Credit card use by compulsive buying behavior

Abstract

The objective of research is to analyze the relationship between financial literacy, technology advancement, peer influence and social media and psychological factors to the credit card and compulsive buying behavior and to examine the impact of financial literacy, technology advancement, peer influence and social media and psychological factors to the credit card and compulsive buying behavior. The independent variables of the research are financial literacy, technology advancement, peer influence and social media and psychological factors and dependent variable is credit card and compulsive buying behavior. The correlation and regression analysis is conducted. The data are primary source. The data are collected using questionnaire from the customer of the three sample commercial bank. The finding of the research are the relationship between the financial literacy, technology advancement, peer influence and social media and psychological factors to the credit card and compulsive buying behavior is positive and significant. The impact of the financial literacy, technology advancement, peer influence and social media and psychological factors to the credit card and compulsive buying behavior positive and significant. Findings from studies on credit card use by compulsive buying behavior can inform policy decisions and regulatory measures aimed at protecting consumers from predatory lending practices, promoting financial literacy, and fostering responsible credit card use. By identifying the factors that contribute to compulsive buying tendencies, policymakers can develop targeted interventions to support individuals in managing their finances effectively. Keywords: financial literacy, technology advancement, peer influence and psychological factors, credit card and compulsive buying