Comparative Study Between Debit Card & Credit Card Users in Greater Noida City

The report was undertaken on the comparative study between debit card and credit card with the objective of to identify which is been used more by the people in their day to day usage The report was undertaken to make a comparison of debit card and credit card because as the Ancient India is turning towards Digital India and also now people are preferring to pay via debit or credit cards 1. Brief introduction about topic and reason for selection of topic : I have selected my topic as Comparative study between debit card and credit card they are commonly also known as payment cards or plastic money as it enables an individual to carry plastic money with him/her self and can make payment at a single


Industry Overview
Credit or debit cards are an element of a payment system that financial institutions, like banks, issue to clients. The cardholder can use the card to access funds in their designated bank accounts or through a credit account, make transactions via electronic money transfer, and use ATMs. These cards go by a variety of names, such as bank cards, ATM cards, MAC (money access cards), client cards, cards with keys, or cash cards. There are a number of types of payment cards, the most common being credit cards and debit cards. A debit or credit card is often digitally connected to one or more of the account holder's accounts.The card serves as a way of confirming the legitimacy of the account holder for each of these accounts, whether deposit, loan, or credit accounts. However, stored-value cards store money on the card itself and are not necessarily linked to an account at a financial institution. It can also be a smart card that contains a unique card number and some security information such as an expiration date or CVVC (CVV) or with a magnetic strip enabling other machines to access and read the information is on the back. This may permit the card to be used as an ATM card, enabling transactions at automatic teller machines, as a debit card, connected to the client's bank account and usable for making purchases at the point of sale, or as a credit card connected to a revolving credit line provided by the bank, depending on the issuing bank and the client's preferences With demonetization, the number of debit card and credit card in India is swiftly increasing then again debit card expanded largely than credit card. According to reserve bank of India, a total number of 880 million debit cards and 30.86 million credit cards were functional in May 2011

Company Background
• Debit cards They restrict the user to the genuine amount of money in his account and are substitutes the interestbearing debt produced by using credit cards. Some banks and credit unions impose fees when the card is used for transactions over the internet or as an ATM card.
Entrepreneurs with significant savings accounts obtained the first debit cards from the First National Bank of Seattle in 1978. These cards served as guarantee cards or cheque signature cards, where the bank guaranteed that the funds would cover the transaction without requiring a cheque from the client. Due to the fact that debit cards operate identically to checks in that the money are only released to clients who have an extensive record with the bank and are in excellent standing, not immediately removed from the account. On the backbone of the preexisting ATM and credit card networks, Landmark established the first nationwide debiting system in 1984. By 1998, use of debit cards had surpassed that of checks globally. It continues to rise above checks in demand every year. Debit cards cannot be used like credit cards, despite their resemblance in appearance. Debit cards are connected to the holder's checking account's available balance. The money does not float like it does with a cheque until the bank has finished depositing the money. The cash does not float like it would with a cheque until the bank completes transferring the money. Instead, real-time monetary transfers from the account of the purchaser to the seller's account give the vendor a secure way to trade their items for cash. When a big conglomerate's logo is imprinted on a debit card, such Visa or MasterCard, the transaction can "float" for two to three business days following the transaction until the bank is able to send the cash. This is similar to how a credit card functions.

Credit cards
The phrase "credit card" relates to a minimal plastic card with an identity characteristic, such as an initial or photo, enabling the individual who owns it to charge items or services to an account and send periodic bills for them. Users (cardholders) receive a credit card, which is a payment card that allows users to pay a vendor for products or services as a reward for their promise to the card. issuer to reimburse them for the amounts plus any extra charges that were previously agreed upon. The card issuer (often a bank) creates a revolving bank account that offers the cardholder a line of credit so that they can borrow cash to pay for items a merchant or as a cash advance. The first credit cards were given to customers for purchases in the 1920s by individual businesses which includes oil corporations and hotel chains in the US made at company outlets. The Diners' Club established the first credit card that could be used at a range of places Inc., in 1950. The American Express Company established a travel and leisure card in 1958, which is the first major card of this kind. In this system, the credit card business bills its cardholders on a periodic basis-typically monthly-and assesses an annual fee. The credit card issuer collects a service fee from cooperating firms all over the world that ranges from 4 and 7 percent of total billings. A later development was the bank credit card system, which credits the merchant's account as sales slips are received and acquires the charges to be billed to the cardholder at the end of the period of billing. The cardholder pays the bank either in packed or in monthly installments with interest or "carrying charges"

