A Qualitative Study on the Determinants of Islamic Credit Card Ownership and Usage

Abstract

This qualitative study explores the factors influencing the ownership and usage of Islamic credit cards. Data were gathered based on semi-structured interviews that were conducted with seven lecturers of Business Management faculty of Universiti Teknologi MARA (UiTM). Two themes have been identified as the main factors influencing the respondents to own an Islamic credit card-respondents' religious awareness as well as shariah compliance attributes of the Islamic credit cards. On the other hand, a total of five themes have been identified as the prominent factors influencing the usage of Islamic credit card that include convenience, sense of security, online payment or internet shopping, promotional factors and impulsive buying. The results of this study offer certain important managerial implications for the policy makers, finance institutions and the authorities that issue and take controls of the credit card activities.

The NEXUS OF €˜COOL’ MOTIVATION AND CREDIT CARD ON IMPULSE BUYING BEHAVIOR: A CONCEPTUAL STUDY

“…In academic research, previous researchers tend to explore the utilization of credit cards, the factors that influence and stimulate credit card holders to use a credit card service, as well as credit card misuse and debt. Previous studies on credit cards were widely conducted in various contexts such as Islamic credit card ownership and usage (Mokhtar, Osman, Setapa, & Zambahari, 2015), credit card spending behavior (Teoh, Chong, & Yong, 2013), factors in choosing an Islamic credit card (Amin, 2013) and studies that focus more on the relationship and effect of situational variables on credit cards including the demographic factors and the benefits of credit cards (Amin, 2012;Hussin, Kassim, & Jamal, 2013;Mansor & Mat, 2009;Teoh et al, 2013;Wang, Lu, & Malhotra, 2011), budget constraints, (Omar et al, 2014), easy access to credit cards, credit card features and service quality (Chahal, Sahi, & Rani, 2014b;Foscht et al, 2010;Omar et al, 2014;Parahoo, 2012), media awareness and perception (Foscht et al, 2010;Ismail, Amin, Shayeri, & Hashim, 2014), personality variables such as materialism (Cakarnis & D'Alessandro, 2015;Khare & Varshneya, 2015;Omar et al, 2014), lifestyle (Noordin, Zakaria, Sawal, Ngah, & Hussain, 2012), impulse buying (Cakarnis & D'Alessandro, 2015;Omar et al, 2014) and knowledge of credit card (Amin, 2012;Noordin et al, 2012).…”