Digital-only banks, operating solely through online and mobile channels, have shown promise in cutting operating costs, expanding accessibility, lowering client fees, and enhancing interest rates, thereby contributing to financial inclusion. This study aimed to investigate the factors affecting the adoption intention of potential users and the continuance intention of existing users of digital-only banking in the Philippines. These factors include convenience, economic efficiency, functional risk, security risk, critical mass, number of services, trust, and technology competency. Respondents included members of digital-only banking social media groups residing within Metro Manila, the financial hub of the country. Data was collected through a survey via Google Forms, followed by multiple regression analysis and t-tests to validate the significance of relationships and differences among variables. The results revealed differing perceptions between potential users and existing users of digital-only banking services, with existing users exhibiting more positive perceptions. The study identified distinct determinants affecting behavioral intentions during different phases of the customer lifecycle. Economic efficiency, critical mass, trust, and technology competency affected the adoption intention of potential users, while convenience, economic efficiency, number of services, trust, and technology competency affected the continuance intention of existing users. Continuous improvement is imperative for digital-only banks to stay competitive and meet user expectations. By strategically addressing these factors, digital-only banks can attract new users and foster long-term engagement and loyalty among existing users, ultimately driving success in digital-only banking.

Digital-only banks; adoption intention; continuance intention; digital innovation