TY - JOUR
T1 - The effect of loan granted factor on peer-to-peer lending (funded loan) in Indonesia
AU - Kurniawan, Fajri
AU - Wijaya, Chandra
N1 - Publisher Copyright:
© Fajri Kurniawan, Chandra Wijaya, 2020.
Copyright:
Copyright 2020 Elsevier B.V., All rights reserved.
PY - 2020/12/1
Y1 - 2020/12/1
N2 - This study aims to determine whether the loan granted factor can affect peer-to-peer lending in Indonesia. The factors investigated in this research are the loan amount, loan period, interest rate, gender, and loan history using the data from registered and licensed peer-to-peer lending by the Financial Services Authority or Otoritas Jasa Keuangan (OJK) on November 2019. By examining 1,006 loans, the analytical method used is binary logistic regression with a significance level of alpha 0.05. The results of this research are loan amount, loan period, and loan history have the strongest impact on borrowers’ loan funding decision, suggesting that these loan characteristics can signal information that standard measures are used for loan funding. However, interest rate and gender have no significant effect on loan granted. Overall, loan funding decisions are based on proper and relevant signals given by loan characteristics.
AB - This study aims to determine whether the loan granted factor can affect peer-to-peer lending in Indonesia. The factors investigated in this research are the loan amount, loan period, interest rate, gender, and loan history using the data from registered and licensed peer-to-peer lending by the Financial Services Authority or Otoritas Jasa Keuangan (OJK) on November 2019. By examining 1,006 loans, the analytical method used is binary logistic regression with a significance level of alpha 0.05. The results of this research are loan amount, loan period, and loan history have the strongest impact on borrowers’ loan funding decision, suggesting that these loan characteristics can signal information that standard measures are used for loan funding. However, interest rate and gender have no significant effect on loan granted. Overall, loan funding decisions are based on proper and relevant signals given by loan characteristics.
KW - Crowdfunding
KW - Investment decision
KW - Loan characteristic
KW - Logistic regression
KW - Non-bank institution
UR - http://www.scopus.com/inward/record.url?scp=85097875022&partnerID=8YFLogxK
U2 - 10.21511/imfi.17(4).2020.16
DO - 10.21511/imfi.17(4).2020.16
M3 - Article
AN - SCOPUS:85097875022
SN - 1810-4967
VL - 17
SP - 165
EP - 174
JO - Investment Management and Financial Innovations
JF - Investment Management and Financial Innovations
IS - 4
ER -