SECURITY RISK IN MOBILE BANKING PERCEIVED BY USERS IN COIMBATORE

Abstract

Mobile banking enables customers using a smart phone to perform conventional and advanced financial transactions such as monitoring account balances, transferring funds between accounts, bill payments or locating an ATM. The objective is to study the security risk perception in mobile banking among customers in Coimbatore. Both Primary and Secondary data are sued to collect data for the study.  The technique used for the research is Non-Probability sampling method and the sampling technique selected for the study is convenience sampling technique. The researchers collected data from 189 respondents from three different bank branches covering public sector (State Bank of India), private sector (HDFC) and Foreign bank (HSBC). The collected data was analysed using statistical tools like Simple Percentage Method, Weighted Mean and Chi Square Test.  To conclude the results, accept null hypothesis (H01 to H04) because, there is no statistical significant at 5% level to shows that H0 is true or that demographic variables and security risk perception using mobile banking are independent (i.e. they are not dependent or related with each other).  Yousafzai et al. (2009) who classified perceived risk is again classified into social risk, financial risk, privacy risk, time risk, security risk and performance risk.  Our result is not consistent with Yousafzai who revealed security risk perception negatively influence on mobile banking users.  Though, there is a great elevation in mobile banking among bank customers, there is an unexplainable fear rooted in their minds and obviously seen among non-users still in the dilemma whether to adopt mobile banking or not! All banks, irrespective of public, private and foreign banks shall ensure cyber security and create security cushion to users to more and more adopt mobile banking in the near future.