Effect of Mobile Banking on Personal Financial Savings in Dodoma City, Tanzania.

Abstract

The study examined the effect of mobile banking on the personal savings of bank customers using mobile banking. Specific objectives were to assess the effect of convenience on personal financial savings, to examine the influence of security on personal financial savings, to investigate the influence of affordability on personal financial savings and to determine the influence of time-saving ability on personal financial savings. The study employed a cross-sectional survey design and convenience sampling technique. Three hundred seventy (370) bank customers were surveyed through a self-administered questionnaire. The study adopted quantitative data analysis whereby descriptive statistics and multiple linear regression analysis were used. The results indicated that convenience has a positive and significant relation to personal financial savings. Security has a positive and significant relation to personal financial savings. The affordability of mobile banking has a positive and insignificant relation to personal financial savings and the time-saving of mobile banking has a positive and significant relation to personal financial savings. The study concludes that the convenience of mobile banking, security and time have a positive impact on personal financial savings in Dodoma City. However, the affordability of mobile banking has no influence on personal financial savings in Dodoma city> The study recommends that to enhance the affordability of mobile banking for personal financial savings, banks should focus on fee transparency and offer lower-cost account options to ensure accessibility and cost-effectiveness for all customers.