Mobile Banking Adoption and Usage among Malaysians of Generation Y

By 2018, the Malaysian mobile banking services made the third largest amount of banking transactions following credit card and internet banking. Besides, it is significantly contributing to the banking industry by providing greater ease of transactions to the banking consumers. This study examines factors affecting the intention to use and the actual use of mobile banking services in Malaysia. Two main theories of unified theory of acceptance and use of technology – extended version (UTAUT2) and the model of perceived risk are used to propose a modified framework. Using questionnaires, the data are collected from 504 respondents. The data is analyzed by SPSS and PLS-SEM to acquire the findings. The findings of the study reveals that the independent variables can explain 55.3% variance in mobile banking use and 60.3% variance in Intention to use variables. Moreover, it demonstrates that common factors that have affected significantly on the actual use and intention to use of mobile banking are habit, facilitating condition, interface design quality. Whereas Perceived risk and intentional use are found to have significant impacts on only the use of mobile banking, while effort expectancy is found to have only significant impact on only the intention to use.