The Analysis of Millennial Generation Financial Literation on Investment Decisions in Peer to Peer Lending Fintech in the Pandemic Covid-19 in Sukabumi City

Abstract

Investment is one way that can be done by an individual to achieve financial prosperity in the future. The development of digital technology at this time makes investment easier to do, one of which is through Peer to Peer Lending financial technology, product lend offered by Peer to Peer Lending makes users a lender or investor by offering a return rate of up to 18% in one year. When deciding to invest, individuals need good financial literacy so that the investment decisions taken will be good too. The puIDRose of this research is to find out and analyze how the variable (X) financial literacy of the millennial generation affects the variable (Y) of investment decisions in the Peer to Peer Lending application. The method used in this research is quantitative method, with descriptive analysis techniques, simple linear regression analysis, hypothesis testing, and the coefficient of determination. The author uses data collection techniques by distributing questionnaires to samples taken using non-probability sampling techniques, with a total sample of 55 millennial generation in Sukabumi City who have invested in the Peer to Peer Lending application or at least know the application Peer to Peer Lending. The results showed that public financial literacy in Sukabumi City had a value percentage of 61.07% which was included in the fairly good category, then the community investment decision in Sukabumi City on the application Peer to Peer Lending had a percentage value of 55.42% which was included in the fairly good category, so from the results of these studies it can be concluded the higher the level of financial literacy possessed by individuals, the higher their investment decisions.