The problems of Illegal Online Loans based on the Victim's Perspective: A Case Study

Abstract

The problems of illegal online loan cases is detrimental to society and the government. Illegal online loans have easy procedures to attract and interest the public. In collecting illegal online loans, they commit terror, spread personal data, spread slander, and hoaxes via chat and telephone. There is no transparency from illegal online loan companies to victims regarding interest, making victims pay larger debts than the amount borrowed. This study aims to examine the role of the victim in the occurrence of crimes committed by these illegal online loans. This study uses a qualitative research method with Criminal Function Theory by Stephen Schafer as an analytical tool that explains the role of the victim. Collecting data using observation techniques, interviews, and documentation. Based on the research results, it was found that when borrowing, the victim initially did not know that the application was illegal. The behavior of victims who are late in paying debts stimulates perpetrators to commit crimes against victims. Victims also borrow back at illegal online loans even though they know the risks.