Money matters

The basics

The local currency is the Rupiah, it being the only legal form of tender within Indonesia except for bartering.
Any shop or business of any kind, that including rental properties, MUST use the Rupiah if the transaction is to be legal. Anything priced in US$ should be ignored (Mostly because it's likely to be a rip off aimed at tourists or expats with more money than experience).

Money here is in big numbers (The smallest note being Rp1,000) but don't let the thought of spending four thousand to park a car put you off.
You get used to these numbers pretty quickly.

The big temptation is converting back to your home money - Don't.
The conversion will make things sound really cheap so you'll get ripped off all the more as you aren't considering the local economy. The price you're told might very well be cheap if it was for sale in the UK or US, but it could be three times the normal price for Indonesia.

However, as a foreigner, you'll get ripped off at first but less so when you stop converting and start working out if locals would buy it at that price.
You can minimise this with a trip into an Alphamart or other fixed price shop.
See how much they charge for a bottle of water and a few essential items.
That'll give you a base to work with.
If you use a warung (small shop), they probably buy at the same price such as Alphamart sell at so expect to pay a little more.

As a note, locals commonly miss the thousand or million - you'll get used to how it works (over time).

Local salaries compared to what expats commonly earn

Most working expats earn more in a day or three than many locals see in a month.
That in mind, allow a little rip off or two; it's good for the soul.
I allow a thousand or two but never allow them to charge stupid prices.
The lowest I know of in Jakarta area (For a real job) is just over Rp1 million,
Street traders may well earn less.
A degree educated professional such as a teacher may earn around 5 to 7 million/month, but many earn less.

Consider this information before posting a thread asking if Rp30 million/month is enough to live on.

Bank accounts

Foreigners may open accounts legally if they hold a KITAS or KITAP immigration document.
If you don't have one of these, it's illegal

An account is easy enough to open, but the banks will ask for originals of various documents including KITAS/KITAP, passport, and your local ID card SKTT/KTP.
Check with the bank as the requested documents have a habit of changing from branch to branch.

Please be aware, opening an account without the proper documentation has been done in the past but that's mostly stopped as government rules are being enforced.
I've heard of foreigners opening accounts without the documents required by law, but that leaves the account holder in danger of losing their cash if the account is noticed by the powers that be.

Your ATM card is usually instant, but does have restrictions. It can be used with an ATM and for instore purcheses, but you can't use it for telephone or internet transactions.
Some banks issue ATM cards with Mastercard and other international logos, that meaning you can use them outside the country, but you have to ask or you may get a standard one without them on.

BCA main branches have a card issuing machine so the process is quick and easy.
The security guys operate the machine for you so it's extremely easy to get a new card.

I've had very little trouble (because I'm a foreigner) but one lady at one BNI branch asks me for my passport for every transaction. She doesn't need it, but she still asks every time.
You'd think she'd remember after a couple of times, but she never does.
If it happens, just smile and show some ID as it's much easier than the argument.

The most popular bank here seems to be BCA, a very good bank with a lot of branches and a lot of ATMs, but those tend to have long queues at busy times. I generally advise using them at quiet times, and a bit of forward thinking allows that.
They, as with other banks, have very good online banking that works very well from the internet or mobile phone app.
I've used both systems without the slightest problem.

BNI is another very good bank, but they have fewer branches and fewer ATMs, but generally shorter queues.

Mandiri is another big player, but I've only used them to pay my daughter's school fees so I can't comment on them as a bank, but their staff have always been very professional.

Bank loans and credit cards

These are available for foreigners but banks tend to be very careful who they grant/issue them to.
Car loans tend to be arranged via the car dealer, not your bank.

ATMs

All local banks have ATM systems, many accepting several banks' cards, not just their own. Most will accept foreign bank cards and credit cards, but there have been some issues with older, non chip and pin cards, many from some US banks. I had a few problems for a while, but nothing for the last couple of years.
They all accept the usual logos, Visa, Cirrus, Maestro, mastercard and so on.

