ACKNOWLEDGEMENT

I am very thankful to our IT faculty Mr. Gaurav Mundra

and Mr. Deepak Chechani for providing me an
opportunity to work on this project and for giving
their blessings and encouragement.
It is a matter of great pride and pleasure to express our
indebtedness and warm gratitude to our IT staff for
their keen interest, unceasing assistance and
constructive criticism at every step of this project
work. I am also thankful to the ICAI for including the
project work in the syllabus.
I thank them all for their stimulating efforts .
I have gained a lot of knowledge during those 100 hours .
Your confidence in me has made this training
successful.

RUCHI AGRAWAL
CERTIFICATE
This is to certify that MS. RUCHI AGRAWAL of IPCC
has satisfactory carried on her project report for
INFORMATION TECHNOLOGY practical
examination .
The project report on E-BANKING was performed
and done by the candidate herself under
supervision of the IT department .
Her approach to the project was sincere
satisfactory.
Her keen interest , sincere efforts and constant
persuasion during the project has helped in
completion of project.
INTRODUCTION
E-banking or electronic banking is a major innovation in the
field of banking.
Information led to the evolution of internet, internet led to
the evolution of e-commerce and
e-commerce led to the evolution of e-banking.
E-banking is a facility under which the customers can
perform basic banking transactions electronically , round
the clock , throughout the world.

WHAT IS E-BANKING?
A system of banking in which customers can view their
account details , pay bills and transfer money through
the means of internet.

The term e-banking covers both computer and
telephone banking.

In other words , it is said that it is updated online-real
time. The system is updated immediately after every
transaction automatically.
PAYING BILLS AND
TRANSFERING OF FUNDS
WHY E-BANKING?
Differentiation of products from others.

A combination of competitive and regulatory reasons.

Stress on branchless banking.

Increasing volume of banking transactions.

Providing customers with cost effective services.
TYPES
PC Banking

Internet Banking

Digital TV Banking

Text phone Banking
SERVICES &
TRANSACTIONS
Answering routine queries

Bill payment services

Electronic fund transfer

Credit card customers

Railway pass

Investing through internet banking

Recharging your prepaid phone

Shopping
Advantages to Banks
Very low set up cost.

Capability to cater to a large customer base.

Saves a lot of operational cost.

Banks can offer a lot of personalized services to their
customers.

Reduction of burden on branch banking.
Advantages to
Customers
It is convenient.

It isnt bound by operational timings.

There are no geographical barriers.

Check your transactions at any time of the day, and as
many times as you want to.

Getting quarterly statements from the bank,
transferring funds to outstations, and other such
activities can be done free of charge.
DISADVANTAGES
A need for customers skills to deal with computers
and browsers.

Many people who are not comfortable with the
computers and the internet, often find it difficult to
use internet banking.

For beginners, internet banking is really time
consuming.

In many instances, a simple mistake, like clicking on
wrong button , may create a big problem.
CHANNELS
Automated Teller Machines (ATMs)

Smart cards

Tele-banking

Internet banking
Automated Teller
Machines (ATMs)
ATMs are widely used electronic channels in banking.
It is a computer controlled device at which the
customers can make withdrawals, check balance
without involving any individuals.
To use this system customers are given a plastic card
which contains the customers name & account no.
Customer is given a pin number. Whenever he wants
to use it he needs to enter pin number.
Mostly ATMs are near to branches but now-a-days
ATMs are available at places like malls, theaters,
stations, etc.

SMART CARDS
It is a chip based card (micro chip containing monetary
values)
When a transaction is made using the card, the value
is debited and balances comes down.
It is used for making purchases without the need of
any pin.
It is a powerful card which carries the function of ATM
card, Debit card, Credit card.
TELE-BANKING
It means banking over phone.
Mainly used for marketing banking services.
A customer can do entire non-cash related banking
over phone anywhere at anytime.
With fall in mobile phone rates mobile banking will
emerge as one of the most cost effective delivery
channel.
INTERNET BANKING
It has helped in banking at the click of a mouse.

In internet banking, customer of a bank with PC can
log on to the bank website and conduct basic
functions.
ONLINE BANKING FRAUDS
While online banking has been around for many years,
but no cases of fraud have been reported until
recently.

Since the beginning of the year 2004, reports of fraud
cases nearly explode.
SECURITY
Ensuring security while banking online, is to keep
your pin number and password a secret.
The security of your personal computer is very
important for safe internet banking. Therefore,
always install antivirus software or software to
remove spyware.
Checking your bank statements regularly will help
you detect any transaction that has taken place
without your knowledge.
The road ahead
Reduction in branch banking.

Gradual evolution of virtual banking.

People will want to process more transactions on the
internet.

Geography will not be a inhibitor any more.

The future of banking would be in terms of
integration.