The implementation of community behavioral control in regulating P2P lending penetration among msmes in jambi province

Human behavior exhibits a high degree of complexity and difficulty, making it one of the key factors contributing to information asymmetry, particularly when public accountants and auditors carry out unethical practices. Broadly, this study aims to analyze and develop a predictive model of customer and prospective customer behavior in adapting to the advancements in financial information technology. Additionally, it seeks to provide early warning signals to help them avoid fraudulent activities in P2P lending. The operational objective of this research is to identify the factors that create opportunities for fraud in P2P lending and explore strategies to mitigate these risks. Meanwhile, the functional aim is to ensure that the findings of this study can serve as valuable reference material for academics and scholars in their research and literature reviews. This study aims to examine the alignment of ethical behavior among P2P lending customers through the lens of the Theory of Planned Behavior (TPB), with a particular emphasis on the perceived behavioral control component as conceptualized by Raza et al. (2017) and Boursier, Gioia, & Griffiths (2020). Fraud detection is assessed using the Crowe’s Pentagon Fraud model (Holrath, 2011) alongside the six dimensions of market penetration proposed by Rosavina et al. (2019). As an applied study, this research is both problem-solving and practical in nature, aiming to address real-world challenges while contributing to theoretical advancements. It employs a causal model as an explanatory framework, utilizing primary and secondary data, which are analyzed through a descriptive approach. A quantitative methodology is implemented to provide empirical evidence and precise interpretations in addressing the research problem. The findings demonstrate that all identified variables contributing to fraud or misconduct in P2P lending can be effectively mitigated, reinforcing the importance of behavioral control mechanisms in fraud prevention.