Interest in Using Online Loans and Underlying Factors

Abstract

The trend of online loan services in Indonesia indicates a high level of public adoption of digital finance. Uniquely, this phenomenon also presents challenges, such as low public understanding of financial technology (fintech) products. The motivation for this study is to investigate the attributes influencing interest in using online loans, specifically focusing on financial literacy, consumer awareness, and ease of access, with trust serving as a mediating variable. Using quantitative methods, data were collected via an online survey from 135 respondents who utilize online loans in Gresik Regency. The survey data were analyzed using SPSS and the Goodman test. Empirical evidence indicates that financial literacy, consumer awareness, ease of access, and trust significantly and positively influence interest in online loans. Additionally, trust was found to significantly mediate this relationship. The current findings have important implications for understanding the dynamics of digital financial services adoption and encourage stakeholders in the fintech industry to develop strategies aimed at enhancing financial inclusion through online loan services. Furthermore, the research outcomes facilitate and pave the way for subsequent studies that build upon the current model.