E-money applications tuition fee loan behavioral analysis using valence framework and technology acceptance analysis

Area of Science:

• Digital Finance
• Educational Technology Adoption
• Behavioral Economics

Background:

• E-money adoption for educational loans is limited in developing countries like the Philippines.
• Technological and infrastructural constraints, including internet access and financial literacy, hinder adoption.
• Unlike developed nations, the Philippines lacks robust institutional support for student loans.

Purpose of the Study:

• To investigate the behavioral intention to use e-money applications for tuition fee loans in the Philippines.
• To integrate the Unified Theory of Acceptance and Use of Technology 3 (UTAUT3) with the Valence Framework.
• To identify key factors influencing the adoption of e-money for higher education financing.

Main Methods:

• A survey of 505 participants in the Philippines was conducted.
• Partial Least Squares Structural Equation Modeling (PLS-SEM) was used for data analysis.
• The study utilized a 48-item questionnaire integrating UTAUT3 and the Valence Framework.

Main Results:

• UTAUT3 constructs significantly influenced behavioral intention, with performance expectancy being the strongest predictor.
• Facilitating conditions, habit, hedonic motivation, personal innovativeness, social influence, and effort expectancy also impacted adoption.
• Perceived benefits positively influenced adoption, whereas perceived risk showed no significant effect.

Conclusions:

• Performance expectancy and facilitating conditions are crucial for promoting e-money adoption for tuition loans.
• Perceived benefits drive adoption, highlighting the need to emphasize value propositions.
• Findings inform policymakers and developers on strategies for inclusive, technology-driven higher education financing in the Philippines.