EFFECTIVENESS OF CASHLESS TRANSACTION ON STUDENTS

A Research Proposal Submitted to the Faculty of the College of Business

Management and Accountancy in partial Fulfillment for the Degree Bachelor of
Science in Business Administration Major in Financial Management.

by

Bustos, Michael Joseph B.

Bongolan, Virginia L.

Ferrer, Bernadette Joy N.

Lacaste, Ericka Mae J.

Balcita, Virgie Mea N.

Navarro, Merryl G.

Distor, Christine C.

Urdaneta City University

January 2023
 APPROVAL SHEET

This research entitled “EFFECTIVENESS OF CASHLESS TRANSACTION ON

STUDENTS”, prepared and submitted by Michael Joseph B. Bustos, Bernadette

Joy N. Ferrer, Ericka Mae J. Lacaste, Virgie Mea N. Balcita, Merryl G. Navarro and

Christine C. Distor was successfully defended on February 02, 2023 with a final

rating of 91.67%.

JHOANE CELESTE S. MACANAS, LPT JOSEPH S. TULLAO, MSMath

Critic Reader Statistician

VIRGINIA L. BONGOLAN, MAEd

Adviser

ANGELICA G. BAUTISTA, MBA EDMON FERNANDEZ, MBA

Panel Member Panel Member

JUVELLE UJANO, PhD

Chairman

This research study is hereby accepted in partial fulfillment of the course

requirements in Thesis/Feasibility study for the degree of BACHELOR OF

SCIENCE IN BUSINESS ADMINISTRATION MAJOR IN FINANCIAL

MANAGEMENT.

DR. PELILIA C. VELASCO, CPA, LLB

ii
Dean, College of Business Management and Accountancy

ii
 CERTIFICATION OF INTELLECTUAL HONESTY

This is to certify that all sources used in this study have been properly

acknowledged and duly cited with utmost diligence. This is to certify further that

this research is an original undertaking and has neither been submitted for

another degree nor has been copied from previous work.

Further still, this is to certify that the entire manuscript has been

submitted to and passed the standards on plagiarism set by the Center for

Research and Development.

iii
 ACKNOWLEDGEMENT

The researchers wish to extend their deepest gratitude of the following that

helped in the preparation and making of this research a success:

Juvelle Ujano, PhD the Chairman - Panel of Evaluators, for sharing

inspirational thoughts for the improvement of the study;

Angelica G. Bautista, MBA Member - Panel of Evaluators, for the

encouragement she gave to improve this study;

Edmon Fernandez, MBA Member - Panel of Evaluators, for giving his

suggestions, comments, and constructive criticism in the conduct and the

completion of this study;

Virginia L. Bongolan, MBA - their research adviser, for the guidance, support,

and effective supervision in presenting this study;

Wennielyn C. Javier, MBA - their research instructor, for her guidance,

support, and effective supervision in presenting this study;

Jhoanne Celeste S. Macanas, LPT - their critic reader, for lending her hand

and time for betterment of this study;

Joseph S. Tullao, MSMath - their statistician, who helped the researchers to

come up with the statistical results and with the interpretation of the data;

Cherrie Mae S. Gumia-Rivera, LPT and Elisa C. Cristobal, PhD -

their internal evaluators, for their suggestions, comments, criticism, ideas, and

knowledge shared that is needed for the questionnaire for its betterment;

iv
 Gemilyn Alenjandro Imana - their external evaluator, for giving her

suggestions, comments, criticism, ideas, and knowledge shared that is needed

for the questionnaire for its betterment;

Pelilia C. Veloso, CPA, DBA, LLB - the Dean of the College of Accountancy

and Business Management, for the unwavering support and for always being an

effective mentor to attended to the needs of every students;

To their loving and thoughtful parents, their unwavering support, endless

understanding, guidance, care, and unconditional love, during the times the

researchers needed it throughout the completion of this research;

Their loved ones and friends who always been there to guide the researchers

in accomplishing their objectives and for the unending support they have given

to the researchers no matter what situations they faced;

Above all to the Almighty God, for giving the researchers strength,

guidance, talent, wisdom, and knowledge for keeping them safe, for listening to

their prayers, aspirations, for castingall their weaknesses and anxiety, and

sustaining the effort to continue and pursue the task that was assigned to them

despite those circumstances that they’ve experienced.

The Researchers

M.J.B.B.

B.J.N.F.

E.M.J.L.

V.M.N.B.

M.G.N.

C.C.D.

