This study aims to analyze the impact of social inequality on analyze the impact of social inequality on the level of public knowledge regarding Sharia-based in Kedungpari Village, Mojowarno District. Social inequality includes differences in access to education, income, and information technology that influence public understanding of Sharia financial products. The research method used a quantitative survey with questionnaires distributed to 50 respondents and simple linear regression analysis using SPSS version 25. Normality tests, linearity tests, and t-tests were conducted to ensure model validity. The results showed that social inequality had a significant and positive effect on the level of public knowledge regarding Sharia loans (significance value <0.05 and t-test > t-table). The coefficient of determination (R²) indicates that some variation in knowledge is explained by social inequality. The public generally understands basic principles such as the prohibition of usury and the profit-sharing system, but still lacks understanding of the contract mechanism and loan application procedures. Therefore, improving Sharia financial literacy and education is essential to expand access to information, increase public participation in Sharia financial institutions, and encourage the strengthening of an economy based on Islamic values. Thus, this research can be a reference for the government and financial institutions in developing strategies for empowering rural communities economically in a sustainable and equitable manner.
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