BEYOND BANKING: THE BEHAVIOURAL TRANSFORMATION OF UNDERBANKED POPULATIONS THROUGH DIGITAL FINANCIAL SOLUTIONS
DOI:
https://doi.org/10.59415/mjacs.357Keywords:
Financial Inclusion, Digital Finance, Behavioural Transformation, Underbanked, Digital Literacy.Abstract
The rapid growth of digital financial solutions has created new opportunities for financial inclusion, particularly for populations with limited access to formal banking. However, simply having access to these digital tools does not guarantee that users will engage with them meaningfully or feel empowered financially. This study explores the behavioural changes among underbanked communities as they adopt digital financial services such as mobile banking, e-wallets, UPI systems, and neobanks. Drawing from behavioural finance and technology adoption theories, along with survey data, it examines how digital tools influence spending, saving, and borrowing habits. The research also investigates the important roles of trust, digital literacy, and socio-economic conditions in shaping these behavioural changes. Findings highlight that behavioural transformation depends not only on access but also on users confidence, understanding, and social environment. To ensure lasting financial empowerment and effective use of digital finance, the study recommends targeted interventions that support learning, build trust, and address socio-cultural barriers. Overall, this paper emphasizes the need to look beyond access and focus on how digital financial services can truly change financial behaviour among underbanked users for sustainable inclusion.
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Copyright (c) 2026 Chethan Kumar. S
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