Most people now have smartphones and easy access to digital financial\nproducts, but this convenience also brings risks such as impulsive\nspending, illegal online loans and gambling.<\/p>\n
Surabaya, East Java (ANTARA) \u2013 The Deposit Insurance Corporation\n(LPS) has urged young people to beware of digital financial traps,\nincluding online gambling and illegal online loans, as broad access to\nfinancial services has not been matched by adequate understanding of\nthem.<\/p>\n
\u201cMost people now have smartphones and easy access to digital\nfinancial products, but this convenience also brings risks such as\nimpulsive spending, illegal online loans and gambling,\u201d LPS Deputy\nChairman of the Board of Commissioners Farid Azhar Nasution said during\na public lecture at Surabaya State University (Unesa) in Surabaya, East\nJava, on Sunday.<\/p>\n
According to the 2026 National Survey on Financial Literacy and\nInclusion (SNLIK), Indonesia\u2019s financial literacy rate stood at 69.5 per\ncent, while financial inclusion reached 93.6 per cent.<\/p>\n
This indicates a continuing gap between access to financial services\nand people\u2019s understanding of how to use them.<\/p>\n
Farid also highlighted the risk of online gambling, including sports\nbetting, which can particularly affect young people, especially\nGeneration Z.<\/p>\n
He cited Bloomberg data showing that 52 per cent of respondents had\ndiverted investment funds to sports betting, while 26 per cent\nconsidered the activity part of a long-term financial strategy.<\/p>\n
Farid said strengthening financial literacy from an early age was\ntherefore necessary so that students could identify the risks of digital\nfinancial products, distinguish needs from wants and make sound\nfinancial decisions amid the ease of transactions on digital\ndevices.<\/p>\n
He encouraged young people to develop a regular saving habit by\nfollowing the principle \u201cset aside, don\u2019t save what is left\u201d \u2013\nallocating part of their income or pocket money at the outset to build\nan emergency fund and meet future needs.<\/p>\n
Beyond monetary savings, Farid urged students to invest in themselves\nby expanding their knowledge, building character and developing positive\nnetworks, as these were long-term investments that supported financial\nindependence.<\/p>\n
At the same event, LPS and Unesa signed a cooperation agreement on\ndeveloping competencies, conducting research and raising awareness about\nLPS\u2019s functions, duties and authority. The agreement covers improving\nthe skills of students and lecturers and introducing the institution\u2019s\nrole to the university community.<\/p>\n
Farid said he hoped the partnership would help students better\nunderstand sound financial management and LPS\u2019s functions and powers,\nenabling them to navigate digital financial risks and prepare more\nwisely for their economic future.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/lps-warns-young-people-about-digital-financial-traps-1792309861", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }