Customer Trust and Security Perception in Digital Banking

  • Authors

    • Dr. Elena Petrova Associate Professor, Moscow State University, Russia. Author
    • Dr. Carlos Mendes Professor, University of Lisbon, Portugal. Author

    DOI:

    https://doi.org/10.67228/3071642X/IJCFDE-2019PI6F3N

    Published 02-02-2019

  • Digital Banking, Customer Trust, Security Perception, Information Security, Privacy Protection, Electronic Banking, Cybersecurity, Financial Technology

    Issue

    Vol. 2 No. 1 (2019)

    Section

    Articles

    How to Cite

    Petrova, E., & Mendes, C. (2019). Customer Trust and Security Perception in Digital Banking. International Journal of Commerce, Finance and Digital Economy, 2(1), 01-15. https://doi.org/10.67228/3071642X/IJCFDE-2019PI6F3N

  • Abstract

    Digital banking has improved financial services by enabling secure and convenient transactions through internet and mobile platforms. While it offers greater accessibility and efficiency, customer adoption depends heavily on trust and perceived security. Concerns regarding fraud, data breaches, identity theft, and privacy risks continue to influence users’ confidence in digital banking systems. This study investigates the impact of trust, security perception, privacy protection, and service quality on digital banking adoption. Using quantitative analysis, it identifies key factors such as authentication effectiveness, encryption awareness, transaction reliability, and institutional reputation that influence customer trust. The findings show that strong security measures, including two-factor authentication, encryption, and fraud detection systems, significantly enhance customer confidence and willingness to use digital banking services. The study concludes that trust is a critical factor driving customer satisfaction, loyalty, and long-term adoption, while emerging technologies such as biometric authentication, cybersecurity solutions, and AI-based fraud detection will further strengthen digital banking security in the future.

  • References

    [1] Gefen David, E. Karahanna, and D. W. Straub, “Trust and TAM in online shopping: An integrated model,” MIS Quarterly, vol. 27, no. 1, pp. 51–90, 2003.

    [2] Yousafzai Shumaila Y., J. G. Pallister, and G. R. Foxall, “A proposed model of e-trust for electronic banking,” Technovation, vol. 23, no. 11, pp. 847–860, 2003.

    [3] McKnight D. Harrison, V. Choudhury, and C. Kacmar, “Developing and validating trust measures for e-commerce,” Information Systems Research, vol. 13, no. 3, pp. 334–359, 2002.

    [4] Flavián Carlos, M. Guinalíu, and R. Gurrea, “The role played by perceived usability, satisfaction and consumer trust on website loyalty,” Information & Management, vol. 43, no. 1, pp. 1–14, 2006.

    [5] Lee Ming-Chi, “Factors influencing the adoption of internet banking: An integration of TAM and TPB with perceived risk and perceived benefit,” Electronic Commerce Research and Applications, vol. 8, no. 3, pp. 130–141, 2009.

    [6] Suh Bomil and I. Han, “The impact of customer trust and perception of security control on the acceptance of electronic commerce,” International Journal of Electronic Commerce, vol. 7, no. 3, pp. 135–161, 2003.

    [7] Belanger France, J. S. Hiller, and W. J. Smith, “Trustworthiness in electronic commerce: The role of privacy, security, and site attributes,” Journal of Strategic Information Systems, vol. 11, no. 3–4, pp. 245–270, 2002.

    [8] Pikkarainen Tero, K. Pikkarainen, H. Karjaluoto, and S. Pahnila, “Consumer acceptance of online banking: An extension of the technology acceptance model,” Internet Research, vol. 14, no. 3, pp. 224–235, 2004.

    [9] Roca Juan Carlos, J. J. García, and J. J. de la Vega, “The importance of perceived trust, security and privacy in online trading systems,” Information Management & Computer Security, vol. 17, no. 2, pp. 96–113, 2009.

    [10] Liao Ziqi and M. T. Cheung, “Internet-based e-banking and consumer attitudes: An empirical study,” Information & Management, vol. 39, no. 4, pp. 283–295, 2002.

    [11] Venkatesh Viswanath, J. Y. L. Thong, and X. Xu, “Consumer acceptance and use of information technology: Extending the unified theory of acceptance and use of technology,” MIS Quarterly, vol. 36, no. 1, pp. 157–178, 2012.

    [12] Jain Anil K., A. Ross, and S. Prabhakar, “An introduction to biometric recognition,” IEEE Transactions on Circuits and Systems for Video Technology, vol. 14, no. 1, pp. 4–20, 2004.

    [13] Goodfellow Ian, Y. Bengio, and A. Courville, Deep Learning. Cambridge, MA, USA: MIT Press, 2016.

  • Downloads

Similar Articles

21-30 of 85

You may also start an advanced similarity search for this article.