A Study of Consumer Concerns and Issues of Electronic Payments in India

Abstract

This article aims to identify the key attributes of electronic money and its use by consumers through a survey. It considers the various issues and concerns of consumers regarding e-payments. It does not address pay ments by ATM or credit cards being used offline (payments other than through computer networks). The requirement is to evaluate some of the options available for e-payments and address some key specific con cerns of the users as this form of payments is yet in its nascent stage and would be one of the most dominant and widely used applications in the future. The net boom and therefore a widespread market for electronic money ('e-money') products could offer merchants, financial service providers and government entities the opportunity for greater cost efficiencies and consumers the opportunity for greater convenience and security. However, there is also recognition that these benefits cannot be fully realized without wide consumer accept ance of e-money. Consumer acceptance in turn requires that consumers have confidence in the new products, understand the benefits and risks of the products, and believe that their concerns about the products have been considered and addressed.