IJFMR23032874
Volume 5, Issue 3, May-June 2023 4 The first across the nation plan was referred to as Bank Americard, which was first introduced by the Bank of America in California on a state-by-state basis in 1958, licenced in other states in 1966, and called VISA in 1976-77. Theoretical Analysis

Definition of comparative
In grammar the comparative is the form of an objective an adjective or adverb which denotes the degree or grade by which a person, thing or other entity as a property or quality greater or less in extent then of another, and is use in this context with a subordinating conjunction, such as then etc.

Definition of analysis
In order to better understand a complicated topic or object, analysis is the act of breaking it down into smaller elements. The approach has been utilised in the study of arithmetic at logic since before the analysis as a formal concept is a relatively recent development.

Definition of comparative analysis
Item by item comparison of two or more comparable alternative process, product, qualification, set of data, set of data, system etc. in accounting period may be presented together to detect them emerging trend in the firm's operation and result.
A comparative analysis covers the following key points 1. Competitors in the card payment industry.

2.
It also indicates which product is been used more Debit card or credit card. 3. It also indicates the secureness that an individual feel during transaction via Debit/credit card. 4. It also indicates that as the change in technology the payment method also gets change.
Research Methodology 1. RESEARCH Definition: "Business research is a systematic inquiry that provides information to guide in taking business decisions."-DONALD COOPER. It is a systematic and objective process of gathering, recording, and analysing data that helps in making business decisions. It focuses on three aspects. It is a scientific investigation of pre determine objective. Clearly stated objectives. Aim of research is to help in decision making.

OBJECTIVE OF STUDY:
1. To study between Debit card and Credit card users in Greater Noida. 2. To find out which card people prefer most Debit or Credit.
3.To find out that people feel secure during using of debit or credit card. 4. To find out for what reason people use their debit or credit card the most.

RESEARCH DESIGN:
Research design is the framework of conducting research for a project. It specifies all the details of procedures necessary for obtaining, processing, and an analysing the information needed to exactly define the research problems and to solve that research problem. There are basic two types of research design.

IJFMR23032874
Volume 5, Issue 3, May-June 2023 5 a) EXPLORATORY RESEARCH In the case of exploratory research, the focus is on the discovery of idea. Exploratory research intends to identify priorities, offer operational definitions, as well as improve the final study design by studying an issue that has not been researched in more depth.

b) CONCLUSIVE RESEARCH
Conclusive investigations seek to offer information that aids in drawing conclusions or making judgements. It frequently takes the form of measurable, reiterable numbers, or is quantitative in traits. It relies on both secondary data and primary research. There are two broad categories of conclusive design.

i. CAUSAL DESIGN
A causal design, as its name implies, focuses at the connection between multiple variables and their consequences and causes. The purpose of causal research design is to understand which variable is the cause and which effect is.

ii. DESCRIPTIVE RESEARCH DESIGN
A descriptive study may be required when the researcher is curious about the characteristics of particular groups, such as age, sex, education level, employment, or income. There are two categories of descriptive research design.

a) CROSS SECTIONAL STUDY
A cross sectional study involves the collection of information from any given sample of population elements only once. Sample taken out from population are is analysed only at a particular time interval.

b) LONGITUDINAL STUDY
Research design in which same sample taken out of population is analysed respectively for the same objective at different time intervals. A group of respondents who participate in longitudinal research are called sample panels. In this report exploratory research design is been used to conduct survey   In this research report primary as well as secondary data is been used. As it contains both the data the introduction and the overview is been considered as the secondary data and the data interpretation is been considered as the primary data.

