Legal Aspects of Digital Bank Risk Management

¹ Faculty of Law, Universitas Muhammadiyah Yogyakarta, Indonesia
² Economics and Business Faculty,Alma Atta University, Indonesia

^* Corresponding author: yantifadia@umy.ac.id

Abstract

Access to the 2022 National Survey of Financial Literacy and Inclusion (SNLIK) shows that the Financial Literacy index of Indonesian society is 49.68%, and financial inclusion is 85.10%. It shows that the Indonesian public's understanding of banks, especially digital banks, is still 49.68% compared to the number of banking transactions carried out at 85.10%. It causes potential banking legal risks. This research analyses digital bank risk management and the potential for digital bank crime. This research uses research methods, namely normative literature study, which involves reviewing statutory provisions and reading journals related to the research. The approaches used are statutory and concept approaches. The Financial Services Authority (OJK) has issued regulations providing a legal umbrella for digital banking to protect customers from these risks, namely Financial Services Authority Regulation Number 18/POJK.03/2016 concerning implementing Risk Management for Commercial Banks. However, overcoming risks is not only a countermeasure carried out by banks but also by customers to maintain the security of their data and be careful when carrying out online transactions. Apart from that, the countermeasures carried out by law enforcement officials are taking repressive action in dealing with cases of digital bank crime. All elements of society should work together to overcome the risk of digital banking crime.