Consumer Credit in Turkey

In this episode, Carmen Hofmann (eabh) speaks with M. Fatih Karakaya (Istanbul University) about the historical development of consumer finance in Turkey from the early Republic to the present day. Drawing on archival research, they explore how instalment payments, retailer credit, and bank-led lending evolved within Turkey's distinctive economic and political context. Far from simply importing Anglo-American credit card models, Turkey built on a long tradition of "buy now, pay later" practices that stretched from Ottoman-era Singer sewing machines to the instalment plans of major household appliance manufacturers. The conversation examines how these historical legacies shaped modern consumer finance, what makes the Turkish experience unique, and what it can teach us about credit markets more broadly.