SAMPLE SIZE:
Sample size refers to the number of subjects included in a sample. Determining sample size is the complex and involves several qualitative and quantitative considerations. It is an important aspect of statistics that go into analysing the result of research projects. For this research report sample size is 200. This report is been conducted on 200 peoples in the Greater Noida using debit/credit card.

SAMPLING DESIGN:
Sampling design is a mathematical function that gives probability of any given sample being drawn. The two primary categories of design for sampling include probability and non-probability.

Probability Sampling Methods:
An approach of sampling in which the probability that every single member of the population will be selected for the sample is fixed. The probability of every unit in the population being included in the sample is known and the selection of specific units in the sample depends entirely on chance. The conclusion of a sample is made absent the need of human opinion. i. Simple random sampling: each element in the population has known and equal probability of selection (lottery system). ii. Systematic sampling: technique in which the sample is chosen by selecting a random starting point and the picking every 1 st element in succession from the sampling frame. iii. Stratified Sampling: technique that uses two-step processes, first partition the population into sub population or strata and then elements are selected from each stratum by a random procedure. iv. The target population is first broken up into specific populations that are mutually exclusionary and jointly exhaustive.

NON-PROBABILISTIC SAMPLING:
Sampling technique that does not use chance selection procedure, rather than this it use the personal judgement of the researcher. The researcher can consciously decide what elements to include in the sample.

IJFMR23032874
Volume 5, Issue 3, May-June 2023 8 i. Quota Sampling: it is a two stage restricted sampling. In first stage consist of developing these quotas, in second stage sample elements are selected on the based on convince or judgement. ii.
Snowball sampling: an initial group of respondent is selected, usually at random. Following the interview, the participants are asked to name more members of the target numbers. Subsequent respondents are selected on the basic of referrals. iii. Judgemental Sampling: A form of conveniency sampling in which the population elements are purposively selected based on the judgement of the researcher. iv. Convenience Sampling: A non-probabilistic sampling technique that attempts to obtain a sample of convenient elements.
This research report uses non-probabilistic conveniency sampling technique for further research purpose as it is best fitted for this research report. BENEFITS: 1. Give information about users of the debit cards and credit cards in Greater Noida. 2. Shows the comparison between usage of debit and credit card in Greater Noida. 3. Report also indicates that for what purpose people use their debit/credit the most. 4. Satisfaction level and the safety concern that an individuals feel during using debit/credit card can also be measured.

