Analysis Of Customer Awareness Towards Cybercrimes In Banking Sector

Nisha V1, Soumya Paul2

1,2
Assistant Professor, St.Tersa's Arts And Science College Mala

Abstract:

Economy is one of the pillars which defines about the progress and growth of a nation.
Banking sector is considered as the backbone of the economy for our day-to- day
transactions we enter into monetary transactions in the form of cash payments, cheques or
demand drafts. However, this trend has paved the way to a modern system of payment in
the form of swiping of debit cards or credit cards. On the recommendation of the
Committee on Financial System (Narasimhan Committee) 1991-1998, information and
technology in banking sector was used. Web technology has emerged as an integral and
indispensable part of the Indian Banking sector. The enlargement of non-cash based
transactions around the globe has resulted in the steady development of robust online
payment systems. This research attempts to analyze the concerns of cyber threats to the
banking sector by highlighting the underlying modus operandi. There is a need to
identify, study and analyze the loopholes existing in the Indian Banking Sector in order to
curb the fraudulent activities and to be able to take corrective actions, thereby enhancing
the security measures of this sector. It also studies the customer awareness towards
cybercrime. The study is limited to the banking sector only, all aspects, points and
measures covered under the study are relevant and restricted to the banking sector and
does not exceed beyond that.

Keywords: Customers, Awareness Level, Cybercrime, Banking Sector

Introduction:

Banking sector has witnessed expansion of its services and strives to provide better customer
facility through technology but cyber-crime remains an issue. Information which is available
online is highly susceptible to be attacked by cyber criminals. Cyber-crimes result in huge
monetary losses which are incurred not only by the customer but by the banks also which affects
economy of a nation. Non-monetary cyber-crime occurs when viruses are created and distributed
on other computers or confidential business information is posted on Internet. The most common
of it is phishing and pharming.
Cybercrime or computer oriented crime is the crime that involves a computer. The computer
may have been used in the commission of a crime or it may be the target. As the technology
developed the services of our bank is available 365 days and 24 hours. As cybercrimes continue
to plague businesses it is the banks that are under the greatest scrutiny from the increasing
threat. When it comes to cybercrime financial institution is the golden egg for criminal hackers.

The research “a study to analyze the customer awareness towards cybercrime in banking sector
with special reference to mala” is conducted in order to understand the level of awareness of
customers and to understand how it psychologically affects the victims of crime. As the crime
rate is on an increasing trend

STATEMENT OF THE PROBLEM

Cybercrime is a growing threat in the virtual world because individuals and organizations are
relying more on internet at an increasing rate. The use of internet and other technologies have
enhanced the risk of attack from cyber criminals across the globe. With the number of incidents
of theft, phishing, computer viruses, hacking, on the rise, there is a need to explore the
cybercrime scenario.

Although, with the advantages of technologies, the banking sector has been able to reach more
customers however, it has also enhanced the risk for customers who often feel reluctant and
insecure in opting for such services.

There is a need for the banks to evaluate their current operating practices. In this paper,
the research makes an attempt to study the cybercrime awareness of customers and to suggest
solutions to prevent crime.

Review Of Literature:

Lakshmanan (2019) has done a study exclusively focused on cybercrime and found that
cybercrime activities will be rising in the upcoming days and there is no full stop for that

Ms. Neeta, Dr. V.K Baksh (2019) has jointly published a research article on cybercrimes in
banking sector and suggestd that cyber-attacks should be prevented by at adhering strict
compliance of law.

H.Singh Rao (2019) did a study to analyse cybercrimes in banking sector.the study highlighted
the fact that India stands third among top 20 cybercrime victims.

Dr. Archana Singh (2018) always keep a watch on the sites that your children are accessing to
prevent any kind of harassment or depravation in children. It is better to use a security
programme that gives control over the cookies and send information back to the site as leaving
the cookies unguarded might prove fatal. Web site owners should watch traffic and check any
irregularity on the site. Putting host-based intrusion detection devices on servers may do this. It
is important to discuss and evaluate the effects of various information security awareness
delivery methods used in improving end-users’ information security awareness and behavior.

