Internet Banking In Malaysia Research Articles

An Evaluation Study of User Authentication in the Malaysian FinTech Industry With uAuth Security Analytics Framework

The increased cyberattack frequency and ferocity have alerted the fintech industry in detecting existential security threats and risks. Various authentication mechanisms have been deployed to countermeasure cyberattacks; whether these deployed solutions fulfil the security and technical standards has not been significantly investigated. This article proposed an uAuth security analytics framework to evaluate the deployed user authentication mechanisms. Subsequently, the technical evaluation study covered ten major commercial banks in Malaysia, whereas 120 respondents aged 18 to 25 participated in the user awareness study. The result found that mobile banking enforces more robust user authentication mechanisms than internet banking in Malaysia. As 80% of the Malaysia fintech systems only ranked as Level 3 of the uAuth security analytics framework, the authors urge Malaysia fintech industry to enhance their authentication factor, login and transaction verification methods, password policy, as well as readiness for quantum-safe security technologies.

Battling COVID-19

The research purpose is to identify which security factors that influence customer trust towards the intention to continue using Internet banking in Malaysia. The primary participants are internet banking users in Malaysia. A total of 227 respondents completed the questionnaires as requested. The results show that direct relationship of perceived privacy, perceived confidentiality, perceived data integrity, effectiveness of biometrics are significant factors influencing customer trust towards intention to continue using internet banking. This result shows the significant mediating effect between perceived privacy, perceived confidentiality, perceived data integrity, effectiveness of biometrics with customer trust. Trust is a significant effect towards intention to continue using internet banking. Security factors and effectiveness of biometrics have strong relationship towards increasing customer trust using internet banking. This is a strong signal to internet banking providers to enhance their security level towards multi factor authentication using biometrics solution.

FACTORS INFLUENCING CONSUMER’S BEHAVIOR TOWARDS THE USAGE OF INTERNET BANKING

The purpose of the present study is to understand the factors influencing adoption of internet banking in Malaysia. A model has been proposed based on the technology acceptance model (TAM). The proposed model is referred to as extended TAM and is better suited to identify and quantify the important factors that influence adoption of internet banking (IB) technology in the country. Data were collected from 487 individuals who are either current or prospective internet banking users. Partial Least Squared (PLS) was used to identify the important factors affecting technological adoption. It is found that perceived usefulness (PU) and familiarity have a significant relationship towards the behavior of users to use IB. Perceived ease of usefulness (PEU), awareness and opportuneness on the other hand, have been identified as not having significant relationship towards the behavior of consumers to use IB in the tested mediated model. This study enables IB service providers in Malaysia to design new service offerings or modify current service offerings to achieve higher adoption rates in IB.

CONSUMERS’ PARSIMONY OF MOBILE INTERNET BANKING USAGE IN MALAYSIA

Purpose of the Study: The objective of this study is to empirically investigate the determinants of the adoption of mobile Internet Banking in Malaysia. However, the slow growth of mobile Internet banking usage as comparison to online Internet Banking increases the concern on the adoption and parsimony issues of mobile Internet banking (MI-Banking) usage in managing personal finances and banking activities.
 Methodology: Self-administered survey was applied and analyzed by using V-Base structural equation modeling. The responses of 358 respondents were analyzed by using Structural Equation Modeling (SEM) based on Partial Least Squares (PLS) technique.
 Results: The findings of this study revealed that perceived ease of use, perceived usefulness, and perceived risk significantly influenced the adoption of mobile internet banking, while perceived ease of use was found to have the greatest influence on the overall adoption of mobile internet banking. At the same token, perceived ease of use was found to have a significant influence on perceived usefulness.
 Implications: The application of mobile internet services has increased and mobile phones are becoming significant tools for managing and controlling personal finances and spending. Thus, a study was conducted to seek clarification on the predictors of mobile Internet banking adoption among Malaysians that will embark further and deeper studies in the context of mobile Internet Banking.

A Survey on Internet Security Threat in Malaysia’s Internet Banking System and Suggestion Solutions

This paper does review of survey and analysis on security features and methodology on reviewing other journal papers. This survey paper was focusing on internet security threat and issues in an internet banking system in Malaysia. The security features on this samples journal was analyzed and compared to common features provided on internet banking in Malaysia. The procedure was created to show the weaknesses and advantages of internet security system for concerning new knowledge of security level that provide by samples of bank. The analyses and discussion was made to propose security enhancement with the best suggestion solution.

