Contents

1.1 Introduction.................................................................5
1.2 Origin of the Study......................................................6
1.3 Objective of the Study.................................................7
1.4 Rational of the Study...................................................7
1.5 Methodology of the Study..........................................7
1.6 Scope of the study.......................................................8
1.7 Limitations of the study...............................................8
2.1 Background of Sonali Bank Limited.............................9
2.2 Vision, Mission & Sologan...........................................9
2.3 Objectives of Sonali Bank Limited...............................9
2.4 Functions of Sonali Bank Limited..............................10
2.5 Corporate Profile of Sonali Bank Limited..................10
2.6 Some Notable Features of Sonali Bank Limited........11
2.7 Organogram of Sonali Bank Limited..........................12
2.8 Organizational Structure...........................................13
2.9 Board of Director of Sonali Bank Limited..................14
2.10 Core Value, Strength & Competencies of Sonali Bank
Limited.............................................................................15
2.11 Products & Services of Sonali Bank Limited...........17
2.12 ETHICAL PRINCIPLES................................................22
2.13 Commitment to Clients of Sonali Bank Limited......23
3.1 Introduction...............................................................25
3.2 Literature Review......................................................25
3.3 Define Online Banking...............................................26
3.4 Customer Satisfaction...............................................26
3.5 Characteristics of online banking..............................27
3.6 Evaluation of online banking.....................................28
3.7 Importance of online banking...................................29
4.1 Internet......................................................................32
4.2 The History of Online Banking...................................33
4.3 Products and Services of E- Banking.........................34
4.4 Types of Online Banking............................................34
5.1 Online Banking..........................................................39
5.2 Structure of online banking.......................................40
5.3 The common features of online banking in
Bangladesh......................................................................40
6.1 General Online banking services...............................43
6.2 Features of SBL Q-Cash ATM Network......................44
6.3 Debit/Credit Card services........................................44
7.1 Analysis & Findings of online banking customers
satisfaction......................................................................46
8.1 Problems of Online Banking......................................53
9.1 Suggestions................................................................55
9.2 Conclusion.................................................................56
References.......................................................................57
 TABLE OF CONTENTS

SL No. Particulars Page No.

Dedication
Letter of Transmittal
Preface
Acknowledgement
Organizational Certificate
Declaration Letter
Acceptance Letter
Table of Contents
Executive Summary
Introduction

Chapter One Introduction

 Origin of the Study
Objective of the Study
Rational of the Study
Methodology of the Study
Scope of the study
Limitations of the study

Chapter Two Organizational Overview

Background of Sonali Bank Limited
Vision, Mission & Sologan
Objectives of Sonali Bank Limited

Functions of Sonali Bank Limited

Corporate Profile of Sonali Bank
Limited
Some Notable Features of Sonali
Bank Limited
Organogram of Sonali Bank Limited
Organizational Structure
Board of Director of Sonali Bank
Limited
Core Value, Strength &
Competencies of Sonali Bank
Limited
Products & Services of Sonali Bank
Limited
ETHICAL PRINCIPLES
Commitment to Clients of Sonali
Bank Limited
Chapter Three Theoretical Framework of Sonali Bank Limited
Introduction
Literature Review
Define Online Banking
Customer Satisfaction
Characteristics of online banking
Evaluation of online banking
Importance of online banking

Chapter Four An Overview of Online Banking

Internet
The History of Online Banking
Products and Services of E- Banking
Types of Online Banking

Chapter Five Online Banking in Bangladesh

Online Banking
 Structure of online banking
The common features of online
banking in Bangladesh
Chapter Six Online Banking Services of Sonali Bank Limited
General Online banking services
Features of SBL Q-Cash ATM
Network
Debit/Credit Card services

Chapter Seven Analysis & Findings

Analysis & findings of online banking
customers satisfaction
Chapter Eight Problems
Problems of Online Banking

Chapter Nine Suggestions and Conclusion

Suggestions
Conclusion
References
 Chapter One-Introduction
1.1 Introduction

In the present world money is circulated all over the globe. Globalization, technological advances and
other factors money is circulating unimaginably .Financial Institutions mainly Banks play a Pivotal role in
matching a depositor and lenders and channeling money and making the Economy more efficient.
Although the history of Banking goes back to the 14th century in Europe but Banks are now everywhere.
Banks in Bangladesh play a significant role compared to other financial Institutions. The competition in
the banking industry has intensified more than ever before. Global financial crisis, share market crash,
recessions and other factors affected the banking industry. So banks should position themselves at a
unique place in the minds of the customers by offering attractive offers such as higher interest rates or by
offering superior service to the customers. Services include financial advice, flexible rates or dates of
payment, portfolio management etc. E- Banking is a service offered to the customers which includes
viewing the balances on accounts, checking the transactions, downloading useful information, transfer of
funds, paying third parties, making loan applications etc from a secured website of the bank. E- Banking
has opened up a new field of competition for banks. To operate online an individual needs the customer
number and password. E- Banking has started in the 1980s but it is relatively a new concept in
Bangladesh. Customer satisfaction is positively related to E- Banking. It is believed that customers are the
king of the market place today. The competition in the banking industry is intensifying and it is the bank ’s
priority to satisfy its respective customer.
1.2 Origin of the Study

This internship report is originated as a partial fulfillment of the MBA program. This report is a

mandatory requirement for completion of MBA. I have worked at Sonali Bank at BUET branch

for 90 days and the experience of working at Sonali Bank has helped me to match my theoretical

knowledge with practical understanding. As an intern of Sonali Bank I was provided with the

topic “Online Banking Activities of Sonali Bank limited ”

1
1.3 Objective of the Study

 To evaluate E- Banking System of Sonali Bank Limited.

 To find out the customers demand from Sonali Bank’s E- Banking service.
 To identify the satisfaction level.
 To identify the relationship between E- Banking and customer satisfaction.
 To find out the problems and give some necessary suggestions.

1.4 Rational of the Study

In the present world money is circulated all over the globe. Globalization, technological advances and
other factors money is circulating unimaginably .Financial Institutions mainly Banks play a Pivotal role in
matching a depositor and lenders and channeling money and making the Economy more efficient.
Although the history of Banking goes back to the 14th century in Europe but Banks are now everywhere.
Banks in Bangladesh play a significant role compared to other financial Institutions. The competition in
the banking industry has intensified more than ever before. Global financial crisis, share market crash,
recessions and other factors affected the banking industry. So banks should position themselves at a
unique place in the minds of the customers by offering attractive offers such as higher interest rates or by
offering superior service to the customers. Services include financial advice, flexible rates or dates of
payment, portfolio management etc. E- Banking is a service offered to the customers which includes
viewing the balances on accounts, checking the transactions, downloading useful information, transfer of
funds, paying third parties, making loan applications etc from a secured website of the bank. E- Banking
has opened up a new field of competition for banks. To operate online an individual needs the customer
number and password. E- Banking has started in the 1980s but it is relatively a new concept in
Bangladesh.

