A bank is a financial institution that accepts deposits from the public and uses those deposits to lend money and engage in other investment activities. Banks play an important role in the financial system and are highly regulated. Regulations include capital requirements to ensure banks maintain sufficient liquid assets. Online or e-banking allows customers to conduct financial transactions through a bank's website rather than visiting a physical branch. Common e-banking services include funds transfers, bill payments, investment transactions, and applications. Cybercrime poses a growing threat to the security of online banking. Common cyberattacks against banks include phishing, malware-based attacks, and distributed denial-of-service attacks. Both customers and banks should take steps to enhance online banking security.

1. Bank
What Is Bank?
A bankis a financial institutionthatacceptsdepositsfromthe publicandcreatescredit.[1] Lending
activitiescanbe performedeitherdirectlyorindirectlythroughcapital markets.Due totheirimportance
inthe financial system andinfluence onnational economies,banksare highlyregulatedinmost
countries.Many nationshave institutionalizedasystemknownasfractional reservebankingunder
whichbanksholdliquidassetsequal toonlyaportionof theircurrentliabilities.Inadditiontoother
regulationsintendedtoensure liquidity,banks are generallysubjecttominimize capital requirements
basedon an internationalsetof capital standards,knownasthe Basel Accords.
Definition Of Bank
As perSection5(b) of the Banking RegulationAct,1949
"Banking" means the accepting of depositsfor the purpose oflendingor investment of moneyfrom
the public,repayable on demandor otherwise,andwithdrawable by cheque,draft, order or
otherwise.
Verysimply fora CustomerBank isa personor organizationthat providesan ‘Umbrella’whenthe sky
is clear & takes it away whenit showers.
Features
1. Advancing of Loans
2. Overdraft
3. Discounting of Bills of Exchange
4. Cheque Payment
5. Collection and Payment Of Credit Instruments
6. Foreign Currency Exchange
7. Consultancy
8. Bank Guarantee
9. Remittance of Funds
10.E-Banking Services- ( I )Credit cards. (II) ATMs Services. (III) Debit cards

2. (IV) Home banking. (V) Online Banking.

3. e-Banking
e-Banking means Online Banking or Internet Banking or Virtual Banking is
an electronic payment system that enables customers of a bank or other financial
institution to conduct a range of financial transactions through the financial institution's
website. The online banking system will typically connect to or be part of the core
banking system operated by a bank and is in contrast to branch banking which was the
traditional way customers accessed banking services.
Regulation
Since its inception in the United States, online banking has been federally
governed by the “Electronic Funds TransferAct of 1978”.
Features Of e-Banking
 Funds transfers between the customer's linked accounts

 Paying third parties, including bill payments and third party fund transfers.

 Investment purchase or sale

 Loan applications and transactions, such as repayments of enrollments

 Credit card applications

 Register utility billers and make bill payments

 Financial institution administration

 Management of multiple users having varying levels of authority

 Transaction approval process

4. E-Banking Security
The Indianbankingsectorhas experiencedconsiderable growthandchangessince liberalizationof
economyin1991. Thoughthe bankingindustryisgenerallywell regulatedandsupervised,the sector
suffersfromitsownsetof challengeswhenitcomestoethical practices,financial distressandcorporate
governance. Inrecentyears,cybercrime hasgrownby leapsandbounds.Cybercrime revenue grewto
levelscomparabletothatof a state,and major securityanalystsagree thatitwill experience sustained
growthin the comingyears.Inthispost,I will analyze the impactof organizedcybercrime ononline
bankingservices.Iwill introduce primarymethodsof attacksusedbyhackers and statisticsrelatedto
each technique.
I will analyze the most prominent cyber threats to online banking services including
I) Phishing Attack
II) Malware-Based Attacks
III) DDoS
42.59%
19.27%
15.77%
7.32%
5.14%
4.10%
5.81%
Networks Used For Cyber Crime
Global Internet Portal-Mail Service
Banks
Social Networks
E-Shops
Payment Systems
Telecommunication Companies
Others

5. FOR SAFER ONLINE EXPERIENCE FEW SIMPLE SECURITY TIPS TO KEEP IN MIND
By Customer
I)Donot provide anypersonal information toanybody.Be verysuspiciousof anye-mail fromabusiness
or person that asksfor yourpassword,passportnumberetc.
II) Reviewthe linkprovidedtoensure itleadstoavalidwebsite.
III) Reviewthe sender’se-mail addresstoverifythatitisfroma valide- mail account.
IV) Act quicklyif yoususpectfraud.If youbelievesomeone istryingtocommitfraudbypretendingtobe
your bank,notifythe financial institutionimmediately.
V) Use a strong password.
VI) Change yourPIN / passwordoften.
VII) Do notvisitsuspicioussites.If yoususpectthata website doesn’tfulfillitsaim leave the site
immediately.
VIII) Be alertfor scam e-mails.Thesemayappeartocome froma trustedbusinessorfriend,butare
actuallydesignedtotrickyouintodownloadingavirusor jumpingtoa fraudulentwebsite anddisclosing
sensitiveinformation.
IX) Opene-mailsonlywhenyouknowthe sender. Especiallybe careful aboutopeninge-mailswith
attachments.
X) Make sure your home computerhasthe mostcurrentanti-virussoftware.Install apersonal firewall to
helptopreventunauthorizedaccesstoyour home computer.

6. By Banks
I) Undertake market research.
II) Adopt systems with adequate capacity and scalability.
III) Undertake proportionate advertising campaigns.
IV) Ensure that you have adequate staff coverage and develop a suitable business continuity
plan.
V) A strategic approach to information security, building best practice security controls
into systems and networks as they are developed.
VI) A proactive approach to information security, involving active testing of system
security controls (e.g. penetration testing), rapid response to new threats and
vulnerabilities and regular review of market place developments.
VII) Sufficient staff with information security expertise.
VIII) Active use of systembased security management and monitoring tools.
IX) Strong business information security controls