v
 Table of Contents

Page

Title . . . . . . . . . . . i

Approval Sheet . . . . . . . . . ⅱ

Certificate of Intellectual honesty . . . . . . iii

Acknowledgement . . . . . . . . iv

Table Of Contents. . . . . . . . . vii

List of Figure . . . . . . . . . xi

Chapter 1: Introduction. . . . . . . . 1

Background of the Study . . . . . . . 1

Theoretical Framework . . . . . . . 12

Conceptual Framework . . . . . . . 13

Statement of the Problem . . . . . . . 15

Hypothesis . . . . . . . . . 16

Chapter 2: Methodology . . . . . . . 17

Research Design . . . . . . . . 17

Population and Locale of the Study . . . . . 17

vi
 Data Gathering Tool . . . . . . . 19

Data Gathering Procedure . . . . . . . 20

Treatment of Data . . . . . . . . 21

References . . . . . . . . . 24

Appendices . . . . . . . . . 27

Appendix A: Letter To The Dean . . . . . 28

Pelilia C. Veloso, CPA, DBA, LLB

Appendix B: Letter to The Adviser . . . . . 29

Virginia L. Bongolan, MBA

Appendix C: Letter to The Chairman . . . . . 30

Juvelle Ujano, PhD

Appendix D: Letter to The Panel Member . . . . 31

Edmon Fernandez, MBA

Appendix E: Letter to The Panel Member . . . . 32

Angelica G. Bautista, MBA

Appendix F: Letter to The Statistician . . . . . 33

Joseph S. Tullao, MSMath

viii
Appendix G: Letter to The Critic Reader . . . . . 34

Jhoane Celeste S. Macanas, LPT

Appendix H: Letter to The Validator . . . . . 35

Elisa C. Cristobal, PhD

Appendix I: Letter to The Validator . . . . . 36

Cherrie Mae G. Rivera, LPT

Appendix J: Letter to The External Validator . . . . 37

Gemilyn A. Imana, Teacher II

Appendix K: Letter to The Respondents . . . . . 38

Appendix L: Letter to The Office Of Registrar . . . . 39

Appendix M: Evaluation Sheet Of The Content Validity . . 40

Of The Questionnaire - EXPERT A

Appendix N: Evaluation Sheet Of The Content Validity . . 41

Of The Questionnaire - EXPERT B

Appendix O: Evaluation Sheet Of The Content Validity . . 42

Of The Questionnaire - EXPERT C

Appendix P: Result Of The Validity Test Of . . . . 43

viii
 Questionnaires As Rated By The Three Experts

Appendix Q: Questionnaire . . . . . . 44

Appendix R: Approval Sheet - Research Proposal for Adviser . . 48

Appendix S: Approval Sheet - Research Proposal for Statistician . 49

Appendix T: Approval Sheet - Research Proposal for Critical Reader . 50

Appendix U: Official Receipt Of The Panel Fee . . . . 51

Appendix V: Endorsement/Defense Schedule Application . . 52

Appendix W: Final Rating On Research Proposal. . . . 53

Appendix X: Collaborative Research And . . . . 54

Co-Authorship Contract

Documentation . . . . . . . 55

Curriculum Vitae . . . . . . . 56

Bustos, Michael Joseph B. . . . . . . . 57

Navarro, Merryl G. . . . . . . . . 58

Balcita, Virgie Mea N. . . . . . . . 59

Ferrer, Bernadette Joy N. . . . . . . . 60

Distor, Christine C. . . . . . . . 61

ix
Lacaste, Ericka Mae J. . . . . . . . 62

x
 List of Figure

Figure 1: Conceptual Paradigm. . . . . . . . 14

xi
 Chapter 1

Introduction

Background of the Study

Technology is advancing in our day at a never-before-seen rate. With so

many new technologies being created daily, it is understandable why more and

more people are using their mobile devices to access almost everything. This has

led to the creation of a new form of transaction. These advancements are

simplifying everyone's lives, and many mobile wallets and transaction apps don't

charge any form of service fee or processing fee for the services they offer, so

they cannot afford to ignore them. The fact that this technology has helped to

tackle numerous issues is also quite significant. For instance, using the internet

has made it simple for people to transmit money from one location and instantly

move it to another. This is a great way to make transactions faster and cheaper.

The initial forms of cashless payments, according to Deutsche Bundesbank

Eurosystem, started during the Middle Ages when there was considerable growth

in trade across Europe. North-Italian cities such as Venice, Genoa, and Florence

became flourishing centers of commerce. Mediterranean seaports forged trade

links with North Africa, Asia Minor, and the Middle East, from where exotic luxury

goods such as pepper and other spices found their way to Europe. The growth of

European trade was accompanied by an expansion of the money economy,

which made the matter of payments important (www.bundesbank.de).

 2

From then on, there has been a considerable change in the transaction

mechanism. People nowadays live in a world where technology is a part of

everyday existence. Consumer purchasing habits are changing as a result of the

usage of a cashless system that is considered a method of transaction via digital

information. Additionally, individuals can now pay their bills using electronic

cards and/or other mobile transaction methods rather than carrying a larger

quantity of cash in their wallets. Internet and technological development have

changed how financial services are offered and used (Malaquias & Hwang,

2019).

The rise of cashless transactions is due to emerging trends driven by consumer

preferences, convenience, and efficiency in transacting (Gupta, 2017). Mobile

wallets, online transaction providers, and near-field communication technology

(NFC) are continuously innovating the way people transact using mostly “Tap-

and-Go” payment solutions. Mobile transactions will continue to grow in 2017 as

Apple-pay, Google Wallet, Paymaya, Gcash, and other companies continuously

advertise this method (Ahmed, 2016).

E-money is a mobile transaction system that lets you use your smartphone to

pay bills, give or receive money, buy products, shop online, reserve cinema

tickets, and more. You may perform all these transactions whenever you want

and everywhere you go using a "mobile wallet," eliminating the need to withdraw

cash.
 3

Mobile phone wallets are one of the greatest innovations in technology.

Millions of people are making transactions through mobile wallets, which are

easy to use. The research shows that people avoid carrying cash to shop. At

present mobile wallets or virtual wallets have become quite trendy. People can

make payments instantly by using their smartphones. After the demonetization,

there is tremendous growth, and most people have started accessing mobile

wallets (Live mint Aug 2018).

One of today's most crucial ideas is the cashless transaction. Its main benefit is

the guarantee that all economic transactions are recorded thanks to digital

transactions. Controlling the black market, which frequently has negative effects

on national economies, is practically now doable because of digitalization. It aids

in raising the government's tax revenue. A cashless economy is one in which

there is no actual usage of currency to make purchases of goods and services,

instead, all transactions are completed through various forms of electronic

transaction. Electronic gadgets are required as a means of information that

shows how much a person has deposited and spent (Thirupathi et al., 2019).

