INTERNET Banking Introduction 0 Core Banking—-Meaning 1 Elements of Core Banking 0 Features of Core Banking (0 Advantages of Core Banking INTRODUCTION : CORE BANKING Core banking is a banking service offered by a group of networked bank branches. Under core barking, the bank account may be accessed by the customer from any of the member branch office and can perform basic transactions. Core banking is generally associated with retail banking. Many commercial banks consider their retail clients as their core banking clients. Core banking performs basic activities like depositing and lending of money. Different types of banking functions such as transaction accounts, loans, mortgages ancl payments makluded in general core banking. Banks make these services available to their customers across utp channels like ATMs, Internet banking, mobile banking and branches. Cov banking services ’8y depend upon computer and network technology to allow a bank to centralise 1 record doy and allow access from any location. It has been the development of banking software has ‘i “ore banking solutions to be developed. enc 7 y tenga’ Coe banking became possible with the ad “By that allowed information to be shared between vent of computer and telecommunication ciently. ‘bank branches quickly and effi Scanned with OKEN Scanner16.2 Cone BANKING-MEANING ne achange” Primary mag Core Banking stands for “Centsalsed Ot atised data centres. It means thy thay branches of banks could access applications on the bank's Servers and the a a made by customer has been reflect fot he bank’ branches. Hence, a core banking ont ay withdraw the deposited money from ing transactions. tem we software used to support the most comms ELEMENTS OF CORE BANKING The elements of core banking include : ( Making and servicing loans ; (ii) Opening new bank accounts; ; (iii) Processing of Cash deposits and with drawals ; (iv) Processing of payments and cheques ; (v) Calculation of interest ; ee (vi) Customer relationship management (CRM) activities ; (vii) Managing the customer accounts ; ; (viii) Establishing criteria for minimum balances, interest rates, number of withdrawal alloy and so on ; (ix) Establishing interest rates ; (x) Maintaining records for all the transactions of bank. FEATURES OF CORE BANKING . Following are the distinctive features of core banking (1) Parametrised Operations can be performed. (2) Scroll based browser screen. (3) Multilingual Operations are possible by core banking. (4) Information and operations of daily receivable and payable. (5) Customer ID concept can be implemented. (6) Core banking facilitates in Data Export Facility. (7) Ithelps in auto generations of all kinds of charges. (8) It ensures consistent and quick access through normalised data structure. (9) It provides user level based security. (10) It can be used for user conti inti eae configurable printing ie. Demand Draft, Fixed Deposit Receipts, Ps 11) Single wi i (11) Single window operation can be performed through core bankin (12) It provides maximum operations and i : ; and information on Hot Keys. (13) Core banking offers parameterized Teller, Offic; 7 ler, Officiating clerk Transaction. Scanned with OKEN Scannerransactions are available though modem of medi bills (Bank Guarantee and Pay orders) ia. are ote system for ent i i documents received or Pending messa; ) Ser So 0 pening ¢ unt oP™ Ee 7 ing offers the facility of user wise Reminder Bie While transaction on account. ; ; ing. . ing instructions of any period and effect are Possible, 8 gs of Management Information System, RBI R ; o Bement can be prepared. chums, Sta sles secured and authorised signature operations sens . ip provides User configurable Trail Balance and Profit and Loss Account ount with multiple @ formats ‘Auto logo actions set is scrolled only when debit sransfer Trans e n ly when debit and credi chi ‘Mporizing te transactions officer has to enter amount irom ihe pote Bee eee on cor panking facilitates auto import of inward clearing, ; 7) Customer P! (6) Itensures auto service tax transactions. vile transacting @ loan account status regarding overdue/overdraft Fenewal, Stock Statement will automaticaly appear on thescreen, ciate i available, tutory Report, OSS, CRAR éf when no key pressed. hoto and sign can be directly captured. (a NPA calculations. (@) Clearance of outward clearing cheques. (0) TDS, enquiry, TDS Applicability for individual customer and TDS Intimation letter to customer can be provided through core banking. \ANTAGES OF CORE BANKING Following are the main advantages of Core Banking : 1. Limited Professional manpower to be used more efficiently and effectively through core banking. 2. Core banking allows anywhere, more convenient and easier banking to customer: 3. The facilities of ATM, Internet Banking, Mobile Banking, Payment Gateways, Referral Business can be offered through core banking. 4 Core banking provides a more strong and economic system. 5, ; ; Core banking helps to reduce the branch manpower. * Trensures additional manpower available for other activ! and personalised banking. C ; PROT Ey ‘ebanking provides quick information availability for t + iF licies. {rsures instant and accurate implementation of bank Pole al method of management information ties such as marketing, recovery decision support. Scanned with OKEN ScannerTove the recovery Process causing reduction in recovery | 16.4 9. Core banking helps to iP and NPA provisions. roved processes © 10. Innovative, redefined or imp) ; reduction in software maintenance al using reduction in manpower requi, ‘Branch and Head office. MiteMe, Jack up- It results in eduction in ayy at Head office, ; 11. Core banking facilitates in centralised printing and bi ce and revenue expenditure on printing and back up devices: te 12. Core banking ensures increased speed in working resulting is enlarge esas, trction in penalties, legal expense etc. due to delay. opportunities and red LONG ANSWER QUESTIONS features of Core banking. 1. Define Core Banking. Discuss the main 7 Explain the advantages of core banking, 2. What are the main elements of core banking inking. 3. Describe the elements and features of Core bat Giiean aes 4. Define Core Banking. 2. Explain elements of core banking. 900 Scanned with OKEN Scanner