Socio-Economic Challenges of Digital Banking Adoption: The Impact of Perceived Usefulness, Ease of Use, and Self-Efficacy

India's digital banking adoption is driven by technological advances and government initiatives to improve the financial inclusion, amidst persistent socio-economic challenges such as income inequality, digital illiteracy, and uneven access to technology. Due to different customer segments' opinions of the technology's utility, ease of use, and self-efficacy, often shaped by underlying socio-economic challenges, adoption rates vary significantly across regions and demographic groups. This study examines how perceived usefulness, perceived ease of use, and perceived self-efficacy affect Indian customers' digital banking intentions and usage behavior as defined in the Technology Acceptance Model (TAM). Two regression models are used to assess these aspects using primary data collected from 390 respondents using non-probability convenience sampling. In the first model, perceived usefulness, ease of use, and self-efficacy affect digital banking intention, whereas the second model studies how intention affects usage behavior. The results show that all three perceptions significantly affect digital banking intention, with perceived usefulness having the greatest impact. Intention to utilize also positively affected actual utilization. According to the findings of the study, banks may increase acceptance of digital services by customers particularly among disadvantaged groups facing socio-economic challenges, by improving customers' perceptions about their digital banking platforms' usefulness, ease of use, and self-efficacy. In conclusion, digital banking institutions should simplify user interfaces, establish confidence through support, and emphasize the practical benefits of digital banking services to enhance adoption across varied client categories in India, with targeted strategies to overcome socio-economic challenges.