Jean M. Lown¹ and In-Sook Ju²

This study tested a preliminary model of credit use and financial
satisfaction based on the Deacon and Firebaugh (1988) systems approach
to management. The dependent variable in the model was financial
satisfaction;
the independent variables were categorized into three groups:
socio-economic
characteristics, credit attitudes, and credit practices. Respondent
feelings
about their credit obligations was the most powerful predictor of
financial
satisfaction; high levels of concern were related to lower levels of
satisfaction.
The subjective assessment of credit obligations was more important in
explaining
financial satisfaction than the objective measurement of family debt
burden
such as debt repayment-to-income ratio. Fifty-two percent of the
variation
in the model of financial satisfaction was accounted for by
socio-economic
characteristics, credit attitudes, and credit practices.


Key Words: Credit, Financial satisfaction, Financial ratios

1. Jean M. Lown, Ph.D.,Family, Consumer, & Human Development, UMC
2905, Utah State University, Logan, UT 84322-2905.  435-797-1569;
FAX: 435-797-3845.  Lown@cc.usu.edu 

http://cc.usu.edu/~lown/

2. In-Sook Ju, Korean Pharmaceuticals Manufacturing Association.
Previously
Dr. Ju was an Instructor in Home Economics Education, Korea University.
E-mail: insookju@kornet.net