I tend to use BCA and BNI when I use a foreign issued card but other banks will accept them as well.
Using a Rp100,000 machine means you can take out a greater amount each time (Usually Rp2,500,000) so your bank charges tend to be lower as it's commonly by transaction, not just how much you take.

There are some problems with skimmer gangs but sticking to ATMs in shops and malls will mean you're unlikely to get caught out by the thieves.

Pre-paid debit cards



BCA's Flazz and other prepaid cards are quite popular in Indonesia.
I think every bank has at least one, but these are the two I find most useful, mostly because I can pay for toll roads, parking and all the shops I use most accept them.
They're basically cash, but without all the messing around with money and it avoids the loose change that quickly builds up in your pockets disappears.
Transjakata buses require a prepaid card (Flazz, emoney and all variants, and Brizzi all work) as they won't accept cash, and they can be used it to pay for car parking and many other things.

They can be topped up in thousands of places, including the given bank's ATMs and any of the shops that accept them.
All cards have a maximum load of one million Rupiah.

The various banks are trying to push their cards by making them the 'official' card at shows and events. Indocomtech 2016 saw BRI's Brizzi card as the only way to buy food in the outdoor food court and it got you rapid entry to the show without buying a ticket. Just tap the machine at the automatic entry gate and you're in.
BRI's Brizzi card has surged forward lately, thus it's worth having on of those as well.

With Flazz, Brizzi, and emoney, you can shop in a wide variety of places without cash.

Scams

Every country has its scam artists, Indonesia being no exception.

Most are limited and unimaginative but professionals are getting in on the act now so watch out for more sophisticated stuff coming along.

Watch out for people hanging around in shopping centres or supermarkets suddenly stopping you, explaining how they're students collecting for charity.
They commonly want a one off payment.
Their ID cards look very professional, but they're fake.
The people using stands are genuine but one off people hanging around are always scammers.
A polite "No thank you" and look around for a security guard.
If one is there at the time, wave him over and the offenders will be kicked out.

Traffic lights often see 'volunteers' collecting for whatever - many are collecting for themselves.
Again, a polite refusal is best.
Violence from these people is uncommon, so remain polite and avoid confrontation and they'll go away and try to scam the next people.
Those in school uniform are likely the real thing as their principal would kick the lot out of school if they used their uniforms for such a thing. These legitimate collections are conducted in groups, never individuals.

NEVER give money to kids begging - Apart from being illegal (Hardly enforced), many of the kids are not willing, some may even have been kidnapped and forced to work.
Many of the women with babies have hired the kids, and they tend to work in gangs

SMS scams have become rare since the introduction of the new security rules. As the thieves must register their SIM cards, they can't send SMS scams without being found out very quickly and arrested

One thing I heard of some years ago.

Woman approaches man.
Off to hotel.
Outraged husband knocks on door demanding cash or police.

A cop I know in Java explained that one - seems it's quite common in some areas.

ATM fraud

This happens all over the world, including Indonesia, but it is easily preventable.

Number one trick - try to use ATMs in supermarkets or other places with lots of security. It's far harder for a skimmer to be installed in places like that.
Many gangs operate in tourist areas, knowing a hit will bag them more cash that locals tend to have, so take special care in such places. The police have a crackdown from time to time but foreign gangs reappear and start again. This is likely to spread to domestic thieves so stick to ATMs in secure areas where possible.

Card copying

There are two ways they copy your card:

1 - They conduct a transaction in a retail outlet of whatever sort, and run your card through a second reader under the counter. If your card disappears out of your sight, even for a second or two, cancel the transaction, refusing to enter your PIN into their machine as there could well be a camera pointing at it.

2 - Card skimmers on ATMs.
These were easy to spot because they were of lousy construction but the new ones are far more professional.



This short clip is worth a watch.

https://www.youtube.com/watch?v=WYMUA8umUz8

Fake websites/Cryptocurrency

These are pretty new in Indonesia but expect more as time goes on. I've just come across a 'koin' site operating from Aceh, they promise the world but the thing is run by a scammer operating out of Panama (or at least that's where the trail leads). The same people having run a lot of fake site scams over the years.
Fake sites are easy to spot if you take a little care and use your head before you get greedy.