ELECTRONIC BANKING

A project submitted to
University of Mumbai for partial compeltion of the degree of
Bachelor in commerce (Accounting & finance )
Under the faculty of commerce
BY
KARTIK SANJAY JADHAV
UNDER THE GUDIENCE OF
Prof. JYOSTNA KADAM
CHANGU KANA THAKUR ARTS, COMMERCE & SCIENCE COLLEGE SECTOR-11,
NEW PANVEL
(2021-22)
 INDEX
Sr. No. TITLE
1 INTRODUCTION
2 MEANING
3 HISTORY
4 OBJECTIVE
5 FEATURES
6 TYPES
7 FUNCTIONS
8 ADVANTAGES
9 DISADVANTAGES
10 CONCLUSION
 INTRODUCTION

Electronic banking makes banking convenient on your schedule. Many

people are now able to avoid the rush to get to the bank before it closes, as
they can bank from a home computer or via automatic teller machine
(ATM). Although the two systems are different, ATMs and online banking
are the two types of electronic banking systems in use today.
 MEANING

 Electronic banking, also known as electronic fund transfer (EFT), uses

computer and electronic technology in place of checks and other paper
transactions. EFTs are initiated through devices like cards or codes that let
you, or those you authorize, access your account.
 History

 In 1996 Industrial Credit and Investment Corporation of India was

the first to use Electronic banking in India by introducing online
banking services in branches. Its initiatives were followed by HDFC
Bank, IndusInd Bank and Citibank, who started provided online
banking facilities in 1999.
 OBJECTIVE

 Attract Customers- E-Banking provides customers with online services and

makes the banking system easier. 
 Boosts Economy- Online Banking maintains cash-flow in the economy, which is
the primary source during the economic recession.
 Provides Liquidity- Due to increasing online transactions, Internet Banking
provides liquidity to the Banks. 
 FEATURES

• E-banking lowers the cost involved in financial transactions.

• It helps in continuous monitoring of accounts and reduces frauds in transactions.
• Online Banking helps banks to develop loyalty among customers through better and
faster services.
• E-Banking plays a vital role in expanding the productivity of businesses.
• With the inception of Internet Banking, the chances of human errors have reduced.
• Virtual Banking facilitates the instant transfer of funds nationally and internationally,
thus breaking all the geographical barriers.
• The most crucial feature of Online Banking is that customers can access their accounts
round the clock from anywhere holding no limitations.
 TYPES

 Level-One
 Level-Two
 Level-Three
 FUNCTIONS

1. Transfer Funds
2. Manage and Purchase CD Accounts
3. Manage all Accounts From One Place
4. Pay Bills
5. View Images of Checks
 ADVANTAGES

1.Convenience
2.Transfer service
3.Monitoring service
4.Online bills payment
5.Quality service
6.High liquidity
7.Low cost banking service
8.High interest rates
 DISADVANTAGES

1.Security issues
2.Lack of direct contact between customer and banking officer
3.Transaction problem
4.Long procedure to access e-banking
5.Training and development
 CONCLUSION

Electronic banking is changing the banking industry and is having the major effects on
banking relationships.
The net banking, thus, "now is more of a norm rather than an exception in many
developed countries" due to the fact that it is the economical way of providing banking
services.
Banking is now no longer confined to the traditional brick and mortar branches, where
one has to be at the branch in person, to withdraw cash or deposit a cheque or request a
statement of accounts.
Providing Electronic banking is increasingly becoming a need to have than a nice to have
services.
THANK YOU