Credit Card Usage in the Banking Industry Kenya

Abstract

Technological advancement has brought significant changes to banking worldwide. Kenya is not an exception to this development in the banking industry. Bank customers have adopted the use of Credit card as the credit card has evolved into one of the most accepted, convenient and profitable financial products around the world. It is accepted by millions of consumers and merchants around the world as a routine means of payment for all variety of products and services. This study sought to examine the posited associations between credit card ownership and usage and demographic characteristics of cardholders in the context of Kenya. The study will be guided by the following research objectives: to establish the extent credit card usage ; to determine Challenges of using Credit Cards; to establish the benefits of using the Credit card and to analyze the factors leading the usage of the Credit card. The study will employ a descriptive research design to achieve the objectives of the study. The study will focus on Kenyan Commercial Bank as is the largest bank in the region and have aggressively pushed for the adoption and usage of Credit cards in Kenya. The study identified a population size of 70 respondents who will constitute 50 customers who frequent Nairobi City centre branches per day and 20 Members of staff. The study will use a structured questionnaire to gather primary data from the respondents. The collected data will be analyzed with the assistance of the SPSS software program and the data will be presented using means, frequencies and percentages in tables, pies and graphs