Relationship between Information Security Measures and Customer Trust in Online Banking Services in Pakistan
DOI:
https://doi.org/10.47672/ejt.2069Keywords:
Information Security Measures, Customer Trust, Online Banking ServicesAbstract
Purpose: The aim of the study was to assess the relationship between information security measures and customer trust in online banking services in Pakistan.
Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries.
Findings: The study have highlighted a positive relationship between information security measures and customer trust in online banking services. Robust security measures, such as encryption protocols, multi-factor authentication, and continuous monitoring, instill confidence in customers regarding the safety of their financial transactions and personal data. The study indicates that perceived security directly influences customer trust, leading to higher levels of satisfaction and loyalty towards online banking platforms. Additionally, transparent communication about security practices and timely responses to security incidents further reinforce trust in the banking institution. Overall, prioritizing information security measures not only protects sensitive data but also enhances the reputation and credibility of online banking services, fostering long-term relationships with customers.
Implications to Theory, Practice and Policy: Social exchange theory, technology acceptance model and protection motivation theory may be used to anchor future studies on assessing the relationship between information security measures and customer trust in online banking services in Pakistan. Banks and financial institutions should adopt holistic security approaches that integrate multiple security measures to enhance customer trust in online banking platforms. Policymakers should develop clear regulatory guidelines and standards for online banking security practices.
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