The Influence of Savings and Loans Credit and Interest Rates on Community Small Business Income (Case Study on Prohibited Community Independent Cooperatives)

Abstract

The purpose of this study is to determine the effect of providing savings and loans and interest rates on the income of small businesses in the community. This research was conducted at the Ban Society Independent Cooperative with a population of 220 people. With the Slovin formula, the sample taken was 73 respondents. The data collection method in this study was carried out by distributing questionnaires to respondents who made savings and loans in the cooperative. The data analysis used is an instrument test which includes validity tests and reliability tests, classical assumption tests which include normality tests, multicollinearity tests, and heteroscedasticity tests. Hypothesis test which includes t test and F test and determination correlation test. From the results of the tests conducted, it was concluded that there was a significant influence of the savings and loans credit variable on the business income variable with a significant value of 0.000 <0.05, and the interest rate variable had a significant influence on the business variable income with a significant value of 0.000 > 0.05.