1.5 Methodology of the Study

Data collection:

Primary data was collected from the user of E bank services of sonali bank, BUET branch by

conducting a survey on their requirement.

Secondary data was collected from various web site, previous work on Sonali Bank. Survey

was conducted by using liker scale.

Sampling method:

Random sampling method was used. Sample was collected from the customers who regularly or

frequently visit the branch office to take services provided by bank.

Sample size:
Sample size is 20. From these 20 customers 50% are male and 50% are female respondent.

Data analysis:

Data was analyzed by using mean, mode and percentage. To complete the study I did not use any

Satirical software.

1.6 Scope of the study

Scope of the Study This report will screen an organization in a general way of Sonali Bank Limited. It will send wide
view of the several stages. I tried to exhibit the activities by way of individual graphs and charts through
movement. Findings and applicable tips are made primarily based on that activities. To keep way from complexity
some overall activities variables are taken into consideration while analyzing activities. The study would focus on
the following fields of Sonali Bank Limited.
1. Online banking
2. Online activities
3. Customers satisfaction

1.7 Limitations of the study

 Very small sample size

 Less time to complete report
 Data Demands to be processed in such high profile statistical tools such as STATA or
SPSS
 Some respondents were neither motivated nor interested in expressing their honest
opinions.
 Results are calculated manually.
 Chapter Two Organizational Overview

2.1 Background of Sonali Bank Limited

Soon after independence of the country Sonali Bank emerged as the largest and leading
Nationalized Commercial Bank by proclamation of the Banks' Nationalization Order 1972
(Presidential Order-26) liquidating the then National Bank of Pakistan, Premier Bank and Bank
of Bhwalpur. As a fully state owned institution, the bank had been discharging its nation building
responsibilities by undertaking government entrusted different socio-economic schemes as well
as money market activities of its own volition, covering all spheres of the economy. The bank
has been converted to a Public Limited Company with 100% ownership of the government and
started functioning as Sonali Bank Limited from November 15 2007 taking over all assets,
liabilities and business of Sonali Bank. After corporatization, the management of the bank has
been given required autonomy to make the bank competitive & to run its business effectively.
Sonali Bank Limited is governed by a Board of Directors consisting of 11(Eleven) members. The
Bank is headed by the Chief Executive Officer & Managing Director, who is a well-known
Banker and a reputed professional. The corporate head quarter of the bank is located at
Motijheel, Dhaka, Bangladesh, the main commercial center of the capital.

2.2 Vision, Mission & Sologan

Vision:

Socially committed leading banking institution with global presence.

Mission:

Dedicated to extend a whole range of quality products that support divergent needs of
people aiming at enriching their lives, creating value for the stakeholders and contributing
towards socio-economic development of the country.

Slogan:

“Your trusted partner in innovating banking”.

2.3 Objectives of Sonali Bank Limited

 To earn customer satisfaction through diversified banking activities and introduction of

innovative banking.
  To improve the customer services in recent times by introducing a number of IT-based
reform measures.
 To remain one of the best banks in Bangladesh in terms of profitability and Assets
Quality.
 To ensure an adequate rate of return on investment.
 To maintain adequate liquidity to meet maturing obligations and commitments

2.4 Functions of Sonali Bank Limited

The main function of the Sonali bank is to collect money from the general people, various
institutes or organizations as deposit and give them interest on that money by various accounts.
This bank collects current, saving and permanent accounts deposit. But they give more interest
on saving account than the current account. This bank generally doesn’t pay any interest on the
current account.Sonali Bank extends all the major personal banking facilities and services to its
customers with its skilled manpower and largest network of around 1300 branches covering all
the urban and remote rural areas of Bangladesh.

Name of the Company Sonali Bank Limited

Chairman Dr. A.H.M. Habibur Rahman
CEO & Managing Director Pradip Kumar Dutta
Company Secretary A.K.M Sajedur Rahman Khan
Legal Status Public Limited Company
Genesis Emerged as Nationalized Commercial Bank in
1972, following the Bangladesh Bank
(Nationalization) Order No. 1972(PO No.26 of
1972)
Date of Incorporation 03 June, 2007
Date of Vendor’s Agreement 15 November, 2007
Registered Office 35-42, 44 Motijheel commercial Area, Dhaka,
Bangladesh
Authorized Capital Taka 6000.00 core
Paid-up Capital Taka 3120.00 core
Number of Employee 22,446
Number of Branches 1204
Phone-PABX 9550426-31, 33, 34, 9552924
FAX 88-02-9561410, 9552007
SWIFT BSONBDDH
Website www.sonalibank.com.bd
E-mail itd@sonalibank.com.bd

2.5 Corporate Profile of Sonali Bank Limited

 Capital Structure
Authorized Capital Tk. 2000.00 core
Paid-up Capital Tk. 1125.00 core
Branches & Subsidiaries
1. Total No of Branches 1204
a. No of Foreign Branches 2
b. No of Local Branches 1202
I. No of Rural Branches 857

II. No of Urban Branches 345

2. No of Regional Offices 19
3. No of Principal Offices 42
4. no of G.M. Offices 10
Subsidiaries 3
1. Sonali Bank (UK) Limited having 6 (six)
2. Sonali Exchange company Incorporated
(SECI) having 9 (nine) branches in USA.
3. Sonali Investment Limited (Merchant
Banking) having 4 (four) branches at
Motijheel, Paltan, Uttara, Mirpur in Dhaka,
Representative Office Bangladesh, 1 (one) in Jeddah, KSA; 1 (one) in
Riyadh, KSA and 1 (one) in Kuwait
Correspondent 631

2.6 Some Notable Features of Sonali Bank Limited

2.7 Organogram of Sonali Bank Limited

Figure: Organogram of Sonali Bank Limited

2.8 Organizational Structure

Sonali Bank is the largest nationalized commercial bank of Bangladesh. It has 1187 branches
throughout the country. It has also two overseas branches. The Head Office of the bank is located
at the Motijheel commercial are, Dhaka. The Divisions are headed by the DGMs and the
departments are by AGMs. There are also many sections under every department in the Head
Office. A DGM is the chief of the Principal office and an AGM usually runs a regional office.
Principal offices are the local points of the bank’s administrative zone in the districts. The
regional offices are under control and supervision of principal offices. The offices are situated at
thana level within the districts. The corporate branches are nearly equivalent to the GM office
and usually headed by the DGMs. They provide all the banking services such as general banking,
loans & advances etc. Functional hierarchy of Sonali bank is given below:

