Factors Influencing Behavioral Intentions to Use Digital Lending: An Extension of TAM Model

Abstract

This study aims to examine the factors influencing the intention to use digital lending among users by extending the technology acceptance model (TAM) framework. Specifically, the study focuses on the perceived usefulness and perceived ease of use of the TAM model with the addition of perceived security and perceived risk as the key factors influencing the intention to use digital lending. The study uses a quantitative research design and collects data from a sample of mobile banking users who are willing to borrow through an online survey. The researcher analyzed the data with a structural equation model using Smart PLS 4.0 to test the hypotheses, including the relationships of all latent variables. The findings suggest that perceived usefulness, perceived ease of use, and perceived security influence are positively associated with the adoption of digital lending. In contrast, perceived risk was found to be an insignificant predictor in this area. The study also provides insights for bankers and policymakers to design effective strategies to boost the adoption of their services.