Alternative banking, as the name suggest, is the NEWER METHOD OF CARRYING ON BANKING OPERATIONS
It includes
1. ATM (AUTOMATIC TELLER MACHINE)
2. POS TERMINAL
3. INTERNET BANKING
4. MOBILE BANKING
5. NEFT
6. RTGS
7. ECS
eSewa is a mobile money account. It is a digital wallet from where customers can pay, send and receive money from their mobile phone and internet, instantly.
eBanking means a method of banking in which the customer conducts transactions electronically via the Internet.
Alternative banking, as the name suggest, is the NEWER METHOD OF CARRYING ON BANKING OPERATIONS
It includes
1. ATM (AUTOMATIC TELLER MACHINE)
2. POS TERMINAL
3. INTERNET BANKING
4. MOBILE BANKING
5. NEFT
6. RTGS
7. ECS
eSewa is a mobile money account. It is a digital wallet from where customers can pay, send and receive money from their mobile phone and internet, instantly.
eBanking means a method of banking in which the customer conducts transactions electronically via the Internet.
WHAT IS E-BANKING?
EVOLUTION OF E-BANKING
APPROACHES OF E-BANKING
FUNCTION OF E-BANKING SERVICES
THREATS OF E-BANKING SERVICES
PREVENTION OF THREATS
ONLINE BANKING
Banking on the Internet (e-banking) is in many countries for a decade already an everyday tool for millions of persons. Operating direct on the stock exchanges is no more limited to experts. Even wallets are turning out to be used more electronically.
Getting your account balance via alerts, making micro-payments in shops or to friends, creating savings for the unbanked customers, … A lot is moving fast for financial (e.g. banks) and nonfinancial agents (e.g. telecoms) in these new channels.
This can generate a lot of questions:
- What are the risks of these new developments and how to tackle them?
What are the commercial and technical challenges for the future?
WHAT IS E-BANKING?
EVOLUTION OF E-BANKING
APPROACHES OF E-BANKING
FUNCTION OF E-BANKING SERVICES
THREATS OF E-BANKING SERVICES
PREVENTION OF THREATS
ONLINE BANKING
Banking on the Internet (e-banking) is in many countries for a decade already an everyday tool for millions of persons. Operating direct on the stock exchanges is no more limited to experts. Even wallets are turning out to be used more electronically.
Getting your account balance via alerts, making micro-payments in shops or to friends, creating savings for the unbanked customers, … A lot is moving fast for financial (e.g. banks) and nonfinancial agents (e.g. telecoms) in these new channels.
This can generate a lot of questions:
- What are the risks of these new developments and how to tackle them?
What are the commercial and technical challenges for the future?
E-BANKING EMERGING ISSUES AND OPPORTUNITIESVinit Varma
Innovation in technology, enlarged completion, globalization and changing environments are the crucial aspects that have forced our Banking services to change. With the diminishing cost of computers and digital gadgets like tables and smart phones along with decreasing charges and easy accessibility of internet and Wifi etc would certainly boosted the awareness of technology which resulted into increasing usage of E-banking day by day. Electronic Banking is a beautiful tool to deliver banking services at customers’ convenient place like office, home etc. E-Banking is not just only help in providing quick and efficient services but it also helps in reducing transaction and delivery costs. It improves profitability providing a platform for cross selling and cost effective product information. But there are some challenges in front E-banking like security threads, lack of awareness and knowledge of end users, peoples’ perceptions, user interface, failure of bank transitions, etc. But apart from any barriers, electronic banking is the future of modern banking and this is the stage where e-banking is helping to delineate the role of a bank branch and taking branches away from that transactional banking to become customer service centres but this transformation is not that much simple and it needs a lot of innovative steps, planning and investment. This paper throws light on emerging issues and opportunities of Electronic Banking. Here, an attempt would be made to highlight some issues in E-Banking and its prospects.
Principles and Practices of Banking Module 5ARUNKUMAR7358
Banking Technology
Concept of universal banking
Home banking
ATM’s
Internet banking
Mobile banking
Core banking solutions
Debit, credit and smart cards
Electronic payment system
MICR
Cheque truncation
ECS
EFT
NEFT
RTGS
Books referred - Dr.Nirmala Prasad, K. Chandrasass j (Banking and financial system)& Mithani, Gordan (Banking and financial systems)
2. Introduction
Definition:-
•The provision of banking service through electronic channels and
the customer. It can access the data without time and geographical
limitation.
•Combination of the two term Electronic technology & Banking.
•Process by which a customer performs banking transactions
electronically.
3. What is E-banking?
•E-Banking denotes the provision of banking and
related services through extensive use of information
technology.
•Delivery of bank’s services to a customer at his office
or home by using electronic technology.
4. • Development of E-banking
• Advantages of the E-Banking
• Disadvantages of the E-banking
6. Development of E-banking
May 1995 :
•Wells Fargo - the first bank in the world to offer customer
access to their accounts over the internet .
•Allows customer to see their accounts online
7. Development of E-banking
• ICICI was the first bank to initiate the Internet
banking revolution in India as early as 1997 under
the brand name 'Infinity'.
• ICICI Bank kicked off online banking way back in
1996 . But even for the Internet as a whole, 1996 to
1998 marked the adoption phase, while usage
increased only in 1999-due to lower ISP online
charges, increased PC penetration and a tech-
friendly atmosphere.
8. Different services provided under
e-banking
• ONLINE BILL PAYMENT
• SHOPPING
• TICKET BOOKING
• PRE PAID MOBILE RECHARGE
• MARKET WATCH
9. Contd…
• PERSONAL HOME PAGE
• INVESTMENT SERVICES
• ONLINE APPLICATIONS
• PERSONAL UPDADATE
10. SERVICE PROVIDED BY SBI
• Self-account funds transfer across India.
• Third party transfers in the same branch.
• New account opening.
• Demand Draft requests.
12. Contd…
• LIC and other insurance premia payments.
• SBI Mutual funds Investments.
• Remit Subscription to PPF account.
• Credit card dues payments.
13. Contd…
• Deposit your taxes.
• Donations to your religious inspirations.
• Donations to Red Cross and such other organisations.
• Setting up SMS alerts for transaction information.
16. Advantages of E-banking
• Benefits for Banks
• Benefits for Small to Medium Businesses
• Benefits for Customers
17. Disadvantages OF E-banking
• A need for customer skill to deal with computers and
browsers.
E.g. Elderly, Housewives → Inconvenient
• Site change it will make the customer have some
confusion or delay.
• Security Risk
18. Benefits for Banks
• Larger customer coverage
• Reducing the costs of operations
• Promoting their services and products
internationally
• Increasing the customer satisfaction and providing a
personalized relationship with customers
19. Conclusion
• E-Banking Enable Better Business Anywhere,
Anytime.
• E-Banking represent a tremendous opportunity in
India.
• However, Factors such as illiteracy in India,
availability of cheaper labor force, reluctance to
change by the existing staff of banks and slow growth
of technology in India are responsible for slow
growth of e-banking in India.
20. Contd…
• Development and acceptance of standards by
financial institutions will clearly have a positive
impact on the level of security achieved by banks and
bank customers.
• Since opportunities foregone are opportunities lost,
the banks have to rise ahead of time so as not to lag
behind in the e-banking era.