Pooja Akulwar (2018) Cybercrime is not escapable and is highly linked with different parts of
criminal environment. As there is vast use of internet users, abusage of technology is increasing
which leads to cybercrime. Cybercrime is basically illegal act which leads to criminal activity.
Cyber security is a mechanism by which computer data and equipment are protected from
unauthorized access. This paper is mainly focused on cybercrime and its impact on society. It
also describes cybercrime forms, causes and cyber security concept in detail.

Harmand Singh and Gulshan Kumar (2018) The increasing popularity of the Internet has
given a sharp rise to the digital world which constitutes very large volume of information and
data stored on the cyberspace. With the increase in cyberspace, the cyber attacks/cybercrimes are
also increasing in numbers and their effect is also growing bigger. The existing security
techniques are not enough to protect the current Internet system and its resources. Some new
types of security techniques are required to defend the cyber space from cybercrimes that can
never be cracked or require years to crack down, which are cost-effective and can defend against
all types of cybercrimes.

Objectives:

 To analyze the customer awareness towards cybercrime in banking sector

 To find the impact of cybercrime on the psychological behavior of customers

Research Methodology:

The research design adopted here is descriptive research. Descriptive studies, as name implies,
are the ones designed to describe something. Also this study attempts to obtain a complete and
accurate description of a situation. Population of study includes people who got affected by
cybercrime in banking sector in mala. In this study researcher used non probability sampling.
Convenient sampling was used in selecting respondents from the sample frame. It is a method of
obtaining sample that is most conveniently available to the researcher. Sample size refers to the
numbers of respondents researcher have selected for the survey. In this study the sample size is
take as 50. Both primary and secondary data are used for this study. Primary data are collected
through questionnaire. For collecting primary data, a structured questionnaire was prepared and
distributed among sample of respondents. Secondary data are collected through journals. The
collected data were tabulated and analysed with the help of statistical tools like percentage
analysis. Analysed data were presented with the help of pie charts.

Data Analysis And Interpretation:

TABLE 1 AWARENESS OF CYBERCRIMES

Particulars No. of respondents Percentage

Yes 50 100

No 0 0

Total 50 100

(source: primary data)

INTERPRETATION

Table 1 shows awareness of cybercrimes. out of 50 respondent 100% is yes.

TABLE 2 CYBERCRIMES AFFECT PSYCHOLOGICAL BEHAVIOUR

Particulars No .of respondents Percentage

Yes 50 100

No 0 0

Total 50 100

(source: primary data)

INTERPRETATION
Table 2 shows cybercrimes affect psychological behaviour respondents. out of 50
respondent,100% is yes.

TABLE 3 CURRENT CYBERCRIME TREND

Particulers No.of respondents Percentage

Huge growth of fraud & theft 27 54

Shift to online spending and 23 46

communication

Total 50 100

(source: primary data)

INTERPRETATION

Table 3 shows the current cybercrime trend in banking sector. Out of 50 respondents 54% is
huge growth of fraud and theft,46%is shift to online spending and communication.

TABLE 4 REASON FOR THE INCREASING TREND IN CYBERCRIME

Particulars No .of respondents Percentage

Ransomeware attack 16 32

Cyber activism 15 30

Mobile malware 11 22

Increase in BES attack 8 16

Total 50 100

(source: primary data)

INTERPRETATION

Table 4 shows the reasons for the increasing trend in cybercrimes. Out of 50 respondents 32% is
ransomeware attacks,30% is cyberactivism,22% is mobile malware,16% is increase in BES
attacks.

