Purpose <p>This research aims to determine to what extent AI-driven features and mindfulness practices in FinTech services enhance users’ financial well-being, increase financial inclusion, and positively shape perceptions of financial service quality among FinTech users in North India.</p> Design/methodology/approach <p>Data from 469 FinTech users across Generation X, Millennials, and Generation Z was collected through online and offline sources and was analysed using partial least squares structural equation modeling (PLS-SEM) to examine the relationships among the proposed variables.</p> Findings <p>Results indicate that AI enhances IT mindfulness, technological self-efficacy, and financial self-efficacy, which influence performance, effort expectancy, and hedonic motivation. IT mindfulness also positively impacts performance and effort expectancy, with minimal effect on hedonic motivation. Technophobia weakens the relationship between behavioral intention and usage, suggesting overcoming users’ technology concerns is crucial for maximizing AI and mindfulness benefits. Additionally, FinTech usage directly contributes to improved financial well-being and inclusion, demonstrating strong model explanatory power.</p> Research implication/limitation <p>Financial technology (Fintech) service providers should tailor AI features to customer needs, address technophobia and privacy concerns, and ensure strong security measures. Managers should be trained in AI’s role, and regulators must enforce ethical standards. Clear communication of AI benefits is essential for overcoming technophobia, fostering trust, and enhancing financial inclusion.</p> Originality <p>This study provides unique insights into how AI-driven features and mindfulness practices influence financial well-being and inclusion, particularly in North India, highlighting challenges and the role of technophobia in the adoption process.</p>