Nowadays, a large number of Filipinos in the Philippines do their financial

transactions through cashless apps. A recent study by Visa (2017), one of the

well-known multinational financial services, shows that from over 2,000

respondents from Southeast Asian countries, 63% of Filipinos are highly aware

of contactless or cashless transactions. Paying bills, sending money, and even

buying loads can all be done in just one click. All they need to do is deposit their
 4

money on a machine and do the transactions from their phone. According to a

recent study conducted by Visa (2018), almost 70 percent of the Filipino

population is now into cashless apps. Thousands of Filipinos are also into online

shopping, increasing from 71 percent in 2016 to 92 percent in 2017. Most of the

payment methods these people use are cashless. According to Stuart Tomlinson

(2015), the Philippines’ Visa manager, technology has made it easier for Filipino

consumers to buy and pay for their purchases.

It is also a good idea to keep in mind that the internet has changed our

lives tremendously. (Tirupathi et. al., 2019). The benefits of a cashless society

for its residents include avoiding the risk of losing their hard-earned money and

the risk of carrying financial notes. Time consumption, transaction expenses, and

transaction processing will all be decreased. For bill paying, and scheduling

financial activities managed from home, the office, or elsewhere using a

smartphone, cashless transactions are practical. Additionally, it lowers the cost of

printing and shipping currency notes. 

However, individuals today live in a world of digital technology where technology

is a part of daily life. The cashless transaction is a brand-new mobile payment

method that can replace traditional wallets and more. For preserving a

competitive advantage and meeting client expectations, banks and other

financial institutions recommend an alternative, creative electronic channels.

Banks' main investment priorities include mobile transactions. Mobile devices and

destocking have increasingly become tools that customers implement through e-

 5

banking to pay for products and services (Zhang et al., 2018). The world’s

biggest banks continue to focus most of their announced IT initiatives on mobile

financial services (including payments) and online banking. 

Online transaction instruments are not just supplementing traditional

cashless transaction instruments, but are increasing in dominating them

(Bundesbank, 2017). However, one effect of these cashless transactions is an

increase in customer desire to spend money. The cashless impact, which arises

from digital transactions, is that these transactions induce them to alter their

spending patterns in addition to the way by which they conduct their

transactions. They often spend money that they wouldn't if they had to conduct

the same transaction using actual currency because we are much looser with it

when it simply exists in an evasive digital form. The use of money is not

substituted but rather enhanced by cashless transactions. Each cashless

transaction method influences the uptake of internet and mobile banking

differently because of their variances in usage and functionality. Credit transfers,

electronic wallets, direct debit, credit cards, and charge cards are a few of the

frequently utilized cashless transaction methods.

The cashless effect can result in overspending, which makes it risky. They

are comfortable using their credit cards for significant purchases because it is

more difficult for them to comprehend the worth of money when it is not

physically present. They frequently overlook the fact that a credit card is a line of

credit that must be paid back later. The cashless effect can swiftly lead to the
 6

debt since they end up spending more than they have. In addition to the

negative financial effects of debt, studies have shown that those who are in debt

are twice as likely to experience depression and anxiety problems (Pemberton

and Perea, 2022).

This study from the Financial Times shows that there is an increasing desire for

cashless systems as a method of transaction. Most Filipinos use this kind of

transaction method to purchase in online shops, some for money transfers, pay

their bills, and shop at stores (Asian Nikkei, 2017). The rise of online transactions

for purchases was made possible by the increase in internet usage. Consumers'

online banking applications contributed to the services' innovation. This is a

collection of several concepts and ideas selected from relevant literature and

studies conducted locally and abroad that have significant relevance to the

current study reviewed by researchers who served as a resource of information

in constructing the foundations of these studies.

According to Asia and the Global Economy (2022), in Russia, emerging

markets in Russia have quickly adopted cashless payments as a result of the

digitization of finance. In this study, they calculate the fraction of cashless

payments in Russia and discover that, in contrast to other developed and rising

economies, it exhibits a J-curve exponential rise. Although debit cards vastly

outnumber other forms of cashless transactions, e-money growth is also

important. The J-curve exponential rise in cashless transactions is explained by

both internal and external variables, with the latter having a greater influence.
 7

They differentiate the distinctive characteristics of the promotion of

cashless transactions that are unique to Russia and emphasize the fact that

Russia's national transaction system was established to meet growing geopolitical

and national security challenges. In order to digitize the financial industry and

the government and to advance the digital economy, cashless payment is

consolidated and managed by the Bank of Russia.

In the study of the Digital Consumer Survey carried out via Euromonitor

International in 2020, Indonesia ranked 2nd globally in digital wallet usage, at

30%, after China, at 37%. Utilization has a natural effect on consumers' charge

preference and merchant acceptance in Indonesia.

The study conducted by Anshari et al. (2021) is about using a digital

wallet, also referred to as an e-Wallet. Its goal is to assess customers'

technology, especially among youth, by determining the level of acceptance of

digital wallet adoption in a large-scale digital economy implementation. The e-

Wallet can improve financial institutions' performance and provide new services

for the convenience of customers.

Another initiative because early 2020 is the launching of the standard,

single-code QR system (QRIS) as a section of its Indonesia transaction Systems

Blueprint 2025. Most digital wallets aim to take share from cash transactions,

targeting the group of consumers that are more attracted to the convenience

and low-cost aspect of digital wallets. As for its impact on physical card

transactions, this varies by transaction characteristics.

