GUIDELINES FOR PREVENTION AND SUPPRESSION OF ECONOMIC CRIME: ONLINE INFORMAL LOAN

Abstract

This study aimed to 1) investigate the patterns and behaviors associated with online informal loans, 2) identify the challenges and obstacles in the prevention and suppression of such loans, and 3) develop effective guidelines for addressing cybercrime related to online informal loans. This qualitative research encompassed both document analysis and in-depth interviews with three key groups: 1) police officers involved in arresting individuals engaged in online informal lending or in the broader efforts to prevent and suppress these activities, 2) individuals previously convicted for operating online informal loans who have since been released from prison, and 3) victims of online informal loans. The findings revealed five primary patterns and behaviors in illegal online lending: 1) imposition of excessively high interest rates, 2) lack of clear terms and conditions, 3) inappropriate collection of personal data, 4) deception and forgery, and 5) neglect of risk perception. The study underscored the need for enhanced laws and regulations to implement stringent measures against online informal loans. Additionally, the deployment of technology to detect and prevent economic crimes was found to potentially increase user safety. Educating the public and raising awareness about the risks associated with online informal loans and ways to protect oneself were deemed crucial for helping consumers make informed borrowing decisions.