Figure: Organizational Structure

2.9 Board of Director of Sonali Bank Limited

Mr. Ziaul Hasan Siddiqui

Chairman and Director
Ex-Deputy Governor
Bangladesh Bank

Mr. A.B.M Ruhul Azad

Director
Additional Secretary
Financial Institutions Division, Ministry of Finance
Govt. of the People's Republic of Bangladesh

Mr. A.K.M Kamrul Islam, FCA, FCS

Director
Mr. Ishtiaque Ahmed Chowdhury
Director
Ex-Managing Director & CEO
Dr. Daulatunnaher Khanam
Director
Ex-Deputy Managing Director
Bangladesh House Building Finance Corporation

Mr. Md. Mofazzal Husain

Director
Ex-Managing Director
Rajshahi Krishi Unnayan Bank

Mr. Molla Abdul Wadud

Director
Former General Manager
Bakhrabad Gas Distribution Company Limited

Dr. Mohammad Kaykobad

Director
Retired Professor
Department of Computer Science and Engineering (CSE)
Bangladesh University of Engineering and Technology
(BUET)
Mr. Md. Ataur Rahman Prodhan
CEO & Managing Director
Ex-CEO & Managing Director of Rupali Bank Limited
Ex-Managing Director of Probashi Kollyan Bank

Figure: Board of Director of Sonali Bank Limited

2.10 Core Value, Strength & Competencies of Sonali Bank Limited

Core value:

The core value proposition of Sonali Bank Limited consists of the following
key elements which would assist the Bank in perceiving its employees to work
as a team towards accomplishment of assigned duties and responsibilities
for achievement of desired objectives. The core values include:

Ethics

Everyone must ensure adherence to ethical

practices of banking.

Integrity

Protection and safeguard of national and

customer’s interest are vital elements for
societal trust.

Objectivity

All persons will have definite objective in

carrying out their tasks.

Excellence

Excellent performance and effectiveness

are pre-conditions to ensure quality service
to the large customer base of the Bank.

Commitment

Every employee is committed to work upto

the expected level to ensure satisfaction of
valued customers.

Accountability

All employees are responsible for their

activities and will remain accountable to their
respective superior for accomplishment of
tasks.
Team work

Open communication, discussion and

interaction amongst the employees would
ensure unification of actions and efforts
towards achiving the common goal(s).

Transparency

Information to be kept open for all so that

stakeholders can have proper ideas about
the activities of the Bank.

Self reliance

Each employee will have ownership attitude

towards the Bank and self confidence in his
work for the betterment of the Bank.

Innovation

New and innovative products are the needs

of the time for which continuous action
oriented researches are being carried out.

Strengths:

Transparent and Quick Decision Making.

Efficient Team of Performer.
Satisfied Customers.
Internal Control.
Skilled Risk Management.
Diversification

Competencies:

Knowledge
Experience & Expertise.
Customer Orientation/ Focus.
Transparency.
Determination.
Zeal for Improvement.
Reliability.
2.11 Products & Services of Sonali Bank Limited

Products of Sonali Bank Ltd

 Export credit (Pre-shipment & Post shipment)
 Facilitating supplier’s credit
 LCs (Letters of Credit)
 Guarantees in foreign currency: Bid bond, Performance guarantee, Advance payment
guarantee Bill purchasing/discounting
 Remittance, collection, purchases and sales of foreign currency & traveler’s cheques
 Forward contracts
 Correspondent banking relations

The products and services are provided through a well-established large network of authorized
branches all over the country

Types of Account:

Accounts department is the most important functional area of this branch. The following types of
accounts are maintained in this bank:

Fixed deposits A/C

Short term deposits A/C
Deposit pension scheme (DPS) A/C
Sonali Bank special deposit & pension scheme A/C
Savings deposits A/C
Current deposits A/C Call deposits A/C and
Sundry deposit Accounts.

Remittance:
The system of transmitting or sending money from one branch to another branch of the same
bank or from one bank to another bank within a country or outside the country is known as
remittance. It is one of the important functional areas of a bank. A bank can earn handsome fees
as commission from the dealings of money remittance. During my internship program I have
gathered practical experience about how money is remitted from one branch to another branch of
a bank or from one bank to another bank
Types of Remittance:

Remittance can be of two types:

Inland Remittance
Foreign Remittance

A) Inland Remittance:

When money is remitted within a country through proper banking channel, it is termed as
inland remittance. Sonali Bank, Rajshahi medical college hospital Branch deals a lot of
inland remittance at every working day.

a. Modes of Inland Remittance:

1)Demand Draft (DD): is the most widely used instrument of remitting fund. It is order to
pay money drawn by one branch of a bank upon another branch of same bank for a particular
amount of money that is payable to order and demand.

2) Mail Transfer (MT):

MT is another widely used instrument of remitting fund from one branch of a bank to another
branch of the same bank. It is not used to remit fund from one bank to another. MT is nearly
same as DD.

3) Telegraphic Transfer (TT):

is the fastest means of remitting fund between two branches of the same bank. Fund cannot
be remitted from one bank to another bank through TT.

Foreign Remittance:

The procedure to transfer money from one country to another country through bank or other
govt. authorized agencies is called foreign remittance. The Sonali Bank, Mirpur Shilpa Elaka
Branch, Dhaka does not provide foreign remittance facility to its customer directly.
Services of Sonali Bank Limited

Ancillary Services
Sonali Bank Limited offers multiple special services with its network of branches throughout the
country in addition to its normal banking operations.

Collection:

 Electricity bills
 Telephone bills
 Water/sewerage bills
 Municipal holding tax
 Passport fees, visa fees and travel tax
 Customs & excise duties
 Source tax & VAT

Payment:

 Pension of employees of Government and other corporate bodies

 Bangladesh Bank employees pension
 Army pension
 British pension
 Students’ stipend/scholarship
 Govt. & Non-Govt. teachers’ salary
 Food procurement bill on behalf of the Govt.

Social Services:

 Old age allowances

 Widows, divorcees and destitute women allowances
 Freedom fighters’ allowances
 Rehabilitation allowances for acid survival women
 Maternal allowances for poor women
 Disability allowances

Sale & Encashment/Purchase:

 Savings Certificates
 ICB Unit Certificates
 Prize Bonds
 Wage Earner’s Development Bonds
 US Dollar Premium & Investment Bond
 Lottery tickets of different Semi-Govt. and Autonomous Bodies
 Sanchaypatra
 Public Service Commission’s application form
Misc. Services:

 Bank a/c information of tax payee client according to demand of NBR

 Local Governance Support Project
 Enlist of Non Government Insurance Company

Other Activities:
Memorandum of Understanding (MOU):

A memorandum of understanding has been signed by the bank with Bangladesh Bank on
30.06.2004. The memorandum embodies some specific conditions to be fulfilled regarding
monitoring and supervision of loans and advances including recovery of classified loans.