The Factors Affecting the Trustworthiness of Customers towards the Usage of Internet Banking in Malaysia

The number of internet users in Malaysia is significantly high in comparison with other countries. It is reported that the number of internet users who were born in the year 2000 and above is almost near 70% in Malaysia. In 2015, the Malaysian internet users has exceeded to more than 19 million users. Therefore, the amount of banks that are implementing internet services to their customer is to be roughly 30. Meanwhile, there are only 13 banks in Malaysia that offers mobile banking services to its customers. Although there has been a rapid distribution of mobile internet by banks, internet banking services is still not fully adopted by banks. The objective of the study is to study about the factor affecting the trustworthiness of customers towards the usage of internet banking in Malaysia. This research is about the trustworthiness of customers towards the usage of internet banking. There are a few variables of factors that affect the trustworthiness of customers towards the usage of internet banking and it is clearly explained and elaborated. The factors are competency, security, integrity performance and shared values. Next, the methodology quantitative approach has used in this research whereby 200 respondents were sampled by the population from using the simple random taking. Employed the SPSS Version 22.0, the multiple regression analysis and correlation analysis was created out to test the four hypothesis for this research. Moreover, this research will be conducted in Kota Damansara, Malaysia.

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.

Factors That Influencing Adoption of Internet Banking in Malaysia

This present studies to examine the factors that influencing adoption of internet banking in Malaysia. This study consists of one dependent variable (internet banking adoption) and four independent variables (knowledge and self-efficacy, trust, security and convenience). By using a quantitative research, a simple random sampling technique is used to distribute survey questionnaires to sample size of 200 respondents around Malaysia. The result was concluded as two (2) hypotheses were supported and two (2) hypotheses were not supported. The result shown that knowledge and self-efficacy and trust do influence adoption of internet banking in Malaysia. Meanwhile, there is insufficient evidence to support that security and convenience do influence adoption of internet banking in Malaysia. Bankers and consumers may refer to this research so that they can improve competitive advantage and consumers are able to understand better about internet banking.

Customer switching resistance towards internet banking in Malaysia

Internet banking, although proven to be a successful innovation, has still not been adopted by the laggards, and hence, has not met all the expectations of banks. This study, therefore, is aimed at investigating the effects of e-system quality ease of use, responsiveness, and web content and e-trust privacy, perceived risk, reputation, and security on customer switching resistance SR towards internet banking in Malaysia. There are many reasons why customers do not use internet banking in Malaysia. This study employed a cross sectional design and data was collected from 158 respondents from Cyberjaya, Malaysia. The findings indicate that perceived ease of use of current service provider, privacy policies, perceived risk, and security services are the key determinants of customer's reluctance to switch to the current internet banking services. These findings provide a more profound understanding of consumer resistance to internet banking, in addition to offering guidance to service providers.

Perceived Risk Factors Influence on Intention to Continue Using Internet Banking among Malaysians

The objective of the present study is to identify which are the risk factors that influence the intention to continue using Internet banking in Malaysia. The primary participants are personal Internet banking users in Peninsular Malaysia. Data was collected through a self-administered questionnaire which employed the drop-off and pick-up (DOPU) technique. The questionnaires were distributed through this method to the respective bank branch managers who were willing to distribute to their customers. A total of 413 respondents completed the questionnaires as requested. The SPSS statistical analysis package and partial least squares were used for data analysis and hypothesis testing. The results show that social risk, time loss risk, opportunity cost risk and perceived usefulness are significant factors influencing attitude towards intention to continue using Internet banking. Attitude is a significant factor that influences the intention to continue using Internet banking in Malaysia. Other relationships hypothesized are not significant. The total numbers of respondents were 413 and may not represent the whole population. Furthermore, the profiles of respondents were confidential and not disclosed by the management of the banks. As such, the total number of Internet banking customers for each bank was unknown. The findings of this study are expected to be of great use to the Internet banking providers. An understanding of the factors identified in this study allows Internet banking providers to enhance the services in the most effective and efficient way to increase bank business in the long run and encourage their bank customers’ to continue using Internet banking.

Investigating the Factors Influence Adoption of Internet Banking in Malaysia: Adopters Perspective

The main purpose of this research is to investigate the factors that influence adopters to take up the Internetbanking services in Malaysia. The sampling units in this survey are the adopters of Internet banking who wereusing it for at least six months. A total of 116 useable questionnaires was coded and analyzed by using SPSSsoftware. Statistical methods like descriptive analysis, factor analysis and regression analysis were used in thisresearch. The regression results showed that Complexity, Security and Ccustomer Experience were theinfluencing factors of Internet banking services. However, Individual Characteristics was found to be partiallyinfluencing the adopters in their decision to adopt the Internet banking facilities.

A Study of Users and Non-Users of Internet Banking in Malaysia

Abstract —This study aims to identify the perceptual differences between Internet Banking Adopters and Non-adopters especially in the Malaysian Retail Banking Sector. It investigates whether the perception varies between adopters and non-adopters on the adoption factors such as easier to operate, convenient to use, hassle free, reliable, safer to use and requirement for good Internet connections. This study employs a quantitative approach using a questionnaire survey at selected banks in Malaysia. The results indicate that there are significant differences in perception between internet banking adopters and non-adopters in terms of easier to operate, convenient, no hassle, reliable, safer to use and requirement for good Internet connections. Therefore, the result suggests managerial implications for retail bankers in Malaysia to minimize the risk perception of the internet banking among the non-adopters of the internet banking. Index Terms —Internet banking, adopters, non-adopters, retail banking, perceptions.

