Factors That Influence a Person's Intention to Use Islamic Banking

Abstract

Indonesia is a densely populated country with a Muslim population. The performance of Islamic finance compared to conventional is still very low. In this case, Islamic banking needs to know what factors can influence people to use Islamic banking products and services. The purpose of this study is to determine the effect of these factors on the intention to use Islamic banking using Islamic financial literacy variables, awareness, and religious obligations. This research is a quantitative research using judgmental sampling technique. The questionnaire was distributed online via google form, the target was 230 conventional bank customers and then the data was processed or analyzed using smartPLS 3.0 software. The results of this study indicate that the variables of Islamic financial literacy, reputation, and religious obligations have a significant effect on the intention to use Islamic banking and only the awareness variable has no significant effect on the intention to use Islamic banking