Professional Documents
Culture Documents
Banking
y Section 5(b) of the Banking Regulation Act defines
banking as accepting for the purpose of lending or investment of deposits of money repayable on demand or otherwise withdrawal by cheque, draft , order or otherwise .
Meaning
Round the clock banking done globally with the help of electronic media. Paperless banking operated through internet and intranet. Application of IT infrastructure with latest equipment. Improved customer service and the resultant increase in profitability. Speedy and boundary less due to impact of technology revolution. Core banking, priority banking etc.
Traditional banking
Customer visits the branch personally. Brick and mortar banking. Confined to branch network with less delivery channel. Transactions conducted during banking hours that too in the same building.
E banking
Transactions performed by sitting at home. Brick and mortar structure gets converted into click and portal. It is not only confined to branches there is tele banking , internet banking, mobile banking, home banking.
Importance of E banking
y Convenient banking y Quality Banking y Low cost banking y Speed banking
Disadvantages of E banking
y Initial cost y Training and retention of staff y Restricted business
ATM
y Receive and dispense cash and to handle routine
EFT
y Transferring money from one bank account to other
SWIFT
y Society for World Wide Interbank Financial
Telecommunication. y Co operative organization formed by international banks & financial institutions. y 1700 banks around the world & 43 Indian banks are members. y Computerized network for message transmition.
EMT
y It operates sending money to distance stations through
FTT
y Financial transactions terminals y It is used to handle both deposits and withdrawals
from bank.