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Exploring User Adoption of Digital Lending Platforms in NBFCs: Insights from the Retail Loan Segment

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This study aims to evaluate user perceptions of digital loan platforms, analyze the role of technology in enhancing loan accessibility, and provide strategic recommendations for Non-Banking Financial Companies (NBFCs) to optimize their digital lending infrastructure. A quantitative research design has been employed, with data collected from individual users of digital loan mobile applications to identify adoption patterns. Purposive sampling was used, targeting individuals who have processed loan applications through digital platforms at selected NBFCs in India, specifically those with a Head Office or Branch in the state of Gujarat. The findings reveal that Perceived Ease of Use (PEOU) has a greater influence than Perceived Usefulness (PU) on users’ Attitude Toward Use (ATU). This suggests that simplifying the digital loan application process has a more significant impact on shaping users' attitudes toward adoption than merely increasing the perceived usefulness of the platform. Non-banking financial companies (NBFCs) play a crucial role in addressing the credit needs of organized and unorganized sectors, particularly where traditional banks have limited reach. With a competitive advantage in offering customized products, NBFCs have a significant opportunity to expand in the micro, small, and medium enterprise (MSME) and retail sectors [1].
Title: Exploring User Adoption of Digital Lending Platforms in NBFCs: Insights from the Retail Loan Segment
Description:
This study aims to evaluate user perceptions of digital loan platforms, analyze the role of technology in enhancing loan accessibility, and provide strategic recommendations for Non-Banking Financial Companies (NBFCs) to optimize their digital lending infrastructure.
A quantitative research design has been employed, with data collected from individual users of digital loan mobile applications to identify adoption patterns.
Purposive sampling was used, targeting individuals who have processed loan applications through digital platforms at selected NBFCs in India, specifically those with a Head Office or Branch in the state of Gujarat.
The findings reveal that Perceived Ease of Use (PEOU) has a greater influence than Perceived Usefulness (PU) on users’ Attitude Toward Use (ATU).
This suggests that simplifying the digital loan application process has a more significant impact on shaping users' attitudes toward adoption than merely increasing the perceived usefulness of the platform.
Non-banking financial companies (NBFCs) play a crucial role in addressing the credit needs of organized and unorganized sectors, particularly where traditional banks have limited reach.
With a competitive advantage in offering customized products, NBFCs have a significant opportunity to expand in the micro, small, and medium enterprise (MSME) and retail sectors [1].

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