TABLE 5 METHODS TO PREVENT CYBERCRIMES IN BANKING SECTOR

 Particulars No .of respondents Percentage

Rigid law enforcement 23 46

Cyber fraud council in 14 28

banks

Education to customers 13 26

Others 0 0

Total 50 100

(Source: primary data)

FIGURE 1 METHODS TO PREVENT CYBERCRIMES IN BANKING SECTOR

26%

Rigid law enforcement

46%
Cyber fraud council in banks
Education to customers
Others

28%

INTERPRETATION

Table 5 shows that methods to prevent cybercrimes in banking sector.Out of 50 respondents 46%
is rigid law enforcement,28% is cyber fraud council in banks,26% is education to customers,0%
is others.
TABLE 6 SATISFIED WITH EXISTING CYBER LAWS

Particulars No. of respondents Percentage

Yes 50 100%

No 0 0

Total 50 100%

(Source:primary data)

INTERPRETATION

Table 6 shows that satisfied with the existing cyber law respondents. Out of 50
respondents.100% is yes.

TABLE 7 QUALITY OF GRIEVENCE REDRESSAL

Particulars No. of respondents Percentage

Very good 7 14

Good 23 46

Average 10 28

Poor 5 10

Very poor 1 2

Total 50 100

(Source: primary data)

FIGURE 2 QUALITY OF GRIVENCE REDRESSAL

 2%

10% 14%

Very good
Good
Average
28% Poor
Very poor

46%

INTERPRETATION

Table 7 shows that quality of grivence redressal. Out of 50 respondents 14% is very good,46% is
good,28% is average,10% is poor,2%is very poor.

Findings:

 50% of the respondent in the study was males

 14% of the respondents earning income10000

 28% of respondents 15 to 23 age group

 38% of respondents are self employs

 Out of total respondents 100% of response they are awareness of cyber crime

 Out of total respondents 100% of response are cybercrime affect psychological behavior

 26% of respondents in the study felt anxiety and none after affected by cybercrime

 54% of respondents in the study the current cyber crime trend is huge growth of fraud
and theft

 32% of respondents in the study ramsomeware attack is the increasing trend in

 cybercrime

 54% of respondents agree that amendments are required in cyber laws

 46% of respondents rigid law enforcement is the method to prevent cybercrime in

banking sector

 100% of respondents agreed that banks prevent cyber crime effectively

 100%of respondents agreed that they are satisfied with existing cyber laws

 46% of respondents rated quality of grievance redressal are good

 34% of respondents are very often complaint after affected the cyber crime

 38% of response email bombing was the major problem the faced

 The study shows that 100% of respondents participate the awareness program provide by
bank

 32% of respondents highly agreed that banks keep confidentiality

 52% of respondent in the study that shows fund transfer is the major purpose they use in
online transaction

 46% of respondents agreed that online transactions is safe

 52% of the respondents prefer offline transactions is the safest mode of transaction

 46% of respondents frequently conduct online transaction

 100% of respondents show they are satisfied online banking sector

 50% of respondents they never lost money in cybercrime

 72% of respondents are never victims in cybercrime

Conclusion:

Banking sector has witnessed expansion of its services and strives to provide better customer
facility through technology but cyber-crime remains an issue. Information which is available
online is highly susceptible to be attacked by cyber criminals. Cyber-crimes result in huge
monetary losses which are incurred not only by the customer but by the banks also which affects
economy of a nation.

The research tried to study the awareness of customers on cybercrimes and its psychological
effect on customers. The trend of cybercrime in India is increasing as a result people seek rigid
law enforcement and proper support from banks. Awareness and education is required at
maximum, people also seek amendments in cyber laws.

Banking in the modern era ensures service at 24/7 and 365 days both online and direct banking.
As cyber crimes continue to plague businesses it is the banks that are under the greatest scrutiny
from the increasing threat. When it comes to cyber crime financial institution is the golden egg
for criminal hackers.

Even though there are limitations in prevention of a crime, proper measure should be taken to
ensure the safety of funds and in supporting the customer to solve his/her problem. Because
customers are the king and they should be treated well. Banking in future can only ensure
survival by ensuring safety and customer satisfaction.

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