 8

The study by Singh and Gupta (2016) is to identify various factors that

influence the adoption of mobile wallet transactions among customers. The

variables that they considered for the study are Convenience, Trust, Security,

and Adaptability, which have an impact on the satisfaction of mobile wallet

usage. The study was conducted in Kurali City, District of Punjab. Pearson's

Correlation Analysis investigated the relationship between the different basic

variables of the study. The study findings show that mobile wallets are

considered the future of cash.

As explained in the study conducted by Liu and Tai (2016) in Vietnam,

factors influence the consumer's intention to use mobile transaction services. The

variables considered for the study to determine consumers' intention to use

mobile transaction services are mobility, mobile transaction knowledge,

convenience, compatibility, ease of use, usefulness, risk, trust, and safety. The

two variables, namely, perceived ease to use and perceived usefulness, were

extracted from the TAMmodel, which was deemed a suitable model to study

consumers' responses and behaviors when a new product is introduced.

According to the study by Lucas (2020), more Filipinos are now adopting

digital channels to conduct transactions, including necessary transactions,

because of the coronavirus pandemic's devastating effects on their daily lives,

particularly the limitations on physical movement imposed by the crisis. In local

electronic transaction systems, approximately 90% of users currently prefer

cashless to cash transfer operations. More precisely, due to worries about public
 9

health, up to 90% of local electronic transaction system users now favor cashless

transactions over physical currency transactions.

According to Chaves et al. (2019), factors influencing consumer acceptance of

e-Money technology include security, cost, convenience, traits of mobile service

providers, mobile transaction vendors, features of mobile technology, disposition

of trust, and disposition of culture. These elements serve as a foundation for the

creation of radical or incremental improvements in the e-money sector.

The high rate of mobile adoption and the tech-savvy nature of Filipinos

further position the Philippines as a center for mobile money innovation.

Although the Philippines has a slow Internet speed, the GSMA remarked that the

remarkable increase in smartphone adoption is one of the reasons why the

number of Filipinos using smartphones is growing (Pasti, 2019). The economic

dynamics of e-money are driven by a variety of use cases that influence the

entire national economy.

Ahuja and Joshi (2018) studied customer perception concerning Mobile wallets.

In this study, they examined the factors and used exploration techniques to

classify the factors which influence customer opinion toward Mobile wallets. A

study has been conducted about the different types of mobile wallets in India.

The data is collected from both secondary data and primary data. The survey

was conducted among 139 mobile respondents in the telecommunication

industry.
 10

However, its use and uptake have mostly been restricted. The Philippine

government and the Bangko Sentral ng Pilipinas (BSP) recognize digital

transactions as a policy aim for Filipinos to be able to make purchases online,

according to the Ricart (2019) report. Take advantage of the opportunities

provided by the digital revolution. The Philippines was a global pioneer in digital

transactions after mobile money was introduced in 2001. But, the road to broad

acceptance and use has not been a straightforward disparity, just like in the

majority of other nations.

Digital technology used in banking and financial transactions, or e-finance

generally, has made financial services more readily available. It is the first of its

kind, the Better Than Cash Alliance. The adoption of digital transactions was

found to be low in a 2015 analysis of the situation in the Philippines. According

to the initial diagnostic, only about 1% of all transactions in the Philippines were

digital (26 million out of 2.5 billion transactions per month).

Online Banking Transaction, a user can perform financial transactions) over the

Internet with online banking transactions. Online banking is sometimes referred

to as web banking or Internet banking. Online Transactions, refer to

transactions made online with the internet. It includes buying products, payment

of bills, banking, and investing.

QR Code, QR stands for "quick response," code is a barcode, it refers to a

generated QR code from the application, an image containing scannable

information for the immediate access of transactions using a mobile scanner.

 11

Respondents refer to persons who have used digital wallets to pay for online

transactions. It also refers to a person answering surveys such as a

questionnaire. Satisfaction refers to the fulfillment of meeting the expectation of

one person regarding a service or product rendered. It also refers to being

satisfied and giving possible feedback regarding the service offered by digital

wallets.

Security refers to one of the major concerns for customers. In mobile

payments, users have their private key or secret code for online transactions; it

develops perceived security in mobile payment transactions. Cashless System,

operated through a digital system for financial purposes that uses cards, and

other electronic methods rather than physical money. Cashless refers to the

financial transactions done with a currency that is not physically present but

whose value can be inherently felt and understood by the people engaging in

these transactions.

Convenience refers to the advantage of using a digital wallet, for it mostly

removes the need to carry a physical wallet and speeds up transactions with a

bit of effort compared to physical cash. Customer, it refers to a person or an

organization that purchases goods or services from another enterprise. Digital

Wallet, it refers to a smartphone app for making financial transactions in a retail

store. Commonly used smartphone wallets are GCash, Paymaya, Smart, and

Paypal.
 12

Theoretical Framework

According to Diffusion of Innovation Theory, interactions between people

via interpersonal networks lead to the adoption of new concepts or innovations.

In this context, the diffusion of cashless transactions refers to the spread of

these types of transactions where customers seek for more convenient and

efficient transactions while businesses look for new revenue streams. (Rogers,

1995)

Numerous studies on the motivations behind and adoptions of new

technological platforms are expanded upon fundamentally by the DOI Theory.

This study found that the performance of financial institutions will improve when

financial technologies move from traditional to digital transaction services. In

contrast to earlier research, this one looked at the effectiveness of the spread of

cashless transaction tools on people's utilization of internet and mobile banking

services over the course of a year and a half. (Del Gaudio, 2020)

In light of their intention to use an e-wallet and adoption of an e-wallet,

this study examined factors that prompted Indonesian youth to use an e-wallet.

