The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia

The purpose of regulating the Credit Community industry is to standardise moneylenders’ business compliance so that consumers may freely choose where to pursue their moneylending transactions. Media reported an increasing trend on breaching of consumers’ sovereignty by the moneylenders in Malaysia....

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Main Authors: Sandhu, Daljit Kaur, Muhammad Arif, Afida Mastura, Abu Bakar, Elistina, Abd. Rahim @ Abd. Wahab, Husniyah
Format: Article
Language:English
Published: Universiti Putra Malaysia Press 2022
Online Access:http://psasir.upm.edu.my/id/eprint/92598/
http://psasir.upm.edu.my/id/eprint/92598/1/11%20JSSH-8216-2021.pdf
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author Sandhu, Daljit Kaur
Muhammad Arif, Afida Mastura
Abu Bakar, Elistina
Abd. Rahim @ Abd. Wahab, Husniyah
author_facet Sandhu, Daljit Kaur
Muhammad Arif, Afida Mastura
Abu Bakar, Elistina
Abd. Rahim @ Abd. Wahab, Husniyah
author_sort Sandhu, Daljit Kaur
building UPM Institutional Repository
collection Online Access
description The purpose of regulating the Credit Community industry is to standardise moneylenders’ business compliance so that consumers may freely choose where to pursue their moneylending transactions. Media reported an increasing trend on breaching of consumers’ sovereignty by the moneylenders in Malaysia. Thus, the primary role of regulation effectiveness comes into the limelight. It raises the question of whether regulation enhancement supports or deter consumers’ sovereignty. The study was undertaken in Selangor and Kuala Lumpur, where most of the consumers’ issues were handled by non-governmental organisations (NGOs). The phenomenology approach was used to extract the three NGO leaders’ experiences and four regulator officers’ when dealing with the consumers and the licensed moneylenders’ issues. Data from semi-structured interviews and moneylending literature were uploaded into Nvivo 12 for thematic analysis. Findings revealed three themes: the non-governmental organisations’ role as the “watchdog”, the regulator’s educational role, and the regulator’s role in uplifting consumers’ sovereignty. The findings reveal a tendency for consumers with moneylending issues to seek NGOs, which affect the effort of seeking redress. The implication is for the regulator to take the lead in strengthening a three-way working relationship involving the moneylenders’ associations and the NGOs to resolve consumers sovereignty issues.
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spelling upm-925982022-05-27T22:40:43Z http://psasir.upm.edu.my/id/eprint/92598/ The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia Sandhu, Daljit Kaur Muhammad Arif, Afida Mastura Abu Bakar, Elistina Abd. Rahim @ Abd. Wahab, Husniyah The purpose of regulating the Credit Community industry is to standardise moneylenders’ business compliance so that consumers may freely choose where to pursue their moneylending transactions. Media reported an increasing trend on breaching of consumers’ sovereignty by the moneylenders in Malaysia. Thus, the primary role of regulation effectiveness comes into the limelight. It raises the question of whether regulation enhancement supports or deter consumers’ sovereignty. The study was undertaken in Selangor and Kuala Lumpur, where most of the consumers’ issues were handled by non-governmental organisations (NGOs). The phenomenology approach was used to extract the three NGO leaders’ experiences and four regulator officers’ when dealing with the consumers and the licensed moneylenders’ issues. Data from semi-structured interviews and moneylending literature were uploaded into Nvivo 12 for thematic analysis. Findings revealed three themes: the non-governmental organisations’ role as the “watchdog”, the regulator’s educational role, and the regulator’s role in uplifting consumers’ sovereignty. The findings reveal a tendency for consumers with moneylending issues to seek NGOs, which affect the effort of seeking redress. The implication is for the regulator to take the lead in strengthening a three-way working relationship involving the moneylenders’ associations and the NGOs to resolve consumers sovereignty issues. Universiti Putra Malaysia Press 2022 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/92598/1/11%20JSSH-8216-2021.pdf Sandhu, Daljit Kaur and Muhammad Arif, Afida Mastura and Abu Bakar, Elistina and Abd. Rahim @ Abd. Wahab, Husniyah (2022) The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia. Pertanika Journal of Social Science and Humanities, 30 (1). pp. 191-207. ISSN 0128-7702; ESSN: 2231-8534 http://pertanika2.upm.edu.my/pjssh/browse/regular-issue?article=JSSH-8216-2021 10.47836/pjssh.30.1.11
spellingShingle Sandhu, Daljit Kaur
Muhammad Arif, Afida Mastura
Abu Bakar, Elistina
Abd. Rahim @ Abd. Wahab, Husniyah
The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title_full The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title_fullStr The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title_full_unstemmed The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title_short The role of regulator and NGOs in developing credit community and consumer sovereignty in Malaysia
title_sort role of regulator and ngos in developing credit community and consumer sovereignty in malaysia
url http://psasir.upm.edu.my/id/eprint/92598/
http://psasir.upm.edu.my/id/eprint/92598/
http://psasir.upm.edu.my/id/eprint/92598/
http://psasir.upm.edu.my/id/eprint/92598/1/11%20JSSH-8216-2021.pdf