Based on the OJK or the financial services authority, the number of online loan users are always increases drastically every year. This is of course due to the increasingly sophisticated technology in Indonesia. Even based on data from the OJK, the volume of online loan use, which started in 2016, has far exceeded the volume of credit card usage in Indonesia. More and more people are starting to use online loans because the transaction requirements are relatively easy and fast. Productive age such as students are the largest number of users since the existence of online loans to date. Despite of the increase of online loan users, there are still many cases of payment failure on online loans in Indonesia. Based on data from the Financial Services Authority (OJK), online loan payment failure rate increased by 8.27 percent from June 2020 which was still at the level of 6.13 percent.
The aims of this research is to find the correlation between the financial knowledge and financial behavior regarding online loan among college student in Indonesia. The population of this research are 724.088 college student in DKI Jakarta and 767.149 college student in West Java and the total from both are 1.491.237 college student in DKI Jakarta and West Java, and the sample of this research is 400 student. Author hopes that if there is a correlation between financial knowledge and financial behavior, we can minimize the failure of the payment of online loans.
This type of research is a quantitative research, the research purposed are descriptive and correlation and time horizon longitudinal with no intervene of extend research. Based on the research itself author found out that there is absolutely a correlation between the Financial knowledge and the Financial Behavior because the significant value is less than 5% which means that the independent variables (The Financial Knowledge) has a significant effect on the dependant variables (Online Loan Behavior) and also for the validity test, most of rMeasurement ? rTable which is greater than 0,361 that means that it is valid
Keywords: Financial Knowledge, Financial Behavior, Online Lending.