OJK Lowers Online Loans Maximum Interest Limit Starting January 1, 2024
SEAToday.com, Jakarta - The Financial Services Authority (OJK) will reduce the interest limit on online loans starting January 1, 2024. This rule is stated in the Financial Services Authority Circular Letter (SEOJK) Number 19 of 2023. The regulation explains the loan interest limit for consumer funding, which is limited to short-term funding tenors and set at 0.3% per calendar day of the funding value stated in the funding agreement.
According to the Chief Executive of Financing Institutions, Venture Capital Companies, Microfinance Institutions, and Other Financial Service Companies Supervision, Agusman, the interest arrangement was carried out with several considerations, including as a follow-up to OJK Regulation Number 10 of 2022, which mandates the regulation of economic benefits from funding the fintech industry through peer-to-peer lending.
