A Study on the Impact of Fintech on the Financial Behaviour of Individuals
Keywords:
Fintech Adoption, Financial Behaviour, Savings, Investment, Expenditure, Financial Management, Fintech Satisfaction, Financial PlanningAbstract
Technological infusion into the financial services sector is the new mode of advancement that brought in enormous changes to the sector. There are roughly over 3085 Fintech companies operating in India as of 2023 with market capital over USD 226 billion. The financial services industry has shifted from providing traditional services to giving Fintech services. Fintech has brought in changes in the financial behaviour patterns of individuals. The present trends in Fintech revolve around embedded finance, digital regulatory standards, and e-money institutions. This study is undertaken to explore the factors that have caused individuals to adopt Fintech and how this Fintech adoption has influenced their financial behaviour patterns concerning savings, expenditure, investment, and financial management. The users of Fintech applications from Chennai have been considered for the study. A sample of 256 respondents has been collected via a well-structured questionnaire using the purposive sampling method and analyzed using SPSS (v20) software using correlation, regression, and descriptive analysis. Variables of Utility, Ease of use, Performance of individuals, Societal influence, Trust and security, Risks, and Financial and technological literacy have been taken as the factors that influence the adoption of Fintech. It can be concluded these factors affecting Fintech use, significantly influence the financial behaviour that in turn highly influences the overall Fintech adoption and satisfaction. The study suggests that the factors influence each financial behavioural aspect at different levels. Thus, the Fintech adoption has brought changes in the way through which individuals behave towards their financial planning and goals.
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