally borrow from loans, but illegal loans, not legal ones, because their financial literacy is low and their financial knowledge skills are also relatively low," said Nailul.

The average financial knowledge of loan users is considered low, so they are included in the characteristics of borrowers who have bad credit.

As of June 2023, those under the age of 19 had an average bad credit of IDR 2 million and IDR 2.2 million for those who entered the 19-34 year age category.

"The traffic jam for young people turns out to increase in early 2022 to mid-2022. Well, this phenomenon is indeed very, yes, if we say this is very lost, where 19 years and under it has entered into bad credit," he said.