Risk Management:

Like any other business, risks are also inherent in banking business. But the risks are complex
and multi-dimensional. Although remarkable progress has been made in the field of risk
management in international areas, no structural policy/development in this matter has yet been
made in the banking sector. In this perspective, Bangladesh Bank has identified 5 (five) core
areas relating to banking operations and issued necessary guidelines in 5 areas:

1. Credit risks

2. Asset and liability/balance sheet risks

3. Foreign exchange risks

4. Money laundering risks and

5. Internal control and compliance risks.

Personnel:

The total manpower of the bank as on 30.06.2008 was 23754 of which 12227 were officers and
11527 were staffs.

Training:

Sonali Bank staff college, Dhaka along with three institutes at Chittagong, Rajshahi, Khulna and
one training center at Bogra have been conducting training programs covering total banking
activities in order to impart training to all categories of officers and staff of sonali Bank.

Library:

Sonali Bank central library is replete with a huge collection of books on diverse and multifarious
discipline. The library has also been enriched with the most recently published books on
Banking, Management, Accounting, agriculture, Industrial Finance, Economics, Computer, and
on many other disciplines and its collection is increasing every year.

Customer Service:

To ensure qualified customer service sonali Bank has started in addition to computerization
corporate client service and one stop service. To facilitate the foreign exchange activities Sonali
Bank has launched SWIFT (Society for Worldwide Interbank Finance and Telecommunication)
system in its 12 branches. The bank has launched Website, Reuter service, Internet service, and
Ready cash service. The bank has taken a plan to launch shared ATM system in various
important places.

2.12 ETHICAL PRINCIPLES

Sonali Bank Limited strongly realizes the functions of
investments and savings by playing an intermediary role
between the parties in society that supply funds and
demand funds respectively, also aims the principles of
profitability and productivity stipulates the requirement
that they have to work in accordance with the Ethical
Principles in the professional and organizational fields.
Setting off from the expansion of the banking system,
the improvement of the quality of banking services, the
optimal use of sources, the prevention of the unjustified
competition among the banks, provide services to the
customers with uncompromising integrity, protect privacy
and confidentiality of customer information, prevent
money laundering and fraudulent activities, demonstrate
work place respect, banks are to regulate their relations
not only among themselves but also with the other stake
holders and employees in concordance with the Ethical
Principles.
Ethics is a combination of moral qualities and a collection
of measurements that inquire into the values, norms and
rules which form the essentials of the individual and social
relations established by people from the moral aspect of
right-wrong or good-bad. Sonali Bank Limited deals with
public money where Ethics, Integrity and Trust is the utmost
important. Bank upholds these principles in every aspect
by its Management, Regulatory Compliance and Customer
Services
2.13 Commitment to Clients of Sonali Bank Limited

Sonali Bank Limited Mission Statement is to serve their community by providing ethical and
professional legal services. they are determined to execute this Mission Statement by embracing
an underlying culture of compassion. Below is a list of commitments we seek to provide to each
and every client:

1. To treat you with respect and courtesy.

2. To handle your legal matter competently and diligently, in accordance with the highest
standards of the profession.
3. To exercise independent professional judgment on your behalf.
4. To charge a reasonable fee and to explain in advance how that fee will be computed and
billed.
5. To return telephone calls promptly.
6. To keep you informed and provide you with copies of important papers.
7. To respect your decisions on the objectives to be pursued in your case, as permitted by
law and the rules of professional conduct, including whether or not to settle your case.
8. To work with other participants in the legal system to make our legal system more
accessible and responsive.
9. To preserve the client confidences learned during our lawyer-client relationship.
10. To exhibit the highest degree of ethical conduct in accordance with the Code of
Professional Responsibility.
Chapter Three Theoretical Framework of Sonali Bank Limited

3.1 Introduction
E- Banking activities includes the payments of bills and invoices, transfer of funds from one
account to another, application of a loan, payment of loan installments, sending funds to third
parties. These activities are carried out via emails and internet based activities. E- Banking is an
electronic connection between a particular bank and its customers. It can be used to prepare,
manage and control financial transactions. E- Banking is simply a pathway of carrying out the
transactions through the networks and not a banking product or a banking service.

3.2 Literature Review

E- Banking E- Banking is the fastest growing service that banks can offer in order to gain and
retain new customers (Moody, 2002). The rise of E-Banking is also due to its number of benefits
for both the provider and the customer as well. From the bank’s perspective these are mainly
related to cost savings (Sathye, 1999; Robinson, 2000) and E-Banking remains one of the
cheapest and more efficient delivery channels (see Pikkarainen et al., 2004). Arunachalam and
Sivasubramanian (2007) content that Internet banking is where customer can access his or her
bank account via the Internet using PC or mobile phone and web-browser. Ongkasuwan and
Tantichattanon (2002) defined Internet banking service as banking service that allows customers
to access and perform financial transactions on their bank accounts from their Computers with
Internet connection. On-line, real-time banking services have now become a birth right of the
customer as the customer demands the flexibility of operating an account in any branch of a bank
irrespective of which branch the account was domiciled (Bank Away, 2001). E-service quality
can be explained as an overall customer evaluation about e-service delivery in the marketplace
which is virtual Santos, J. (2003).
3.3 Define Online Banking

Online Banking basically includes all types of banking activities performed through electronic
networks. In recent times E- Banking is used as a delivery channel of banking services to both
Business-to-Business (B2B) and Business-To-Customer (B2C) Transactions.
E- Banking is the fastest growing service that banks can offer in order to gain and retain new
customers (Moody, 2002). The rise of E-Banking is also due to its number of benefits for both
the provider and the customer as well. From the bank’s perspective these are mainly related to
cost savings (Sathye, 1999; Robinson, 2000) and E-Banking remains one of the cheapest and
more efficient delivery channels (see Pikkarainen et al.,2004). Arunachalam and
Sivasubramanian (2007) content that Internet banking is where customer can access his or her
bank account via the Internet using PC or mobile phone and web-browser. Ongkasuwan and
Tantichattanon (2002) defined Internet banking service as banking service that allows customers
to access and perform financial transactions on their bank accounts from their Computers with
Internet connection. On-line, real-time banking services have now become a birth right of the
customer as the customer demands the flexibility of operating an account in any branch of a bank
irrespective of which branch the account was domiciled (Bank Away, 2001). E-service quality
can be explained as an overall customer evaluation about e-service delivery in the marketplace
which is virtual Santos, J. (2003).

