An investigation of the determinants of customer’s intention to purchase islamic credit card

This study aims to scrutinize the dynamics which tend to impact purchasing intention of Islamic credit card. This research also aims to investigate the nexus of product’s knowledge and religiosity with the attitude of potential Islamic credit card’s customer. Theory of reasoned action is utilized in the study to find out the intentions due to its proven predictive power in the studies related to consumer behaviour. Particularly, this study investigates the relationship of perceived financial cost (PFC), subjective norms (SN) and attitude (ATT) with intention to purchase Islamic credit cards. Using convenience sampling approach, data have been collected from 450 bank’s customers in Rawalpindi and Islamabad. A five-point Likert scale self-administered questionnaire was used to collect the data. The data was analyzed using Statistical Package of Social Sciences (SPSS) through the procedures of principal component and multiple regression analysis. The results revealed that customer’s religiosity and product knowledge were strong indicators of attitude towards buying Islamic credit cards. Likewise, subjective norms, attitude and perceived financial cost depicted a significant and positive impact on customers’ purchase intent of Islamic bank’s credit card. This study presents a strong model of study in Pakistan which is a horizon for the future researchers for further investigation with variety of other factors. This study also provides a platform to the practitioners and Islamic bank managers to put in more efforts for educating the customers regarding Islamic credit cards and other financial products to turn away their customers from Riba. This empirical study provides new research avenues about Islamic banking in the shape of Islamic credit card Pakistan as embraced by Malaysia and Turkey. Due to the novelty of this study it provides a significant contribution to the existing body of knowledge in terms of Islamic credit cards in Pakistan.