Financing Companies Face Tightened Buy-Now-Pay-Later Requirements: Mandatory Debtor Age and Income Checks Effective by July 2026

The Financial Services Authority (Otoritas Jasa Keuangan– “ OJK ”) has issued Regulation of the Board of Commissioners No. 2 of 2026 (“ Regulation 2/2026 ”) on the Organization of Buy-Now-Pay-Later (“ BNPL ”) [1] Services by Financing Companies and Sharia Financing Companies (collectively referred to as “ Companies ”). Regulation 2/2026 will now serve as an implementing framework to Regulation of the OJK No. 32 of 2025 (“ Regulation 32/2025 ”) and will govern the overall organization of BNPL services. [2]