The perceived usefulness, adoption of digitalization to perceived usage, social

impact, facilitating condition, lifestyle compatibility, perceived trust, and intent

towards the adoption of an e-wallet have all been investigated in other studies.

In order to evaluate various technology adoptions, the unified theory of

acceptance and use of technology (UTAUT) was developed as the initial

conceptual model. A crucial theory regarding behavior intention to utilize

 13

technology in an organization is the UTAUT. As a result, it's intriguing to

investigate the reasons for the use of an e-wallet during this outbreak and to

forecast how customers would feel about utilizing the Internet during erratic

economic fluctuations. (Yang et.al, 2021)

Conceptual Framework

The framework illustrates the relationship between the independent and

dependent variables paradigm in the study shown in Figure 1. The personal

profile of the respondents will serve as independent variables. The personal

profile of the respondents will be expressed in terms of their name, age, sex, civil

status, block, monthly allowance, preferred e-wallet, type of transactions and

preferred payment method. The dependent variables included the concern of

user’s towards cashless transaction security, convenience, and cost.

 14

Conceptual Paradigm

Independent Variables Dependent Variables

Profile of the Respondents

in terms of:
age; Effectiveness of a cashless

sex; transaction in terms of:

civil status; security and privacy;

monthly allowance; convenience; and

preferred e-wallet; cost.

type of transactions; and

preferred payment method.

Figure 1. The Conceptual Paradigm of the study showing the independent and

dependent variables of the study.

 15

Statement of the Problem

The primary research objective of this is to identify the effectiveness of cashless

transactions on third-year students of Bachelor of Science in Criminology as of

the first semester in 2022-2023 at Urdaneta City University.

Specifically, this study seeks to answer the following problems:

1. What is the profile of the respondents in terms of:

a. age;

b. sex;

c. civil status;

d. monthly allowance;

e. preferred e-wallet;

f. type of transactions; and

g. preferred payment method?

2. What is the level of effectiveness on cashless transaction on students in

terms of:

a. security and privacy;

b. convenience; and

c. cost?

3. Is there a significant relationship between the factors that influence the

respondents decision to use the cashless transaction method and their

profile variable?
 16

HYPOTHESIS

The research null hypothesis was tested at 0.05 level of significance and

stated in its null form that there is no significant relationship on the respondent’s

profile across the level effectiveness of cashless transaction on students.

 17

Chapter 2:

Methodology

This chapter discusses the research method that is used in this study. It

includes the research design, population and locale of the study, data gathering

tool, data gathering procedure, and treatment of data.

Research Design

The focus of the research study is the Effectiveness of cashless

transactions on Third-year Students of Bachelor of Science in Criminology as of

the first semester in 2022-2023 at Urdaneta City University. The research study

will use a descriptive research design.

A survey questionnaire will be used in this study as the strategy for

gathering data.

Descriptive research design is essential in condensing the data to a format

that can be easily manipulated because the human mind is unable to properly

absorb a massive amount of raw data. The study uses description as a technique

to arrange data into patterns that emerge during analysis, particularly when

limited numbers of examples require in-depth narrative explanations.

Population and Locale of the Study

A survey about the effectiveness of cashless transactions will be

conducted by the researchers. The researchers choose Bachelor of Science in

Criminology as a respondent because mostly the Bachelor of Science in

 18

Criminology students are using online transactions or digital payment methods

like Gcash, PayPal, and many more. 

The researchers use convenience sampling to determine the effectiveness

of cashless transaction methods for the respondents as a percentage of the total

population. Mean will be used by researchers to determine the effectiveness of

the respondents in terms of cashless security and policy, cashless convenience

and cashless cost of the BSCrim students. With the use of Percentage Formula

four hundred ninety-three (493) third-year students of Bachelor of Science in

Criminology at Urdaneta City University are the respondents.

The formula of Percentage is presented below.

f
P= x 100
n

Where:

P is the percentage

f is the frequency

n is total number of respondents

 19

Table 1

Population of the study

Bachelor of Science in Total Percentage Number of

Criminology Population Respondents

Third Year

(Urdaneta City University)

Block 1 42 8.51% 25

Block 2 44 8.92% 30

Block 3 39 7.91% 21

Block 4 36 7.30% 23

Block 5 33 6.70% 29

Block 6 39 7.91% 25

Block 7 35 7.09% 20

Block 8 39 7.91% 22

Block 9 36 7.30% 21

Block 10 39 7.91% 23

Block 11 36 7.30% 26

Block 12 41 8.31% 25
 20

Block 13 34 6.90% 28

TOTAL 493 100% 318

Data Gathering Tool

The data-gathering tool to be used by the researchers in this study will be

a survey questionnaire, which the researchers prepared to gather information

and had approved by the research adviser. The survey questionnaire was

evaluated and validated by an expert to improve the study. At the Urdaneta City

University, third-year students of the Bachelor of Science in Criminology program

were asked to answer the whole questionnaire to gather data for this study. The

researchers developed the questions based on their understanding and

experience toward the topic to suit the participants comprehension.

The questionnaire is composed of three parts. Part I includes the profile of

the respondents, including their name, age, sex, civil status, monthly allowance,

preferred mobile wallet, type of transactions and preferred payment method.

Part II addresses the factors that influence the respondents to use cashless

transaction methods in terms of security, convenience, and cost. Part III

indicates whether there is a significant relationship between the factors that

influence the respondents' decision to use the cashless transaction method and

their profile variable.