LIMITATION:
The study is bounded till geographical boundaries of Greater Noida only. 2.Report is been prepared within the limited given time period and thus only 200 people are been surveyed during the preparation of project. Q.1 From the above data it can be seen that 100% of people own a debit card, whereas only 73% of people own a credit card and rest 27% of people don't own a credit card. Q.2 From the above data it can be seen that 75% of people have a single debit card, followed by 10% of people who has two debit cards with them, then there are 9% of people who own three debit cards, followed by the 6% of people who has more than three debit cards. Whereas 60% of people have a single credit card, followed by 29% of people who has two credit cards with them, then there are 7% of people who own three credit cards, followed by the 4% of people who has more than three credit cards. Q.3 From the above data it can be seen that 03% of people have debit card of Punjab national bank (PNB), 04% of people have debit card of bank of baroda (BOB), 58% of people own a debit card of state bank of india (SBI), 11% of people have debit card of industrial credit and investment corporation of india (ICICI), 15% of people have debit card of AXIS bank and the remaining 09% of people own debit card of other private and government banks. Q.4 From the above data it can be seen that 02% of people have credit card of Punjab national bank (PNB), 06% of people have credit card of bank of baroda (BOB), 56% of people own a credit card of state bank of india (SBI), 17% of people have credit card of industrial credit and investment corporation of india (ICICI), 11% of people have credit card of AXIS bank and the remaining 08% of people own credit card of other private and government banks. Q.5 From the above data it can be seen that 41% of people use cash as payment mode, 2% of people use credit card as payment mode, 53% of people use debit card as payment mode, 2% of people use internet banking as payment mode, 8% of people use E-wallets as payment mode. Q.6 From the above data it can be seen that 52% of use of debit/credit card is done for money transaction purpose, 10% of use is done for online purchase, 19% of use is done for shopping purpose, 6% of use is done for ticket reservation and the 13% is done for other purpose. Whereas 37% of use of credit card is done for money transaction purpose, 29% of use is done for online purchase, 22% of use is done for shopping purpose, 0% of use is done for ticket reservation and the 12% is done for other purpose. Q.7 From the above data it can be seen that 83% of people carry their debit card with them and the 17% of people don't carry their debit card with them.
Whereas on other hand that 36% of people carry their credit card with them and the 64% of people don't carry their credit card with them. Q.8 From the above data it can be seen that 89% of people trust the transaction security of debit card and 11% of people do not trust the transaction security of debit card. Whereas it is also seen that 88% of people trust the transaction security of debit/credit card and 12% of people do not trust the transaction security of debit/credit card. Q.9 From the above data it can be seen that 2% of people use debit card less than 3 times a month for payment, 19% of people use it 3-6 times a month for payment, 68% of people use 7-10 times a month for payment, 11% of people use it more than 10 times a month for payment. Whereas on other hand 88% of people use credit card less than 3 times a month for payment, 8% of people use it 3-6 times a month for payment, 4% of people use 7-10 times a month for payment, 0% of people use it more than 10 times a month for payment. Q.10 From the above data it can be seen that 78% of people use debit card as it acts as a fast payment method, 12% of people use debit card as it acts most convenience to them, 6% of people use debit card as it acts a secure mode of transaction to them, 4% of people use debit card as other way for their usage. On other hand 58% of people use credit card as it acts as a fast payment method, 20% of people use credit card as it acts most convenience to them, 14% of people use credit card as it acts a secure mode of transaction to them, 8% of people use credit card as other way for their usage. Q.11 From the above data it can be seen that 5% of people use debit card to pay amount less than 1,000, 25% of people use debit card to pay amount between 1,000-3,000, 66% of people use debit card to pay amount between 3,000-10,000, 4% of people use debit card to pay amount more than 10,000.
But on other hand 0% of people use credit card to pay amount less than 1,000, 4% of people use credit card to pay amount between 1,000-3,000, 42% of people use credit card to pay amount between 3,000-10,000, 54% of people use credit card to pay amount more than 10,000. Q.12 From the above data it can be seen that 36% of people feel extremely secure while making payment via debit card through online mode, 21% of people feel very secure while making payment, 22% of people feel moderate secure while making payment, 12% of people feel slightly secure while making payment, 09% of people feel not at all secure while making payment. Whereas on other side 53% of people feel extremely secure while making payment via credit card through online mode, 18% of people feel very secure while making payment, 14% of people feel moderate secure while making payment, 11% of people feel slightly secure while making payment, 04% of people feel not at all secure while making payment. Q.13 From the above data it can be seen that 85% of people are delight/extremely satisfied with the service provided by their bank for debit card, 10% of people are satisfied with the service provided by their bank for debit card 5% of people are moderate satisfied with the service provided by their bank for debit card. Whereas on other side 66% of people are delight/extremely satisfied with the service provided by their bank for credit card, 20% of people are satisfied with the service provided by their bank for credit card 14% of people are moderate satisfied with the service provided by their bank for credit card.

