In quest of perceived risk determinants affecting intention to use fintech: Moderating effects of situational factors

This paper seeks to fill a notable gap in the current literature by exploring the perceived risks linked to the integration of financial technology (fintech) in the context of Pakistan. Despite the evident progress in fintech, customer apprehension persists. There were 210 participants in this study. This study examined the information using the structural equation modeling method. According to empirical outcomes, Time risk (β = 0.274) emerges as the most significant among the five risk categories, increasing perceived risk, followed by financial risk (β = 0.214), security risk (β = 0.203), social risk (β = 0.151), and performance risk (β = 0.140). However, the Intention to use fintech was negatively influenced by perceived risk (β = −0.284). Situational factors are essential while functioning as a moderator. The results aid professionals in refining their understanding and mitigating risk thresholds when strategizing for potential fintech disruptions. Recommendations include a focus on enhancing operational fintech skills and practical framework performance in fintech services. Fintech service providers can prioritize strategies that address time risk and mitigate overall perceived risk, while policymakers can create frameworks that promote transparency and address user concerns to encourage wider fintech adoption.