Published Online:April 2026
Product Name:The IUP Journal of Management Research
Product Type:Article
Product Code:IJMR010426
DOI:10.71329/IUPJMR/2026.25.2.6-27
Author Name:Yuvaraj Halage and Bharathkumar K K
Availability:YES
Subject/Domain:Management
Download Format:PDF
Pages:6-27
The study examines how AI-based personal finance tools influence financial behaviors such as budgeting, saving, and spending discipline and the extent to which they support sustainable financial choices. A structured survey was conducted among 384 urban digital banking users in India, capturing data on tool usage, behavioral outcomes, and sustainability-related decisions. Structural equation modeling was applied to assess the proposed relationships, and the results indicated that active engagement with AI-powered financial tools significantly improves financial discipline, fostering greater control over expenditure, systematic saving habits, and adherence to planned budgets. These behavioral improvements contribute to sustainability-focused financial decisions, including long-term investment planning and consideration of social and environmental factors in financial choices. Moreover, AI tool usage demonstrates a direct positive effect on sustainable decision-making, suggesting that advanced features such as personalized insights, predictive analytics, and ESG-based recommendations can encourage responsible financial conduct even without intermediary behavioral changes.
In recent years, the intersection of financial technology (FinTech) and sustainability has garnered significant scholarly attention, especially with the rapid adoption of artificial intelligence (AI) in managing personal finance. The digital transformation of financial services has led to a proliferation of intelligent tools ranging from budgeting applications and robo-advisors to AI-enabled chatbots and investment trackers that are increasingly influencing individual financial behaviors.