Eradicating Illegal Loans, OJK Asks Banks To Block 85 Accounts

Illustration - Financial Services Authority (OJK). (Between)

JAKARTA - The Financial Services Authority (OJK) since September 2023 has asked banks to block more than 85 accounts suspected of being linked to illegal online loans as an effort to minimize and limit the space for perpetrators to move through the banking system.

The Chief Executive of the OJK Banking Supervision (KEPP), Dian Ediana Rae stated that strict action against activities that disrupt the economy and society such as illegal online loans will continue to be carried out by the OJK, including through collaboration with various parties such as the Ministry of Communication and Information.

According to Dian, OJK will always maintain the integrity of the financial system from disturbances to economic crimes, including the use of banking both institutionally and through the use of accounts by certain individuals for the means of committing or facilitating crimes, which do not support healthy economic activities.

OJK has also asked the banking industry to always maintain a strong commitment in supporting efforts to eradicate financial activities that violate the law, including illegal online loans through increasing the implementation of customer due diligence and enhanced due diligence (CDD/EDD), especially in identifying, verifying and monitoring early to ensure customer transactions are in accordance with the profile, characteristics and/or transaction pattern, through the development of reliable monitoring media.

In addition to the OJK's request, the Bank also conducts independent analysis and blocking of accounts. Specifically for illegal online loans, there are general characteristics that can be of public concern, including not being registered/licensed from the OJK, high interest offers, unclear loan agreement requirements, offers through Spam, SMS, or social media, asking for access to personal data, and not having a clear office identity.

OJK asks the public to be aware of online loan offers, and ensure that they only use registered / licensed official online loans from the OJK whose information can be obtained through OJK 157 Contacts.