Economic development has encouraged various things, including bank. There are
2 types of banks: commercial banks and rural banks (Bank Perkreditan Rakyat,
BPR), BPR which is now quite popular. One reason is because the interest rate is
pegged rather favorably: 8% in BPR; while in commercial banks it is only 6.5%.
However, when BPR began to be in demand, there were several of these banks
that were actually revoked. This is detrimental to consumers, since BPR are
actually aimed at MSMEs and the lower-middle class economy community. Now,
this BPR license is under the Financial Service Authority (Otoritas Jasa
Keuangan, OJK). The author wants to know how the OJK acts in the task of
regulating and supervising the granting of BPR establishment permits. This
principle is commonly used in banking activities. Also, this principle is applicable
by OJK in granting bpr licenses. The OJK must be giving permission carefully
and provide protection for the interests of consumers. The method used in this
study is an empirical method and location in Yogyakarta, undertaken with
interview technique of D.I.Y OJK respondents and Yogyakarta Consumers
Associations (LKY) resource persons. The conclusion is that OJK has applied
precautionary principles in its regulation by making and establishing a more
systematic and complete rule of permit granting. However, its supervision is still
constrained by the quality of its human resources, compared to the scope of its
due