Findings
From this project that is comparative study between debit and credit card users in Greater Noida we can conclude the following findings: 1. It can be seen that each and every individual that is 100% of people owns a debit card but only 73% of people owns credit card. 2. It is easily seen that a large part of population owns a single debit and credit card. 3. It can be seen that 58% of people own a debit card of State bank of India (SBI). 4. Moreover the people who own credit card also mostly of State bank of India (SBI) that is 56%. 5. When it comes to payment to be done for purchase 53% of people prefer it via debit card. 6. The maximum use debit card that is 52% is done for the money transaction purpose. And for the credit card its 37%. 7. A larger number of people that is 83% of people carry their debit card with themselves and only 36% of people carry their credit card with themselves. 8. When it comes to transaction security a larger number of population feel secure when they pay via debit and credit card that is 89% and 88% respectively. 9. Debit card is adopted as a method to pay 7-10 times in a month by 78% of people and 88% of people use their credit card for less than 3 times a month. 10. About 78% of people prefer to pay from debit card as it acts as the fast method of payment to them and about 58% of people via credit card. 11. About 66% of people prefer to make payment when the amount lies between 3,000 -10,000 and on other hand 54% of people prefer to use their credit card for payment to be made above 10,000. 12. It can be observed that 36% of people feel extremely secure while making payment through debit card and about 53% of people feel extremely safe when they make payment via credit card.
A large number of people that is 85% of people are delight from the service provided by their bank for debit card and 66 % of credit card users are delight from the service provided by their bank for credit card.

Conclusion
From the report it us concluded that most of the people have debit and credit card of State bank of India (SBI) as it makes them feel that money are been safely kept with the government. As to stay updated with the modern generation people are now using more of digital method of payment as it saves the time, it is also paper less transaction that creates an positive impact globally. And as the income level and the spending and purchasing power of the consumer has increased the more number of debit and credit cards are been issued by the banks to their customers.
Moreover with the advancement of time people now prefer to pay via debit/credit card as there are a greater number of schemes and cashback offers available. People also feel extremely secure when they do transaction via debit/credit card. Still considering all the factors we can say that the use of debit/credit card will increase very soon in the future.
At current stage the use of debit is been more than compared to credit card, but as the purchasing and spending habits are changing the credit card will also be more in use in near future.
Coming to current situation people use more of debit card then credit card as the middle income people and lower income people do not use much of credit cards.

Suggestion
From my point of view the use of digital payment method should increase and more new methods and way should be adopted for payment, but not at the cost of leaking the data of an individual, government should promote and encourage more of the digital way of payment as it is time saving and a paper less transaction But on other hand government should also adopt more secure and modern technology that keeps the data of an individual encrypted so that the unnecessary or unauthorized access cant be permitted. Thus the payment card industry is moving at the increasing rate of growth and more growth to the payment card industry can been seen in future

Data interpretation:
From the above data it can be seen that 75% of people have a single debit card, followed by 10% of people who has two debit cards with them, then there are 9% of people who own three debit cards, followed by the 6% of people who has more than three debit cards. Whereas 60% of people have a single credit card, followed by 29% of people who has two credit cards with them, then there are 7% of people who own three credit cards, followed by the 4% of people who has more than three credit cards.

Data interpretation:
From the above data it can be seen that 52% of use of debit/credit card is done for money transaction purpose, 10% of use is done for online purchase, 19% of use is done for shopping purpose, 6% of use is done for ticket reservation and the 13% is done for other purpose. Whereas 37% of use of credit card is done for money transaction purpose, 29% of use is done for online purchase, 22% of use is done for shopping purpose, 0% of use is done for ticket reservation and the 12% is done for other purpose.

Data interpretation:
From the above data it can be seen that 2% of people use debit card less than 3 times a month for payment, 19% of people use it 3-6 times a month for payment, 68% of people use 7-10 times a month for payment, 11% of people use it more than 10 times a month for payment. Whereas on other hand 88% of people use credit card less than 3 times a month for payment, 8% of people use it 3-6 times a month for payment, 4% of people use 7-10 times a month for payment, 0% of people use it more than 10 times a month for payment.

