The Adoption of Online Banking in Dumaguete City, Philippines

Abstract This study investigates and assesses the adoption of online banking in Dumaguete City, Philippines, focusing on identifying the factors that influence client engagement and satisfaction. Grounded in the Technology Acceptance Model (TAM) and the Unified Theory of Acceptance and Use of Technology (UTAUT), the research explores user perceptions in terms of online banking features and services, technological advancements, and perceived ease of use and usefulness. Using a descriptive-correlational research design, data were collected from 155 adult residents through validated survey instruments. The findings reveal a very positive perception of online banking driven by its convenience, security, and efficiency, particularly among younger, highly educated, and employed individuals. The study shows a significant relationship between client perceptions of online banking and their engagement, specifically in usage frequency and satisfaction. However, disparities exist in service adoption across different transaction types, and areas such as technical reliability and customer support require improvement. No significant differences in perceptions were observed across demographic profiles. The results have practical implications for financial institutions, suggesting that enhancing technological features, simplifying transaction processes, and improving digital literacy can boost user adoption and satisfaction, contributing to broader financial inclusion in regional areas. Keywords: Online Banking, Technology Adoption, Technology Acceptance Model (TAM), Unified Theory of Acceptance and Use of Technology (UTAUT), Customer Satisfaction, Digital Banking