Pinjol or online illegal loans for some people are a saviour from their condition such as running out of money to fulfill their needs. But, instead of being able to solve the loan, many of them end up trapped, unable to get out of the bondage of loan numbers that can explode anytime.
Several months ago, there are various information that shows how someone had to struggle to settle his/her affairs with illegal online loans. Not a few have a tragic ending – some of the information, tells they end their life because they cannot settle his business with illegal loans.
That information certainly cut the hearts of many parties. As their efforts to fulfill their daily economic needs, illegal lending can end up costing their lives. Many parties such as the government and other related parties think this will not be repeated.
Especially for brands that come from the fintech sector which has a similar product: online loans. They certainly brew up other strategies so that their products can remain attractive to their target audience.
Therefore, StratX KG Media conducted a desk research that aims to find out what makes it easy for Indonesian to get trapped in the illegal online loan and its cycle. This short search turned out to find various interesting insights to be investigated more deeply.
Illegal Online Loan Punishment
Reporting from the Katadata site – SWI or Satgas Waspada Investasi, stated that until July 2021, at least 172 illegal lending platforms had been blocked. This closure is one of the preventive measures so that more people are not trapped there.
However, according to SWI – this closure does not necessarily deter illegal borrowing. Taking advantage of the pandemic and PPKM conditions that are always extended so that people’s activities are not as flexible as before, making their income decrease.
So, to fulfill their daily needs, those directly affected by the pandemic certainly expect a lot of help – illegal online loans easy to take a role to ‘help’ them.
Still from the same site, SWI stated that usually these illegal lenders will offer loans with short tenors with high interest rates. Instead of predicting that they can complete the loan business, many of them are easily trapped because of the offer.
Plus, the submission of requirements to be able to get a loan is really easy and fast. So, many of them feel ‘easy to get help’ and are lulled by the risks behind all of this.
Then, How Illegal Online Loans Do Their Work?
Illegal online loans has easy filing requirements, illegal lending become the savior of some people.
However, to avoid them, we need to know how they move. They are actually smart in finding target. There are at least three steps they usually take:
- Spread the Net on the Chat Platform
Using a number that is certainly not known – they spread messages containing an unconditional offer to apply for a loan. People who do not thing twice are certainly happy to receive messages like this.
- Dare to Directly Send Money to Account
It seems reckless but they dare to directly send some money to the target account in the hope of being able to immediately terrorize the person if they cannot repay the loan.
- Using the Official Fintech Brand Name
They dare to use brand names or products that have officially received permission form the government and other related parties. Instead of feeling safe without investigating the loan more deeply, people are trapped in debt.
With these steps, illegal online loan can easily attract many people who feel that they ‘need a help’.
Insight Insight Insight
As an effort to fulfill economic needs during the pandemic – this is one of the reasons from majority who lend some money in illegal online loans platform.
Lack of knowledge, inaccuracy, and haste become concrete problems for a society that clings to illegal loans.
Illegal online loans platform also doing some efforts to get their target. They always move.
What Brand Can Do Now?
Brands from the financial sector such as banks, fintech, and other can use this phenomenon as a basis to get closer to their target audience.
The first fundamental that brands must remember is the passion to make people no longer trapped in illegal online loans. Even with the background of meeting the necessities of life, brand can make people more aware of this illegal online loan.
For that, brands can start with simple and easy to understand communication that explains what illegal online loans are. How this illegal online loan can put them at great risks.
Second, instead of providing knowledge with an interactive approach, brands can gradually communicate their secure loan products. However, this needs to be done as gently as possible.
Third, although the majority of people trapped in illegal online loan are those who are in a hurry to get money to fulfill their needs – brands can bring the spirit of entrepreneurship. This business spirit can teach them that borrowing some money can make them independent as long as they can start their own business.
This third point can be used by brands as the basis for a large campaign. Massive media coverage can make this movement a big voice for freedom from poverty. Instead of borrowing to spend – brand can teach them to borrow to be independent.