Data Gathering Procedure

The researchers ask permission from the Dean of the College of Criminal
 21

Justice Education for the approval of a floating questionnaire to the respondents

before the questionnaire is distributed. The researchers also give a signed letter

to the Office of the Registrar to ask permission from the population of the

students for the respective breakdown per major that will be used in the study.

The researchers will use survey questionnaires and the researchers will assist the

respondents in case they did not understand the contents. When the

questionnaires are collected, the data will be encoded, analyzed, tabulated, and

interpreted by the researchers to obtain the goal of determining the level of

financial literacy and financial behavior of the respondents.

Treatment of Data

To answer problem one (1) on the personal profile of the respondents in

terms of age, sex, civil status, monthly allowance, preferred e-wallet, type of

transactions, and preferred payment method. The formula is shown below:

f
P= x 100
n

Where:
P is the percentage

f is the frequency

n is total number of respondents

To answer problem two (2) on the effectiveness of a cashless payment in terms

of security & privacy, convenience, and cost. The formula is shown below:

∑ fᵢxᵢ
AWM=
n
 22

Where:

AWM is the average weighted mean

fᵢ is the frequency

xᵢ is the weight

n is the total number of respondents

To answer problem three (3), this study will use the Average Weighted Mean

(AWM) to assess if there is a significant relationship between the factors that

influence the respondents decision to use the cashless transaction method and

their profile variable.

∑ fᵢxᵢ
AWM=
n

Where:
AWM is the average weighted mean

fᵢ is the frequency

xᵢ is the weight

n is the total number of respondents

 23

TABLE 3

The description equivalent of each category and area will be based on 5

points Likert Scale shown below.

Point
Scale Description Interpretation
Value

The respondents at this level have 100%

Very Highly
5 4.50-5.00 effectiveness of cashless transaction on
Effective
students.

The respondents at this level have 75%

Highly
4 3.50-4.49 effectiveness of cashless transaction on
Effective
students.

The respondents at this level have 50%

3 2.50-3.49 Effective effectiveness of cashless transaction on
students.
 24

The respondents at this level have 25%

Moderately
2 1.50-2.49 effectiveness of cashless transaction on
Effective
students.

The respondents at this level have 0%

1 1.00-1.59 Not Effective effectiveness of cashless transaction on
students.

Meanwhile, the researchers proposed an action plan to effectiveness of

cashless transaction on students in Urdaneta City University for specific problem

no. 3. The result of the action plan is a blueprint for the organization as it moves

into the future.

References List

Ahmad, S., Bhatti, S. H., and Hwang, Y. (2019). E-service quality and actual

use of e-banking: explanation through the technology

acceptance model. Inf. Dev. 36, 503–519. doi:

10.1177/0266666919871611

Chaves, S., Iturralde E., Matthew C. (2019). Industry Study of Electronic

Money.https://www.researchgate.net/publication/

341669939_Industry_Study_of_Electronic_Money
 25

Diniz, E., Albuquerque, J., Cernev, A., (2011). Mobile Money and Payment: A

Literature Review Based on Academic and Practitioner - Oriented

Publications(2001-2011).https://www.researchgate.net/publication/31

8008881_Mobile_Money_and_Payment_A_Literature_Review_Based_on_A

cademic_and_Practitioner_-_Oriented_Publications_2001_-_2011

Euromonitor International, Digital Consumer Survey (2020). How Is the High

Use of Digital Wallets Impacting Other Payment Types in

Indonesia?https://www.euromonitor.com/article/how-is-the-high-use-of-

digital-wallets-impacting-other-payment-types-in-indonesia

Funa, D., (2020). Digital payments in the Philippines.

https://businessmirror.com.ph/2020/06/10/digital-payments-in-the-

philippines/

International Journal of Scientific Development and Research. (2021). Influence

of Cashless Payments on Spending Behaviour.

https://www.ijsdr.org/papers/IJSDR2109005.pdf

M. Thirupathi, Dr.G. Vinayagamoorthi, Dr. Sp. Mathiraj. (2019, August 8).

 26

Effect Of Cashless Payment Methods: A Case Study Perspective

Analysis.https://www.ijstr.org/final-print/aug2019/Effect-Of-Cashless-

Payment-Methods-A-Case-

Manickam, T., Gomathinayagam, V., Subramanian, SM. (2019). Effect Of

Cashless Payment Methods: A bill Case Study Perspective

Analysis.Study-Perspective-Analysis.pdfhttps://www.ijser.org/final-print/

aug2019/Effect-Of-Cashless-Payment-Methods-A-Case-Study-Perspective-

Analysis.pdf

Liu, G., and Phạm, T. (2016). A Study of Factors Affecting the Intention to

Use Mobile Payment Services in Vietnam.

https://www.researchgate.net/publication/306341713_A_Study_of_Factor

s_Affecting_the_Intention_to_Use_Mobile_Payment_Services_in_Vietnam

Ong, HB., Chong, LL. (2022, March 05). The effect of cashless payments on
the internet and mobile banking. J Financ Serv Mark.
https://link.springer.com/article/10.1057/s41264-022-00145-0

Thedecisionlab. (2022). Why does paying without physical cash increase

the likelihood that we purchase something?

https://thedecisionlab.com/biases/cashless-effect

Tam, C., Oliveira, T. (2017). Understanding mobile banking individual

 27

performance: The DeLone & McLean model and the moderating

effects of individual culture.

https://www.researchgate.net/publication/316258896_Understanding_mo

bile_banking_individual_performance_The_DeLone_McLean_model_and_t

he_moderating_effects_of_individual_culture

Zhang, T., Lu, C., and Kizildag, M. (2018). Banking “on-the-go”: Examining
customers” adoption of mobile banking services. Int. J. Qual. Serv.
Sci. 10, 279–295. doi: 10.1108/IJQSS-07-20170067
 28