Customer Requirement

Customer requirement means the utilities from a products and services wanted by customer
before adopting any product or service (P.Kotler)

3.4 Customer Satisfaction

A satisfied customer will repeat the purchase of the product and convey positive messages about
it to others (Dispensa, 1997; Metawa and Almossawi, 1998). The complex nature of services
coupled with the growing province of the service sector has increased the need for better
customer satisfaction. Banking and financial services are an important part of the service
industry (Mishkin, 2001). Customer satisfaction is typically defined as a post consumption
evaluative judgement concerning a specific product or service (Gunderson, Heide and Olsson,
1996. The most widely accepted conceptualization of the customer satisfaction concept is the
expectancy disconfirmation theory (McQuitty, Finn and Wiley, 2000). According to Saha and
Zhao (2005), customer satisfaction is defined as a collection of outcome of perception,
evaluation and psychological reactions to the consumption experience with a product/service.
In other words, Saha and Zhao further defined customer satisfaction as a result of a cognitive and
affective evaluation where some comparison standard is compared to the actually perceived
performance. If the performance perceived is less than expected, customers will be dissatisfied.
On the other hand, if the perceived performance exceeds expectations, customer will be satisfied.

3.5 Characteristics of online banking

E-banking is poised to fill the void. In today’s competitive world economy there are few
opportunities to make a big difference and many opportunities to make a little difference. Banks
land other financial organizations can easily strive to seize all these opportunities. In the modern
age the whole world has become as a global village and people are getting closure day by day
through information and communication technologies based on digital system. So, modern age is
also termed as digital age. E-banking mainly depends on computer and different types of
information technologies. Now day’s different types of e-banking operations have been
introduced. Transactional websites provide customers with the ability to conduct transactions
through the financial institution’s website by initiating banking transactions or buying products
and services. Banking transactions can range from something as basic as a retail account balance
inquiry to a large business-to- business funds transfer. E-banking services, like those delivered
through other delivery channels, are typically classified based on the type of customer they
support.

3.6 Evaluation of online banking

E-banking is the remote delivery of new and traditional banking products and services through
electronic channels. It allows customers to conduct financial transactions on a secure website
which can be retail or virtual bank. This research sought to provide empirical evidence regarding
satisfaction of customers with e- banking and provide recommendations. It evaluated customer
satisfaction with e-banking service at National Bank of Kenya. The study was guided by the
following specific objectives; investigation of e- banking web design influence on customer
satisfaction in the banking industry; exploration of e-banking customer service influence on
customer satisfaction in the banking industry; assessment of e-banking assurance on customer
satisfaction in the banking industry and examination of preferential treatment of e-banking effect
on customer satisfaction in the banking industry. The theoretical literature review evaluated e-
banking and customer satisfaction based on various authors which sought to evaluate: if the web
design was designed and ensured easy navigation, the layout was attractive and the design
provided links to other sites; in the customer service, if e-banking services provided were
accurate, the hyperlinks were valid, the web page loaded quickly and there was prompt responses
to e-mails; on assurance, if there was security and privacy, confidence to adopt e-banking
services by the customers and feeling of relieve by customers to transact; on preferential
treatment, if the customer had a feeling of status using the e-banking service and the customer
was offered preferential rates on e-banking. In addition, some of the theories of customer
satisfaction were evaluated which are; the contrast theory, assimilation theory and
disconfirmation theory. The intervening variables of e-banking towards customer satisfaction
were evaluated which are: network access which entails if the network strong or weak, is the
backup network compatible; the government policy in terms cybercrime laws and the various
taxes charged on the e-banking services. In addition, the concept of customer satisfaction and the
entailment of e-banking were evaluated. The study sought to establish if the customer was
satisfied with e-banking. To achieve the objectives the disconfirmation theory of customer
satisfaction was used. A descriptive research design was used to provide reliable and adequate
data analysis. The researcher used primary as well as secondary source data. A face and content
validity was carried out in addition to the reliability test of the questionnaires. An in depth
analysis of data was done by use of SPSS version 20.0 which was be used to establish
frequencies, means, standard deviation, multiple regression and standard error mean in
measuring of factors of customer satisfaction employed. Ethical issues were taken into
consideration by the researcher when dealing with the institution and respondents. The findings
were presented in Tables and illustrated in Figures and interpreted in sections focusing on each
of the research. The study was meant to help the bank in strategizing new ways in coping with
the rapid changing technology so as to survive in the current market which has attracted many
competitors. From the study it was found that more customers were satisfied with most
dimensions of e-banking service in NBK. Assurance was the highest priority of the customers in
engaging in online transaction of e-banking. The study also found that, collectively e-banking
factors adopted by the researcher predicted Overall customer satisfaction in the e-banking service

3.7 Importance of online banking

Security Assured

Since online banking is one of the major services offered by banks, it is also a highly secure
platform. Banks generally use encryption devices to ensure that all client information is protected
and there is no security breach. It ultimately provides you security from online frauds and
account hacking.

Access: No Problem

Even if it is the last day of your bill payment and you are minutes away from being levied a
penalty, you can rely on online banking. Online transactions can be performed anytime of the
day from the convenience of your home. Not just that, instead of being physically present for
huge amount of transactions, you can safely transfer funds at any time, completely hassle-free.

No Hidden Fees

Despite the convenience being provided, there are no hidden fees associated with making online
transactions. All you are charged is a nominal transaction convenience and the rest is managed
by your bank.

Convenience Guaranteed

While easy access is one of the many benefits of online banking, it also makes banking highly
convenient. The need of waiting in long queues at the bank is completely eliminated. Moreover,
with mobile banking option available for most banks, transfers and payments have become
easier. Transactions can be completed on the go, whether you are stuck in a traffic jam or in the
midst of work. This makes it even easier to check your balance before making cashless purchases
to avoid embarrassment if your account doesn’t have the balance to purchase everything on your
shopping list.
Monitor Our Accounts Closely

Lastly, budgeting and managing your account is made simpler when you have access to e-
banking and a good budgeting application at your fingertips. Real time expenses can be
monitored while making purchases or estimating your monthly savings and expenses.

