Comparative analysis of savings finance activity with bauspar system and an application study

The aim of this research is to identify the similarities and differences between the Bauspar System and the Savings Finance Activity, as well as to examine the effects of the licensing process on the sector. In line with these objectives, a qualitative research study has been conducted. This qualitative research is based on the phenomenology method. An open-ended interview form was utilized to obtain the findings. The participants consisted of professionals actively working in the savings finance sector. The data collected from the interviews were analyzed using content analysis.The research findings indicate that the licensing process has positive impacts on the development of the sector. With the completion of the licensing process, the savings finance sector has begun to be perceived as a more reliable, reputable, and alternative financing method by savers. Alongside this development, digital transformation activities within the sector have also accelerated. In Turkey, one in every 25 households acquires their home or vehicle through the Savings Finance method. The Bauspar system in Germany is shaped by the Rotating Savings and Credit Associations (ROSCA) method and has a history of over 100 years. The system currently holds 25 million active contracts, with an average of 1.5 million new contracts added each year. In Germany, one in every three families chooses the Bauspar System. While there are many similarities between the Savings Finance Activity and the Bauspar System, the most significant difference lies in their approaches to interest. This study aims to provide positive contributions to the future projections of both systems.