Indonesia's Financial Services Authority seeks clarification from Toyota Astra Financial Services over alleged violent debt collection in Serang

Indonesia's Financial Services Authority has summoned PT Toyota Astra Financial Services and requested clarification over alleged breaches in its credit collection process linked to reports that debt collection personnel used violence in Serang, Banten. The step forms part of the authority's supervision of financial services firms, particularly to ensure business is conducted in line with applicable rules and consumer protection standards. As part of its initial clarification request, the authority told TAFS to carry out a comprehensive review of its collection process, including its cooperation with third party collection service providers, and to submit the data, documents, and full clarification needed for supervisory purposes. It also asked the company to investigate the parties allegedly involved and take corrective action, strengthen oversight of internal and outsourced collectors, handle public communications responsibly, and report progress on the case. The authority reiterated that financial services firms are responsible for the conduct of third parties they appoint for collections and that collection activity must be ethical and must not involve violence, intimidation, threats, humiliation, or other prohibited practices. The authority said it will continue to examine the matter and monitor TAFS's follow-up. If its review finds breaches of applicable rules, it may impose administrative sanctions or other supervisory measures within its authority.