The Impact of FinTech Innovations on Financial Inclusion and Financial Well-being: The Mediating Role of Financial Literacy and Trust in Technology

Introduction This study investigates how recent FinTech innovations affect financial well-being in Pune, India. The research emphasizes the roles of financial literacy and trust in technology as key mediators between FinTech adoption and financial well-being. The rapid growth of digital finance in India highlights the importance of understanding these relationships to support financial inclusion. Literature Review A review of global and Indian literature shows that FinTech has improved access to financial services. However, limited research exists on the mediating effects of financial literacy and trust, especially in the Indian context. The review identifies a gap in city-specific studies using advanced statistical methods. Research Methodology A cross-sectional survey was conducted in Pune City in 2026, with a sample of 500 adults using various FinTech services. Stratified random sampling ensured diverse representation. Data was analyzed using descriptive statistics, reliability measures, correlation, regression, and Structural Equation Modeling (SEM). Results Findings reveal that all FinTech innovations positively impact financial well-being, both directly and indirectly. Financial literacy and trust in technology are strong mediators. Older adults and women report higher financial well-being. The SEM model and all statistical analyses support the research hypotheses. Discussion and Conclusion Results highlight that improving financial literacy and building trust in FinTech platforms are essential for maximizing benefits. The study offers practical suggestions for stakeholders and identifies areas for future research, such as expanding to other regions and exploring additional mediators.