Risk Management of Bank and FinTech Collaboration: A Phenomenological Research

Banking and Fintech are encouraged to collaborate to fill each other's deficiencies and further grow the digital economy. This collaboration will create benefits for both banks, Fintech, and customers. However, this collaboration also comes with risks. The Financial Services Authority has stated that several risk phenomena can occur in the collaboration of banks and Fintech. First, no law guarantees the protection and exchange of customer personal data. Second, the risk of customer data leakage. Third, the risk of cyberattacks. The fourth is the risk of outsourcing. This research aims to analyze the risk phenomenon of bank and fintech collaboration through the Enterprise Risk Management Framework approach. This study uses a phenomenological research approach, which is a study to study how individuals subjectively experience and give meaning to the phenomenon. Data analysis based on this phenomenon data uses qualitative methods involving banking and fintech practitioners. The results of this study describe the phenomenon of risks that occur in banking-fintech collaboration, as approached by the Enterprise Risk Management framework. Proper risk management will minimize risks when the Bank collaborates with FinTech. This study hopefully contributes to making brief policy recommendations on bank and fintech collaboration risk management for Indonesian financial regulators.