Factors Affecting Customer Loyalty of Using Internet Banking in Malaysia

Factors Affecting Customer Loyalty of Using Internet Banking in Malaysia

Factors Affecting Customer Retention Toward Internet Banking in Malaysia

Information and communication technology (ICT) is not a strange medium anymore in business operation nowadays. Most businesses regardless of their industries try to equip themselves with the development of ICT. Polatoglu and Ekin (2001) viewed Internet banking as very attractive to banks and to consumers who have higher acceptance of new technology. The purpose of the study is to find out the extent of the effect of the customer demographics on the online customer retention of the internet banking services; the extent of the influence of the characteristics of innovation on customer retention of internet banking services. The study revealed that the demographic variables do not have any significant impact on the customer retention of the internet banking services. However, the study found that all the innovative characteristics like relative advantages, compatibility, trialability, observability and complexity are found to have significant association with the customer retention of internet banking services.

User Acceptance of Internet Banking In Malaysia

This study aims to investigate factor(s) which influence the user intention to use Internet banking. It compares the explanatory power of three well known technology adoption models (TAM, TPB and TRA). These models were used to test the impact of five factors (perceived ease of use, perceived usefulness, attitude, subjective norms and perceived behavioral control) on intention to adopt internet banking by 239 individual bank customers in Malaysia. Results reveal that the five factors have a direct positive effect on behavioral intention to use. However, attitude toward behavior has the highest effect, followed by perceived usefulness, and subjective norm, while perceived behavioral control exerts the weakest effect. Results also found TPB model has the best explanatory power, followed by TRA and TAM models. Findings of the study should benefit banks in improving their use of e-banking technologies as a strategic weapon, and can be used to target more potential customers.

An insight into the attributes influencing the acceptance of internet banking: the consumers' perspective

Six factors with 42 elements were identified to examine the influences of demographic variables and attitudes towards the acceptance of internet banking in Malaysia using a Likert scale questionnaire. Results revealed that all elements for each factor are significant, except for design factors; whilst convenience and securities were the most important attributes influencing the inclination to accept internet banking services. It was found that demographics as well as occupation background have a high correlation to the tendency to accept internet banking. Conversely, gender, race and marital status appeared to have insignificant influence. Some recommendations on ways to address the impediments were suggested.

Consumer attitudes, system's characteristics and internet banking adoption in Malaysia

PurposeThis paper examines the determinant structure of customers’ attitude system's characteristics on adoption of internet banking (IB) by Malaysian bank customers.Design/methodology/approachThe research framework links attitudinal constructs such as importance of IB to customers’ banking needs, compatibility, complexity, trialability, and risk to internet banking adoption. Moreover, the impact of IB site design characteristics on adoption was also verified. An online questionnaire was used in this research and respondents were approached through extensive personalized email invitations as well as postings to the newsgroups.FindingsThe results of the study reveal that the attitudinal factors play a significant role in internet banking adoption. Moreover, utilitarian orientation of the website rather than hedonic orientation has significant influence on adoption. Details of the results, implications of the findings, and conclusions are presented.Research limitations/implicationsThe reliability and validit of the research is supported and a number of unfounding variables‐level of education, exposure to IT and usage frequency‐are highlighted.Practical implicationsInformative when planning any new internet service for financial customers.Originality/valueDraws together the key requirements for extending the use of internet banking in Malaysia.

Internet Banking: A Comparative Analysis of Legal and Regulatory Framework in Malaysia

Information technology developments have revolutionised the banking sector. This revolution in turn has resulted in new delivery channels for banking products. With the introduction of Automated Teller Machines (ATMs) in 1981, both conventional and Islamic banks in Malaysia started a journey towards an ongoing technology revolution. The successful implementation of ATMs paved the way for the introduction of Tele-banking and PC-banking in the 1990s. Following this, Internet banking was launched in June 2000. It is anticipated that the introduction of Internet banking will provide a faster and cheaper delivery method. Nonetheless, it is feared that the customers' concerns concerning security and privacy may hinder the growth of Internet banking in Malaysia. This article will explore the development of Internet banking in Malaysia and its regulatory framework, together with the security and privacy issues of Internet banking in the light of the Banking and Financial Institutions Act 1989 (BAFIA), the Islamic Banking Act 1983 (IBA), the Central Bank's Minimum Guideline on the Provisions of Internet Banking Services by Licensed Institutions 2000 (Guideline), the Computer Crimes Act 1997 (implemented in 2000), and the Personal Data Protection Bill 1998 (which remains as a bill). The article will also show how Malaysia has enacted laws to meet the demands of various quarters, including Muslims, in this information era, and that they are compatible with (the objectives of Islam) maqasid al-Shariah.