AN EMPIRICAL STUDY ON SAVINGS PATTERN & FINANCIAL BEHAVIOUR OF RURAL HOUSEHOLDS IN PATNA

Abstract

This empirical study investigates the savings patterns and financial behaviour of rural households in Patna, Bihar, to understand the interplay between socio-economic factors and access to financial services. Patna, marked by a blend of rural livelihoods and urban transitions, presents a unique context where traditional financial habits meet emerging digital and institutional financial tools. The primary aim of the study is to analyze the influence of socio-economic variables such as income, education, occupation, and cultural attitudes on rural savings behaviour, and to examine how access to financial services—particularly banking, credit, and digital platforms—impacts financial decisions. A structured questionnaire was administered to a sample of 150 rural households. Data was analyzed using regression models, ANOVA, and reliability testing, ensuring statistical rigor and consistency. Results revealed a significant positive correlation between income, the perceived importance of saving, and cultural influences on savings regularity. Furthermore, banking usage, access to credit, and digital confidence were found to significantly enhance financial behaviour, while service accessibility showed no substantial impact. The findings underscore the need for targeted financial literacy programs and infrastructural support to increase formal financial participation. Despite ongoing government initiatives, many rural households still rely on informal saving mechanisms, reflecting trust issues and limited-service reach. The study highlights a gap between policy and practice and suggests that a more localized and behaviorally informed approach to financial inclusion is essential. In conclusion, empowering rural households through financial education and technology integration can significantly improve savings behaviour and contribute to broader economic resilience.