Factors Influencing Consumers’ Intention to Use Informal Credit in Bangkok

Abstract

This study aimed to examine the influence of social ties, perceived convenience, and perceived credit constraints on consumers’ intentions to use informal credit in Bangkok. A quantitative research approach was employed, conceptualizing intention as a predictor of informal credit usage behavior. Data were collected from 385 respondents aged 20–60 years using a multi-stage sampling technique. A structured questionnaire was used as the data collection instrument, and the data were analyzed using descriptive statistics and multiple regression analysis. The results indicated that respondents reported high levels of agreement with all three factors. Social ties had the highest mean score, followed by perceived credit constraints and perceived convenience. The regression model explained 5.0% of the variance in the intention to use informal credit (R² = 0.050). Inferential analysis revealed that social ties had a statistically significant positive effect on the intention to use informal credit, and perceived convenience also had a statistically significant positive effect. In contrast, perceived credit constraints did not have a statistically significant effect. These empirical findings suggest that social networks and ease of access to funds are more influential in shaping consumers’ intentions to use informal credit than perceived constraints from formal financial institutions. The results have important implications for designing appropriate and sustainable policies to improve access to formal financial services.