This study examined the effects of integrating advanced technology and financial literacy on customer satisfaction and retention in retail lending. Using a descriptive-correlational research design, data were collected from 165 respondents along Arnaiz Avenue, Legaspi Village, Makati City, through structured surveys administered to customers of various retail lending institutions. Findings revealed that advanced technology significantly enhanced customer satisfaction, with the highest-rated indicators being ease of use (mean = 4.43), speed of loan approval/processing (mean = 4.16), and responsiveness (mean = 3.94). Financial literacy programs also improved satisfaction, particularly in product awareness (mean = 4.16), interest rate/fees awareness (mean = 4.12), and emotional connection (mean = 4.02). The integration of both technology and financial literacy showed a strong, statistically significant effect on customer satisfaction and retention (p < .001), with notable differences observed based on gender and employment status. The study concluded that combining digital innovation with financial education strengthened customer relationships and promoted long-term retention. These findings imply that financial institutions should invest in user-friendly technologies and incorporate financial literacy initiatives to enhance customer experience, build trust, and foster loyalty. By leveraging technological and educational strategies, retail lenders can improve operational efficiency, meet customer expectations, and maintain a competitive advantage in the financial industry.

Keywords: advanced technology, financial literacy, customer satisfaction, customer retention, retail lending