APPENDICES

APPENDIX A
LETTER TO THE DEAN
 29

APPENDIX B
LETTER TO THE ADVISER
 30

APPENDIX C
LETTER TO THE CHAIRMAN
 31

APPENDIX D
LETTER TO THE PANEL
 32

APPENDIX E
LETTER TO THE PANEL
 33

APPENDIX F
LETTER TO THE STATISTICIAN
 34

APPENDIX G
LETTER TO THE CRITIC READER
 35

APPENDIX H
LETTER TO THE VALIDATOR
 36

APPENDIX I
LETTER TO THE VALIDATOR
 37

APPENDIX J
LETTER TO THE EXTERNAL VALIDATOR
 38

APPENDIX K
LETTER TO THE RESPONDENTS
 39

APPENDIX L
LETTER TO THE OFFICE OF REGISTRAR
 40

APPENDIX M
EVALUATION SHEET OF THE CONTENT VALIDITY OF THE
QUESTIONNAIRE - EXPERT A
 41

APPENDIX N
EVALUATION SHEET OF THE CONTENT VALIDITY OF THE
QUESTIONNAIRE - EXPERT B
 42

APPENDIX O
EVALUATION SHEET OF THE CONTENT VALIDITY OF THE
QUESTIONNAIRE - EXPERT C
 43

APPENDIX P
RESULT OF THE VALIDITY TEST OF QUESTIONNAIRES AS RATED BY
THREE EXPERTS

MEAN
DESCRIPTI
STATEMENT ABOUT THE EXPERTS AWM
VE RATING
ITEMS IN THE
A B C
QUESTIONNAIRE

1. Every item is stated clearly. 5 5 5 5.00 Highly Valid

2. Every item is sufficiently comprehensive. 4 5 4 4.33 Valid

3. Every item corresponds to the subject 5 5 5 5.00 Highly Valid

matter.

4. Every item shows a reasonable range of 5 5 5 5.00 Highly Valid

variation.

5. Every item is precise and exact. 4 4 5 4.33 Valid

6. Every item is consistent with reality. 5 4 5 4.67 Highly Valid

7. Every item is correct and accurate. 4 5 5 4.67 Highly Valid

8. Every item can be applied specifically for 5 5 5 5.00 Highly Valid

the topic.

9. Every item responds to the objectives of 5 5 5 5.00 Highly Valid

the study.

10. Every item is within the ability level of 5 5 4 4.67 Highly Valid
the respondents.
 44

Total Mean 4.77 Highly Valid

Legend:
Point of Value Statistical Limit Descriptive Ratings
5 4.50-5.00 Highly Valid (HV)
4 3.50-4.49 Valid (V)
3 2.50-3.49 Moderately Valid (MV)
2 1.50-2.49 Fairly Valid (FV)
1 1.00-1.49 Not Valid (NV)
APPENDIX Q
QUESTIONNAIRE

Part I. Personal Profile

Name (optional): _______________________

Directions: Please put a check (✓) mark to fill-out the needed information below.

Rest assured that your responses will be held with high confidentiality.

Age:

( ) 20 years and below ( ) 31 - 35 years old

( ) 21-25 years old ( ) 36 years and above

( ) 26- 30 years old

Sex:

( ) Male ( ) Female

Civil Status:

( ) Single ( ) Widow/Widower

( ) Married Others, Please specify__________

Monthly Allowance:

( ) Below 999 peso ( ) 1,000 to 2,500 pesos

 45

( ) 2,501 to 5,000 pesos ( ) 10,001 pesos above

( ) 5,001 to 10,000 pesos

Preferred Mobile wallet

( ) GCASH ( ) PAYMAYA

( ) GRABPAY ( ) LAZADA WALLET

( ) COINS PH ( ) PAYPAL

( ) SHOPEE PAY Other (please specify)__________

Type of Transaction:

( ) PURCHASES ( ) LOAD

( ) FUND TRANSFER ( ) INSURANCE

( ) REMITTANCE Others, please

( ) BILLS PAYMENT specify:____________

Preferred Payment Method:

( ) Traditional (cash, cheque, ( ) Digital/e-wallet

gift cards and gift certificate)

Part II. The level of effectiveness on cashless transaction on

students.

Instructions: Please mark the following items with a check (✓) based on your

observations/experience in the effectiveness of cashless transaction.

Likert Scale Numerical Value Descriptive Equivalent

5 4.50 - 5.00 Very Highly Effective

 46

4 3.50 - 4.49 Highly Effective

3 2.50 - 3.49 Effective

2 1.50 - 2.49 Moderately Effective

1 1.00 - 1.59 Not Effective

PRIVACY AND SECURITY 5 4 3 2 1

1. The digital payment company provides an

electronic receipt that serves as a proof that the
amount paid was received by the payee.

2. The digital payment company sends text

messages that payment was successfully received
by the payee.

3. There is a time pin added security features in

every payment.

4. Tracing and review of transactions are accessible

and can be reviewed through history and budgeting
categories in digital wallet apps.

5. Notifications sent to sender’s registered contact

numbers and emails inform users of unknown
transactions to their account.

CONVENIENCE 5 4 3 2 1

1. When paying bills with a digital wallet,

customers can avoid the long lines for every
payment.
 47

2. Digital wallet provides a one-step solution for

payments transactions.

3. Faster and easier purchasing experiences with

digital wallets.

4. Cash can be sent or can be transferred from one

digital wallet to another preferred digital wallet
and/or to the depository bank of the recipient.

