relation: http://eprints.iab.edu.my/v2/716/
title: CONSUMER FINANCING: A STUDY ON THE PERCEPTION OF EDUCATION OFFICERS TOWARDS INTEREST-FREE FINANCING.
creator: AMER HAMZAH, JANTAN
subject: L Education (General)
description: The purpose of the study was to investigate the perceptions of education officers towards interest-free financing. By using Factor Analysis, the study has examined the perceptions of education officers and was able to extract and identify 13 factors that may explain the behavior of education officers involved in credit financing. The factors centered on the elements of interest-free financing and the respondents' level of understanding of the concepts involved. Sixty respondents comprising of 60 Muslim education officers were selected to participate in the study. The group is made up of 13 teachers and 47 officers working within the Ministry of Education. The mean scores for every factor was computed. The mean score for Factor 1 is 3.8354. This shows that generally the respondents have a fair degree of understanding of the IFCS concept. The mean score for Factor 2 is 2.7792. This shows the education officers are relatively not sure of the interest-free financing concept. However, it was also found that education officers have a high level of understanding of the purpose of the IFCS (Factor 3). Respondents also indicated that they find it more convenient to purchase items on interest-based terms. The officers showed a mean score of 3.7333 for Factor 5, which measures their agreement that interest is exploitation of customers. However, it was disturbing to see that the respondents scored 3.4750 to the statements that interest is paid because it is legal and that IFCS should go for lower profit. The respondents agreed that IBCS is more accessible to them compared to interest-free credit schemes. The respondents relatively agree that riba is the interest charged by chettiahs and loan sharks (3.6750). For Factor 9, the mean score was 2.5583 indicating that respondents are unsure of the statements in Factor 9. Factor 10 also looks at the misconception of riba. At a mean score of 3.6333, it shows that the respondents do not really understand the riba concept. The score also indicated that they agree with the contention that riba is exceedingly high interest and any profit made illegally. The mean score for Factor 1 shows that the respondents agree that measures should be taken to expose customers to Islamic financing. Customers should be made aware of the interest-free products in the market. The mean score for Factor 12 shows that the respondents are rather unsure of the fact that banks and Islamic financing schemes both charges interest on customers. The mean score of 3.1489 shows suite a high level of misconception of the concept. The education officers also show agreement that interest is something that is necessary and not a burden to customers. A mean score of 3.2250 gives rise to the need to address the issue. Education officers, especially teachers need to really understand the concepts in Islamic financing since they are the change agents for the future. They need to prepare the present generation with the pillars and concepts of Islamic financing for the future.
date: 1997
type: Thesis
type: NonPeerReviewed
format: application/pdf
language: en
identifier: http://eprints.iab.edu.my/v2/716/1/amer%20hamzah%20jantan.pdf
identifier:   AMER HAMZAH, JANTAN  (1997) CONSUMER FINANCING: A STUDY ON THE PERCEPTION OF EDUCATION OFFICERS TOWARDS INTEREST-FREE FINANCING.  Masters thesis, International Islamic University Malaysia.