With all these benefits and many more adding to the list, it is difficult to opt out of using
facilities like online banking for smoother banking transactions.
Chapter Four An Overview of Online Banking

4.1 Internet
The internet is the network of networks. It is a global system of interconnected computer
networks that uses the standard internet protocol suite (Transmission Control Protocol/Internet
Protocol) or (TCP/IP). The internet consists of billions of public, private, academic, business and
government networks ranging from a local to a global scope. These networks are linked by a
broad range of electronic, wireless and optical networking technologies. The internet has become
a necessity in every field. The importance of internet has reached to a new level as it carries
inter-linked Hypertext documents of the World Wide Web and a wide range of important
information resources and sources. The internet not only has helped many professionals in their
respective fields by disseminating and sharing information but has also reshaped the traditional
communications of telephone, music, television etc. E-mail or electronic mail has helped
business and individuals to communicate in a much cheaper way. Instant messaging has made
communications much easier than e-mails. Users can exchange messages using their Personal
Computers, laptops, PDA, Tabs , mobile phones etc in real time. The website technology has
allowed users to read news , books or other information which is accessible via a network. A
web page is a document usually written in plain text. However a web page is interspersed with
formatting instructions of Hypertext Mark Up Language (HTML) or (XHTML). The pages of a
website can be accessed from a simple Uniform Resource Locator called the web address. The
website Technology has allowed blogging and web feeds. Social Networking has increased
human interactions more than ever before. The internet has also users who are located in distant
places to talk via the VOIP or Voice over Internet Protocol. Millions of users of the internet talk
or chat with each other using the internet technologies. The internet has helped doctors to carry
out distant operation via teleconferencing or using instructions on a robot through the internet to
carry out a operation surgery on a patient on the other side of the world. E-COMMERCE and
online shopping has enabled the formations of new business .Any one can trade using the
website of an e-commerce website by sitting at home. Businesses of many types use the internet
to reach their customers most effectively. Both (B2B) Business to Business transactions and
(B2C) Business –To-Customer transactions are carried out using the internet. Financial
Institutions also use the internet for various purposes for updated news, selling financial products
to their clients and to provide financial Services. The increasing use of Internet by people has
convinced banks to come up with the idea of E- Banking or E- Banking.
4.2 The History of Online Banking
The idea of E- Banking came with the rise of users of the internet and with the development of
the World Wide Web. The programmers have been working on data bases of banking
transactions long ago and an idea of E- Banking transactions had evolved at that time in the early
1980’s. New technologies and the advancement of computer devices created an opportunity to
start a new trend of online shopping. Online Shopping or shopping from the website using the
internet promoted the use of credit cards. To facilitate online shopping date ware housing or date
storage facilities were used. During the development of the Automatic Teller Machines or ATMs
the development of the databases of banking transactions were also used. In the 1980’s the
financial organizations and banking institutions mainly in Europe and the United States of
America carried out researches and programming experiments on “Home Banking” . At that
point of time Home Banking was carried out using the telephones and fax machines. This was
done because the internet was not widely spread and many people were not aware of such
facilities. The wide spread of the internet and the advancement of programming technologies
created new opportunities for banks.

The first E- Banking service was introduced in the United Kingdom by the Nottingham Building
Society (NBS). The E- Banking Facility that was introduced is believed to have been derived
from a system which is known as “Prestel”. The E- Banking facility introduced by the NBS was
not very impressive and had drawbacks. The main drawback was it restricted the number of
transactions and functions that account holders could execute. In the year 1994 the first E-
Banking service was introduced in the United States. A financial Institution named Stanford
Federal Credit Union had developed this service of E- Banking. There are many negative sides of
E- Banking .These include a hacking , phishing , pharming, spoofing , sniffing and other
unethical acts which makes E- Banking facilities risky for both the users and the banks .
Although E- Banking has negative sides but we should also consider the positive sides. E-
Banking has created a revolution and it has a significant role to play in enhancing the banking
sector.
4.3 Products and Services of E- Banking
The products and services of E- Banking ranges from wholesale to retail products for corporate
and individual customers. The different types of products and services are designed to satisfy
different groups of customers.

Wholesale products and Services include:

 Wire Transfer

 Automated Clearinghouse Transaction

 Bill Presentation and payment

 Cash Management

Retail Products and Services Include:

 Fund Transfer
 Downloading Transaction Information Facility
 Investment
 Presentation of Bill and Payment
 Loan Application from the web
 Balance Inquiry

4.4 Types of Online Banking

Informational: This is the most fundamental level of banking. This type of E- Banking does not
allow its customers to view or maintain their accounts. It also does not allow its customer and the
bank to communicate with each other. Rather it provides valuable information of its products and
services. This is used for marketing purposes only and can be provided either by the bank or it
can be outsourced to a third party. Appropriate controlling is required to prevent unauthorized
alterations to the bank’s server or website.

Communicative: At this particular level the E- Banking allows interactions between the bank’s
systems and the customers to an extent. It is limited to basic interactions such as inquiry of
accounts, loan applications, or updates of certain files (such as contact information). The risk is
high at this level as the servers may have a path to the bank’s internal networks. To prevent any
unauthorized attempt to access to the bank’s internal internet appropriate controls are required.
Transactional: This is the most popular type of E- Banking and allows all the benefits of
traditional manual banking. This can allow its users to fully control their accounts. This includes
deposits, payments, withdrawals, transfer of funds etc. However very strong controlling is
required as the risks associated with unethical practices are the highest at this level. Proper
security measures are required to make E- Banking facilities useful and convenient in the market
place.

4.5 The Risk Management of E- Banking

With the rise of internet and new technologies new threats have arisen. New challenges are
created for the banks senior management. The different types of risk of E- Banking are as
follows:

Credit Risk: E- Banking allows its users to apply for credit from anywhere around the world.
There is a risk to earnings or capital from a customer who has failed to meet his/her financial
obligations. It is difficult for banks to identify the identity of a customer. The bank will also find
difficult to verify the collateral against a particular loan. An individual can also represent
himself/herself as someone else and apply for a loan.

Interest Rate Risk: One of the risks of E- Banking is the risk to earnings or capital arising from
movements in interest rates. E- Banking can attract a large pool of deposits and loans.
Theinternet can allow customers to compare interest rates of different banks from the websites.
This puts a pressure on the interest rates. Often the bank needs to react with the changes of
interest rates in the market place. The interest rates can change due to the changes in maturities
of different investments, due the changing rate among different yields. The differences between
the timing of rate changes and the timing of the different cash flows can also affect the interest
risk.
Liquidity Risk: Sometimes banks face a difficulty of failing to meet its obligations. E- Banking
increases asset and deposit volatility. Some customers simply maintain their deposit accounts
solely on the basis of favorable interest rates, and they often bring cash out and deposit in other
banks if a more favorable rate is offered. In order to avoid such circumstances proper asset /
liability and loan management systems should be used.

Price Risk: One of the risks to earnings or capital arising from changes in the value of traded
portfolios of financial instruments is price risk. This is a risk which arises from activities such as
dealing, position taking in interest rate, foreign exchange, equity and commodity markets. Banks
are vulnerable to price risks if they create or expand the current deposit brokering, loan sales or
securitization programs. All of these activities can create price risks for the banks if they carry
out E- Banking activities.