5. Recipient can withdraw cash at their most

convenient time.

COST 5 4 3 2 1

1. Low service charge/rates when paying bills and

purchase with a cashless payment method.

2. Lesser costs on cashless payment method due to

reduced payment rates and fees.

3. Discount rates are offered for purchases of food,

loads, transportation and other goods and services.

4. No hidden fees on cashless payment method.

Cashless payment method offers incentives, cash

back, and other rewards to entice customers to use
digital payment company instead of other payment
methods.
 48

APPENDIX R
APPROVAL SHEET - RESEARCH PROPOSAL
 49

APPENDIX S
APPROVAL SHEET - RESEARCH PROPOSAL
 50

APPENDIX T
APPROVAL SHEET - RESEARCH PROPOSAL
 51

APPENDIX U
 52

OFFICIAL RECEIPT OF THE PANEL FEE

 53

APPENDIX V
ENDORSEMENT/DEFENSE SCHEDULE APPLICATION
 54

APPENDIX W
FINAL RATING ON RESEARCH PROPOSAL
 55

APPENDIX X
COLLABORATIVE RESEARCH AND CO-AUTHORSHIP CONTRACT
 56

DOCUMENTATION

Research Proposal Defense

EFFECTIVENESS OF CASHLESS TRANSACTION ON STUDENT

DATE: February 02, 2023

Time: 08:00 am - 09:00 am

 57

CURRICULUM VITAE
 58

Curriculum Vitae

MICHAEL JOSEPH BRIONES BUSTOS

Address: Nancamaliran East Urdaneta City, Pangasinan

Birthday: July 02, 2002
Email Address: mjbustos02@gmail.com
Batch: 2019

Strand: Accountancy, Business and Management

Birthplace: Makabali, Pampanga

Educational Background

Level/ Degree Name of School Year Graduated

Our Lady of the Lilies

Primary 2013-2014
Academy

Our Lady of the Lilies

Secondary- Junior 2017-2018
Academy

Our Lady of the Lilies 2019-2020

Secondary- Senior
Academy

In progress
Tertiary Urdaneta City University

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
 59

Assemblage

Curriculum Vitae

MERRYL GARCIA NAVARRO

Address: Calmay, Laoac, Pangasinan

Birthday: May 12, 2002
Email Address: merrylnavarro@gmail.com
Batch: 2019

Strand: Accountancy, Business and Management

Birthplace: Baritao, Manaoag, Pangasinan

Educational Background

Level/ Degree Name of School Year Graduated

Calmay Elementary
Primary 2013-2014
School

Calmay Integrated
Secondary- Junior 2017-2018
School

Family Child 2019-2020

Secondary- Senior
Development School

In progress
Tertiary Urdaneta City University
 60

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
Assemblage

Curriculum Vitae

VIRGIE MEA NISPEROS BALCITA

Address: Bolo, San Jacinto, Pangasinan

Birthday: February 03, 2002
Email Address: virgiemeanisperosbalcita@gmail.com
Batch: 2019

Strand: Accountancy, Business and Management

Birthplace: San Jacinto, Pangasinan

Educational Background

Level/ Degree Name of School Year Graduated

Basilio B. Villanueva
Primary 2013-2014
Elementary

Lobong National High

Secondary- Junior 2017-2018
Shool
 61

Family Child 2019-2020

Secondary- Senior
Development School

In progress
Tertiary Urdaneta City University

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
Assemblage

Curriculum Vitae

BERNADETTE JOY NISPEROS FERRER

Address: Bolo, San Jacinto, Pangasinan

Birthday: May 20, 2002
Email Address: ferrerbernadettejoy@gmail.com
Batch: 2019

Strand: Accountancy, Business and Management

Birthplace: San Jacinto, Pangasinan

Educational Background

Level/ Degree Name of School Year Graduated

 62

Primary Awai Elementary School 2013-2014

Lobong National High

Secondary- Junior 2017-2018
Shool

Family Child 2019-2020

Secondary- Senior
Development School

In progress
Tertiary Urdaneta City University

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
Assemblage

Curriculum Vitae

CHRISTINE CABICO DISTOR

Address: Zone 5 Lelemaan, Manaoag, Pangasinan
Birthday: December 24, 2001
Email Address: christinedistor2001@gmail.com
Batch: 2019

Strand: Technology and Livelihood Education

/Information and Communication Technology
 63

Birthplace: Dagupan City

Educational Background

Level/ Degree Name of School Year Graduated

Cabanbanan Elementary
Primary 2013-2014
School

Cabanbanan National
Secondary- Junior 2017-2018
High Shool

Cabanbanan National 2019-2020

Secondary- Senior
High School

In progress
Tertiary Urdaneta City University

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
Assemblage

Curriculum Vitae

ERICKA MAE JIMENEZ LACASTE

Address: Zone 2 Oraan East, Manaoag, Pangasinan

 64

Birthday: April 26, 2001

Email Address: erickamaelacaste2001@gmail.com
Batch: 2019

Strand: Technology and Livelihood Education-Home Economics

Birthplace: Manaoag Pangasinan

Educational Background

Level/ Degree Name of School Year Graduated

Cabanbanan Elementary
Primary 2013-2014
School

Cabanbanan National
Secondary- Junior 2017-2018
High Shool

Cabanbanan National 2019-2020

Secondary- Senior
High School

In progress
Tertiary Urdaneta City University

Seminars/Webinar/Training Attended

Title Sponsored by Inclusive Date

KALAINGAN: Cultivating JFE - UCU Urdaneta City February 21,2023

Intellectual Growth
Through A Day Of
Learning, Conquer The
Assemblage