The Role of Digital Payment Systems in Transforming Banking Services: An Analytical Study

Dr. A. Krishna Kumar

doi:10.69980/redvet.v25i2.2471

Dr. A. Krishna Kumar

DOI: https://doi.org/10.69980/redvet.v25i2.2471

Keywords: Digital Payment Systems, Banking Services, UPI, Mobile Banking, Customer Satisfaction

Abstract

Digital payment systems have emerged as a transformative force in the banking industry, significantly changing the manner in which financial transactions are conducted. The increasing adoption of mobile banking, internet banking, Unified Payments Interface (UPI), digital wallets, and contactless payment technologies has improved transaction speed, customer convenience, operational efficiency, and financial inclusion. This analytical study examines the impact of digital payment systems on banking services using statistical techniques including descriptive statistics, correlation analysis, and one-way ANOVA. A sample of 200 banking customers was considered to evaluate customer preferences, satisfaction levels, and factors influencing digital payment adoption. The findings indicate that digital payment systems positively influence customer satisfaction and banking service quality. UPI emerged as the most preferred digital payment method, while transaction speed and convenience were identified as major contributors to banking transformation. The study concludes that digital payment technologies are playing a crucial role in modernizing banking services and supporting the transition toward a cashless economy.

Author Biography

Dr. A. Krishna Kumar

Assistant Professor, PG and Research Department of Commerce, Pasumpon Muthuramalinga Thevar College,Melaneelithanallur,Affiliated to Manonmaniam Sundaranar University,Tirunelveli - 627012, Tamil Nadu, India.

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