Foreign Exchange Risks: This risk which arises when the assets of one currency are funded by
liabilities in another currency. Social, political an Economic development can intensify foreign
exchange risks. Customers of different countries can take speculative positions using the E-
Banking. The lower costs of transactions allow them to get involved in such activities.
Sometimes banks have higher holding transactions and investments in foreign currencies. This
increases the foreign exchange risks.

Transactions risk: This risk to earnings and capital that arises from fraud, error, and the
inability to deliver services or products, or to maintain a competitive position or to manage
information. Transaction risk that may exist with E- Banking products if these are not properly
planned not properly implemented and not properly monitored. Banks which provide E- Banking
should always try to meet their customers’ expectations and satisfy them by ensuring them that
they have the right product mix and also have the capability to deliver accurate, timely and
reliable services .

Compliance Risk: The risks to earnings or capital that arises from the violations of , Non
conformance with the laws, rules, regulations , the prescribed practices an ethical standards of a
country. This risk can affect the reputation of a bank, business opportunities and positioning in
the minds of its customers. Banks should be careful in understanding and interpreting the laws of
different countries. Banks should also be careful in the privacy of customer and taking customer
consent wherever necessary.

Reputation Risk: This risks that has a current and prospective impact on earnings and capital
that arises from a negative public opinion. Reputational risk can affect the bank’s ability to create
new relationships with potential customers and to retain existing ones. Banks which have E-
Banking facilities should be concerned about the reputation risk as it can create a financial loss
for the bank diminish its customer base etc. The services of E- Banking should not have a limited
availability, poor response rate etc. Proper monitoring of the websites are required so that
hyperlinks of the website do not like to implicit endorsements of other websites. These factors
should be put into considerations as customers are likely to switch to other companies if they
find flaws in the E- Banking facilities of a particular bank.

Strategic Risk: This is risk of earnings or capital that arises from adequate business decisions
and the improper implementation of business decisions. Many bank managers and senior officers
do not understand how to implement the strategic and technical aspects of E- Banking. A proper
cost benefit analysis is required for this purpose. The organization should have the proper
structure, resources and expertise to carry out E- Banking.

Information Security Risk: One of the major risks to earnings and capital is information
security risk. This arises when the security process is not strong enough. This can expose the
institution to malicious hacker or insider attacks, viruses and other attacks. Data theft, fraud are
other unethical practices.
Chapter Five Online Banking in Bangladesh

5.1 Online Banking

E- Banking is transforming the financial services industry through various impossible
innovations. The quantity of cross-border trading and other financial activities is increasing
geometrically make possible by technology. It has been made possible by technology,
particularly information technology to generate, collect and process information about bank
operation and bank customers efficiently and effectively. It provides the ability to create more
effective systems of controls in individual institutions and in the market themselves. Compared
to the paper based operation, Electronic Banking Systems, in its most proficient form, offer
instant verification and transfer and reduces the flow of costly paper in the record keeping
process. Application of technology in banking offer opportunity for reduction of both paper and
people. Banks have developed EBS for three main reasons (Horseman, Michael J. 1979)

To protect and increase market share

To reduce operating cost by substituting physical capital and technology for labor
To generate new revenue

E- Banking allow banks to expand their markets for traditional deposit taking and credit
extension activities, and to offer new products and services or strengthen their competitive
position in offering existing payment services. In addition, electronic banking could reduce
operating costs for banks. More broadly, the continued development of electronic banking and
electronic money may contribute to improving the efficiency of the banking and payment system
and to reducing the cost of retail transactions nationally and internationally. Although many
financial instrument and systems are now considered as “Electronic Banking” came into the
terminology of the financial world in the late 1980s, with the possibility of emergence of true
electronic money. All sorts of back-office information management technology and financial
services using electronic devices can be included into the term “Electronic Banking”. The
development in information technology has contributed positively to economic growth through
several channels. ICT has led to a productivity growth through the impact on activity processes.
Banks have been increasing the ir own size and financial strength and expanding the scope of
their products lines to meet the growing demand of on- line real-time financial services.
5.2 Structure of online banking
E-banking is a general term referring to various computer-based technologies for delivering
banking services. Electronic banking systems can be divided into two categories by the
functional characteristics, viz. back-office electronic banking, and electronic financial
instruments or front-office electronic services. Back-office electronic banking provides
information management services, and quick fund transfer facilities both for traditional banking
and financial instruments and electronic financial instruments. Science inception of primary
forms of electronic banking it has been passed through a comprehensive evolution process.

5.3 The common features of online banking in Bangladesh

The common features of online banking in Bangladesh are as follows:

Electronic banking idea developed in Bangladesh since 1992 through several multinational
banks. But most of the local and foreign banks are maintained electronic banking in their all
branches. Here the researcher fined some common features of electronic banking in Bangladesh.

 24- hours cash deposit & withdrawal facility

 Quick cash withdrawal without having queue
 Account activities enquiry in any moment
 Statement request through ATM/Debit/Credit Card
 Transfer own funds to other account number in same bank
 Present Balance enquiry
 More than16- hours shopping facilities
 Deposit or Mail cash or cheque(s) (Cross cheque) through mechanical device.
 Changing Personal Identity Number
 Cash deposit which will originally deposit very next day of deposit that means do not
need to go to the branch for every occasion.
 Mini statement which contain 8-10 previous transaction records Can able to pay utilities
bill
 Withdraw money by using VISA, PLUS, MASTER, MAESTRO and other credit card
 Withdraw money from dollar account which gives taka by converting foreign Currency.
Chapter Six Online Banking Services of Sonali Bank Limited

6.1 General Online banking services

Branch Computerization:

1175 branches are on live operation. Out of 1202 branches at home, 1181 branches have already
been entered in the automation network.

Foreign Remittance:

Bank's own in-house software "Remittance Management System" (RMS+), having, among
others, the feature of paying foreign remittance instantly over the counter is being implemented
at all branches. This web based software provides digital services to the expatriates through its
unique advantage of sending confirmation message to the mobile phone of the
remitter/beneficiary.

ATM

Sonali Bank Limited is a member of Q-Cash ATM network. At present the bank has 53 ATM
booths. Sonali Bank's ATM cardholders enjoy the access to the ATMs and POS of Dutch Bangla
Bank Ltd. and Brac Bank Ltd. besides those of Q-Cash consortium. Sonali Bank recently
launched Credit Card.