Data interpretation:
From the above data it can be seen that 5% of people use debit card to pay amount less than 1,000, 25% of people use debit card to pay amount between 1,000-3,000, 66% of people use debit card to pay amount between 3,000-10,000, 4% of people use debit card to pay amount more than 10,000. But on other hand 0% of people use credit card to pay amount less than 1,000, 4% of people use credit card to pay amount between 1,000-3,000, 42% of people use credit card to pay amount between 3,000-10,000, 54% of people use credit card to pay amount more than 10,000. 12. In your opinion, how secure do you feel about using each of the following payment method to pay online.

Data interpretation:
From the above data it can be seen that 85% of people are delight/extremely satisfied with the service provided by their bank for debit card, 10% of people are satisfied with the service provided by their bank for debit card 5% of people are moderate satisfied with the service provided by their bank for debit card. Whereas on other side 66% of people are delight/extremely satisfied with the service provided by their bank for credit card, 20% of people are satisfied with the service provided by their bank for credit card 14% of people are moderate satisfied with the service provided by their bank for credit card.

Findings
From this project that is comparative study between debit and credit card users in Greater Noida we can conclude the following findings: 1. It can be seen that each and every individual that is 100% of people owns a debit card but only 73% of people owns credit card. 2. It is easily seen that a large part of population owns a single debit and credit card. 3. It can be seen that 58% of people own a debit card of State bank of India (SBI). 4. Moreover the people who own credit card also mostly of State bank of India (SBI) that is 56%. 5. When it comes to payment to be done for purchase 53% of people prefer it via debit card. 6. The maximum use debit card that is 52% is done for the money transaction purpose. And for the credit card its 37%. 7. A larger number of people that is 83% of people carry their debit card with themselves and only 36% of people carry their credit card with themselves. 8. When it comes to transaction security a larger number of population feel secure when they pay via debit and credit card that is 89% and 88% respectively. 9. Debit card is adopted as a method to pay 7-10 times in a month by 78% of people and 88% of people use their credit card for less than 3 times a month. 10. About 78% of people prefer to pay from debit card as it acts as the fast method of payment to them and about 58% of people via credit card. 11. About 66% of people prefer to make payment when the amount lies between 3,000 -10,000 and on other hand 54% of people prefer to use their credit card for payment to be made above 10,000. 12. It can be observed that 36% of people feel extremely secure while making payment through debit card and about 53% of people feel extremely safe when they make payment via credit card. 13. A large number of people that is 85% of people are delight from the service provided by their bank for debit card and 66 % of credit card users are delight from the service provided by their bank for credit card.

Conclusion
From the report it us concluded that most of the people have debit and credit card of State bank of India (SBI) as it makes them feel that money are been safely kept with the government. As to stay updated with the modern generation people are now using more of digital method of payment as it saves the time, it is also paper less transaction that creates an positive impact globally. And as the income level and the spending and purchasing power of the consumer has increased the more number of debit and credit cards are been issued by the banks to their customers.
Moreover with the advancement of time people now prefer to pay via debit/credit card as there are a greater number of schemes and cashback offers available. People also feel extremely secure when they do transaction via debit/credit card. Still considering all the factors we can say that the use of debit/credit card will increase very soon in the future.
At current stage the use of debit is been more than compared to credit card, but as the purchasing and spending habits are changing the credit card will also be more in use in near future.
Coming to current situation people use more of debit card then credit card as the middle income people and lower income people do not use much of credit cards.

Suggestion
From my point of view the use of digital payment method should increase and more new methods and way should be adopted for payment, but not at the cost of leaking the data of an individual, government should promote and encourage more of the digital way of payment as it is time saving and a paper less transaction But on other hand government should also adopt more secure and modern technology that keeps the data of an individual encrypted so that the unnecessary or unauthorized access cant be permitted. Thus the payment card industry is moving at the increasing rate of growth and more growth to the payment card industry can been seen in future