Determinants of Customers Acceptance of Electronic Payment And Clearing System in Banking Sector

Abstract

The wind of liberalization, globalization and privatization has opened new vistas in the newlinepayment industry. Whole world becomes a global village with the advent of Information newlineTechnology. In comparison to earlier barter system cash and cheque transactions are newlinerelatively more convenient. But this traditional paper based transaction has its own newlinelimitations which not only affect transaction process of government but also corporate bodies newlineand individuals. The present study performs in-depth analysis to find out adoption level and newlinerate of usage of Electronic Payment System by individual retail customers. There are various newlineelectronic delivery channels like ATM, credit card, debit card, Net banking, Electronic Fund newlineTransfer (EFT), NEFT, RTGS, IMPS, Mobile banking, Tele-Banking etc. whose usages are newlineincreasing day by day for delivering various services electronically and helps in faster inter newlinebank settlement even in large volume. Account balance checking, generation of accounts newlinestatement, fund transfer etc. happen at the convenience of the customers at lowest cost. In newlineorder to find out various influencing factors for adoption of Electronic Payment and Clearing newlineSystem in India specially in West Bengal; the proposed study uses Technology Acceptance newlineModel (TAM) framework. Besides Perceived Usefulness and Perceived Ease of Use as newlineproposed by Davis (1989) in TAM, there are two more additional constructs i.e. Perceived newlineRisk and Perceived Security (from TAM 2) are used to examine antecedents of Electronic newlinePayment System adoption in India. The study identified two types of factor (a) push newlinefactor viz. Perceived Ease of Use (PEOU) and Perceived Usefulness (PU) and (b) pull newlinefactor viz. Perceived Risk (PR) and Perceived Security (PS) for adoption of E-payment and newlineclearing system in India, specially in West Bengal. For this purpose structured questionnaires newlinewere distributed among individuals from different parts of West Bengal to ascertain newlineavailability of various Electronic Payment Services, level of adoption among various newlinev newlinedem