Online and SMS Banking:

At present 109 branches of Sonali Banks are included in the Online Any Branch Banking (ABB)
network. SMS Banking service is runnig in 73 branches. The bank is seriously working on
connecting all branches in the Real-time E- Banking network gradually. Branches having ABB
facility are also rendering SMS banking services.
6.2 Features of SBL Q-Cash ATM Network

 Sonali Bank Limited has introduced Proprietary Debit & Credit cards.
 Card holder can easily pay utility bills like- Water, Telephone, Gas etc.
 It is easy to remit funds among the participating branches of the Bank.
 24 hours Transactions is available.
 It is a risk less Cash carrying facility.
 Cashless purchase can be made from specific Point of Sales (POS).
 Only designed Branches of Bangladesh deal Q-Cash cards.
 Branches of District and Upazilla level will introduce Sonali Bank Q-Cash card within
shortest possible time.

6.3 Debit/Credit Card services

Sonali Debit Card Facilities:

Sonali Bank Limited is one of the member bank of Q-Cash Consortium. Card holder of Sonali
Bank Limited can use ATMs of consortium member banks, Dutch-Bangla bank and BRAC bank
limited. Member Banks of Q-Cash Consortium:

 Sonali Bank Limited

 Basic Bank Limited
 IFIC Bank Limited
 Janata Bank Limited
 National Bank Limited
 Pubali Bank Limited
 Trust Bank Limited
 ICB Islamic Bank Limited
 Social Islamic Bank Limited
 Bangladesh Commerce Bank Limited
 State Bank of India
 Eastern Bank Limited
 Jamuna Bank Limited
 Markentile Bank Limited
 Uttara Bank Limited
 Bank Asia Limited
 Mutual Trust Bank Limited
Sonali Credit Card Facilities:

Sonali Bank Limited has introduced proprietary credit card. At present officers of the bank are
entitled to enjoy credit card facility. Other than this, officer of Government, Semi-Government,
Autonomous organizations, Teachers and Officers of the Government Universities are also \
entitled for Sonali Credit card whose salary is disbursed from issuing branches of Sonali Bank
Limited.
 Chapter Seven Analysis & Findings

7.1 Analysis & Findings of online banking customers satisfaction

Findings are based on the following questions: these are categorized as

Services used by customer
Why do you use E- banking?
Which E-banking service is most user friendly to you?
How often you use E-Banking per week?

Development needed for future

Mobile application should be developed to provide online banking
Each online branch should keep computers in branch office for those who do not use android
mobile
E-banking customer care service should be initiated for instant help

Factors of consideration
I.Better rates & low service charges:
Security of transaction:
Quick service (transaction completed in seconds instead of minutes) :
Convenience:
VI.User friendliness:
Level of satisfaction
E- Banking services are satisfactory to you?
By analyzing the above questions I find the following things:

Category A:
45% respondents said they use E-banking services for regular transaction. 25% said they use
service for the purpose of deposit and rest 30% use e banking services for the purpose of
withdrawal.
 People use Online banking for
45%

30%
25%

0 0
regular transaction deposit bill & tax withdrawal e tender

65% respondents’ marked ATM service is the most users friendly to them. 25% thinks online
banking is the most used friendly and 10% filled sms banking.

65%

25%

10%

online Banking Sms banking ATM service others

40% use e-banking services 1-3 times per week. 25% respondents use 4-6 times a week. 25%
use every day and rest 10% use 7-9 times per week.
Category B:

1. 80% respondents want bank should develop smartphone mobile application.

Mobile Application
0%

20%
agree
neutral
disagree

80%

2. 80% respondents want bank should keep separate computers for online banking users.

separate computer
disagree

neutral

agree

29
 80% user thinks that bank should open a 24 hours instant customer care support facility
especially for e banking user.

24 hours customer care service

0%

20%

agree
neutral
disagree
80%

Category C:

90% wants better rates and low service charges for using e banking services. 10%
respondents find no problem with existing rates and charges.

There is no doubt that all the respondents marked that they want perfect security.

90% respondents want to get services very quickly.

80% people want variety of features.

65% wants convenience of services. 30% respondent s are neutral at this question.

85% people want user friendly services.

100%
90%
80%
70%
60%
50%
40%
30% not important
20%
neutral
10%
0% Important
Category D:

30% people are satisfied with existing e-banking services. 35% respondents are neutral at this
question. But the rest 35% are dissatisfied with the services provided by Sonali Bank BUET
branch.

Satisfied, 30%
dissatisfied , 35%

neutral, 35%
 Chapter Eight Problems

8.1 Problems of Online Banking

Sonali Bank Limited faces few problems with ATM:

 ATM booths are not always UP

 ATM’s fall short of money.
 Booths are in open place
 Booths are Not Available in all places
 No Bangla Interface for mass people
 No voice commanding option for blind people.
 Not available to restaurants and shopping center
 Transaction Limit

Problems relating to Branch Computerization:

 Server fails for long time

 New software named CBS (core Banking Software) is now running for few months.
 So if someone needs the statement or any data related to transaction more than 4 moths
then the
 previous software named Baxibank is needed.
 Electronic token system is not in used.
 Computers are not up to date.

Problems relating to SMS and Online Banking:

 SMS banking is not or rarely used.

 SMS service is not available
 Online Banking may have the risk of password fraudulent.
 Online security is not as much powerful as the size of bank
Problems relating to Q cash network:

 This service is not available

 Only designed braches deal with Q cash cards.
 Most of Customers of SBL don’t know about this service because of poor publicity.
 Chapter Nine Suggestions and Conclusion

9.1 Suggestions

To overcome the problem I would like to suggest the following things:

 Bank should establish more ATM booths

 ATM booths should have enough money

 Bangla interface should be introduced as soon as possible.

 Branch office should not be connected with local broadband service. In this case I
suggest that the branches should use BTCL internet service.

 SMS banking needs more development. Revival of this service is the demand of time.
Head office should think about to develop Smartphone mobile application for providing
better services.

 E-banking services should try to mobilize more deposit schemes through better marketing

 and innovative measures.

 E-banking system should be more flexible.

 All the statement relating to transaction should provide in the CBS software.

 E banking should develop their communication among branches.

 E-banking service should be according to the customer expectation and satisfaction. E-

banking service should be resolve the entire problems very quickly that the customer face
in online transaction.

 Marketing and sales force should be developed to attract customer.

9.2 Conclusion

The study clearly indicates that those who use E-banking features of Sonali Bank are not very
satisfied with the service. If the bank plans to expand the customer base of E-banking they
should focus more on speed, user friendliness, and safety and convenience, quick response
factors of E-banking. Proper web-hosting is required for this reason. Customers should also be
made aware of unethical practices like sniffing, spoofing, phishing, pharming and other
malicious software which can be used by hackers. Attention should also be given in the
encryption of the information which is exchanged between the users and the bank. So the study
is very beneficial for both Sonali bank and Bangladesh to get insights about E-banking relations
with customer satisfaction
References

https://www.sonalibank.com.bd/
35