Trust in Internet Banking in Malaysia and the Moderating Influence of Perceived Effectiveness of Biometrics Technology on Perceived Privacy and Security
Internet banking is gaining popularity in Malaysia due to its convenience which is achieved by unique business interactions between banking institutions and customers via websites and mobile applications. However, the incredible escalation of internet fraud cases has caused increased privacy and security risks for internet banking customers. Based on a review of literature, this paper developed a research framework to gauge the impact of customer perception about the effectiveness of biometrics technology on perceived privacy and security and its influence on trust and intention to continue internet banking. In light of the growing viability of biometrics technology as a solution for internet banking issues, the developed framework is then used to assess whether perceptions of biometrics effectiveness for internet banking has significant impact on the relationship between trust and perceptions of privacy as well as security. By testing the framework using a sample of 413 internet banking users, this study offers significant insights into the potential effectiveness of biometrics technology application in an internet banking context to alleviate privacy and security concerns and improve trust among Malaysian customers. The findings revealed that although there was an insignificant relationship between perceived privacy and trust, perceived biometrics effectiveness significantly influenced the strength of the relationships between both perceived privacy and perceived security with trust.