CONSUMER PROTECTION CONCEPT IN A FAIR CONSUMER FINANCING CONTRACT WITH MOTOR VEHICLE OBJECT IN INDONESIA

Abstract

The existence of financial institutions that offers various forms of financing facilities is essential to support the economic activities through the mobilization of financial resources. One of the financial institutions is a consumer finance institutions that used to fullfil the requirements to get goods by having the legal form of consumer financing contract.

The problems of the research: (1) How does the development of the concept of consumer financing contract with motor vehicles object that exist in today's society? (2) Why does consumer protection contained in the consumer financing contract with the object of motor vehicles not currently provide a sense of justice according to the law? (3) How does the ideal concept of legal protection of consumer in the consumer financing contract in a fair with motor vehicle object?. This type of research is a normative law by using normative juridical/law, conceptual, legal history, philosophical,  and comparative law. The results of the research showed that the development of consumer financing contract in Indonesia was started from the development of leasing contract. In practice, consumer protection in the consumer financing contract has not provided justice according to the law, especially for the consumer. It was caused by an existing clause in the contract such as the maturity clause, the payment of fines, accelerated payments, the obligation to pay all at once, insurance, authorization which can not be revoked, and the termination of the contract with the release of Article 1266 and Article 1267 of the Civil Code. The injustice can possibly occur due to the existence of the financing position that is stronger than the consumers who require goods. Ideal concept to the development of consumer protection in the consumer financing contract should refer to the precepts of legal principles in the contract. This is to ensure that consumers understand their obligations, and thus a later dispute will not arise. The research recommends that the consumer financing contract is a standard contract containing clauses improportional between the rights and the obligations of the parties, then the government, through the financial services authority institution needs to monitor the contract clauses.