Record Details

SWITCHING INTENTION OF MUSLIM DEPOSITORS IN ISLAMIC DEPOSIT ACCOUNT

International Journal of Economics, Management and Accounting

View Archive Info
 
 
Field Value
 
Title SWITCHING INTENTION OF MUSLIM DEPOSITORS IN ISLAMIC DEPOSIT ACCOUNT
 
Creator Abdullah, Siti Nabihah
Hassan, Siti Hasnah
Masron, Tajul Ariffin
 
Description Islamic finance has achieved remarkable growth all over the world. Without exception, Malaysia has also been enjoying rapid and robust development in Islamic finance. Despite the encouraging growth and the great acceptance of Islamic financial products, one controversy may reverse the perception about Islamic finance. The issue is that recently several Islamic banks introduced the concept of bai‘ al-‘īnah to be applied on deposit account which allows them to promise return to depositors. This strategy may encourage more Muslims to keep their money in Islamic banks. The use of this contract is in principle permissible in Malaysia, albeit admitted as controversial. Therefore, this study attempts to examine the switching intention of Muslim depositors if return on Islamic deposit account is not promised or guaranteed by Islamic banks. The Theory of Reasoned Action, in which intention could be the best determinant of individual behavior, is used as the basis of the study with a 375 participant sample. The findings showed that Muslim depositors do not really care about a promised return for deposit account practiced by several Islamic banks. For that reason, Islamic banks should not worry about introducing a promised-return based product for deposit accounts.
 
Publisher Kulliyyah of Economics and Management Sciences
 
Date 2016-06-30
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://journals.iium.edu.my/enmjournal/index.php/enmj/article/view/394
 
Source International Journal of Economics, Management and Accounting; Vol 24 No 1 (2016); 83-106
2462-1420
 
Language eng
 
Relation http://journals.iium.edu.my/enmjournal/index.php/enmj/article/view/394/206