Problems and Challenges Faced by Consumers while Using Mobile Banking Services: Empirical Evidences

Abstract

Today banking services transforms from branch banking to automated banking services. Presently use of Mobile Banking even in developing countries has become a common scenario. People use it to shops, pay bills and for online transactions etc. But with increase in number of mobile banking users and millions of transactions in a day, the various issues & prospects have also been on rise.  The objective of the proposed paper is to study the extent of various issues & prospects faced by Mobile Banking users while using various services provided by different banks operating in four administrative division of Haryana (Gurgaon, Rohtak, Hisar & Ambala) and Delhi and also explore the relationship between demographic variables and various issues/problems & prospects of Mobile Banking services provided by various banks. To achieve the objective of the study primary data was collected through a structured questionnaire from the respondents using Mobile Banking Services (public, private and foreign banks). In total 750 respondents were studied by using a convenience sampling method. To analyze the collected data SPSS version 19 was used. The various statistical techniques i.e. frequency distribution, percentages, mean, and standard deviation were used for analysis. To test the null hypothesis parametric test such as t-test and ANOVA were used. The major findings of the study reflected that “Order a cheque book”, “Transfer funds between your accounts”, “Insurance premium payment” and “Pay your utility bills” are major transactions frequently used by the mobile banking users, while users frequently faced issues/problems i.e. “Signal failure and network congestions”, “Less secure and risky transactions”, “Small screen and keypad” and “It need to be expertise” up to a large extent. Further demographic variables showed significant relation with various issues & challenges faced by ATM/Debit card users. The study provides meaningful direction to bank management and decision maker to minimize the frequency of occurrence of the various issues/problems & prospects while using mobile banking services for higher customer satisfaction.