Abstract
Unlike their counterparts, Islamic Banking systems rely on Islamic principles (i.e., Sharia law) to deliver their products and services. Though Islamic banks are usually located in Muslim-majority countries, the demand for Islamic Banking services is growing worldwide. Currently, 400 Islamic Banks in 75 countries offer products such as Islamic banking, finance, and credit cards. One of the most popular banking products (especially in developing countries) is monthly deposit-based schemes because they offer a specific percentage of interest based on the amount deposited. In Bangladesh, deposit-based products are known as Deposit Pension Scheme or DPS. The principles of Islam prohibit the consumption of fixed interest-based income (RIBA) in most DPS. To counter this, Islamic banks offer deposit schemes that do not have a fixed interest rate (i.e., variable rates). Literature reveals consumers' intentions to purchase Islamic products (i.e., Islamic finance and credit cards) derive from religiosity, religious obligations, and fear of punishment (or a combination). However, very few papers have investigated these effects on DPS. This paper investigates the effect of religiosity, fear of punishment, and attitudes toward Islamic products on the intention to adopt Islamic DPS.