LEGAL PROTECTION FOR CUSTOMERS USING INTERNET BANKING SERVICES IN INDONESIA

Abstract

The banking industry has adopted information technology in the form of internet banking in its services. Although the provision of internet banking makes transactions easy and practical, it also runs the risk of harming the bank's customers themselves. The problems of transaction security and customer protection are of particular concern for the development of internet banking in the future, mainly due to the absence of a legal certainty in Indonesia. This research is to find a legal certainty in providing legal protection to customers of internet banking service. The method used the normative legal approach. Normative legal research is a method that refers to the applicable legal norms. Legal protection of the customer's rights which must be realized by the service providers as mentioned in the Customer Protection Law becomes the sole responsibility of the service provider and the customers obtain the best facilities, especially in matters relating to the security of the customers. The absence of regulation specifically brings problem in the internet banking. In the electronic transactions law, there is no specific article regulating the internet banking. For banking business, the supervision is performed by the Financial Services Authority Regulation No.38/POJK.03/2016 concerning the Application of Risk Management in the Use of Information Technology by the Commercial Banks. However, the sanctions imposed on these violations are not strict because they are only administrative sanctions. Therefore, more strict regulation is needed in protecting customers who are disadvantaged by the use of internet banking