INTERNET BANKING ACCEPTANCE, (POS): INFLUENCE OF PERCEIVED ONLINE SECURITY AND TRUST AMONG RURAL BANK CUSTOMERS IN BAUCHI STATE

Abstract

The study investigates the effect of customer perceived online security and trust on acceptance of Point of Sales (POS) internet banking services. This analysis is based on survey field data collected from 423 POS customers in 20 local government areas of Bauchi state North-East Nigeria. PLS-SEM approach was used to analyze the data  using smart-PLS 4.0.7.8 software. Perceived online security (credit reliability, privacy) affects acceptance of internet banking (computability, ease of perceived usage and usefulness of perceived usage) by POS customers and trust (competency, benevolence). Competence, benevolence and honesty affect compatability, ease of perceived usage, and usefulness of perceived usage. Credit and reliability have no effect on honesty, ease of perceived usage, usefulness of perceived use as well as privacy on compatability. Privacy has no effect on honesty and competence. Competence, benevolence and honesty also have no effect on compatability and usefulness of perceived usage. More importantly, competence, benevolence and honesty have mediating effect. Benevolence has no mediating effect. The study is limited to POS customers in Bauchi state North East- Nigeria. The study suggests that banks through their  POS agents need to focus on  security measures aimed at ensuring  and earning customers’ trust to encourage them adopt internet banking service through POS.