Banking Innovations

 Electronic banking services are a range of banking and other services or

facilities that use electronic equipment and include:
 1. Internet banking
 2. Mobile banking
 3. Phone banking
 4. SMS banking
 5. Automated Teller Machine (ATM) services
 6. Debit card and credit card services
 7. Magnetic Ink Character Reader (MICR) services
 8. RTGS and NEFT
 9. De-Materialized account (DEMAT) services
 Online
Internet Banking
banking also known as
internet banking, e-
banking, or virtual banking, is an electronic payment
system that enables customers of a bank or other
financial institution to conduct a range of financial
transactions through the financial institution's website.
The common features fall broadly into several categories:
A bank customer can perform non-transactional tasks
through online banking, including -
Viewing account balances
Viewing recent transactions
Downloading bank statements, for example in PDF
format
Viewing images of paid cheques
Ordering cheque books
Download periodic account statements
Downloading applications for M-banking, E-banking
etc.
Bank customers can transact banking tasks through
online banking, including
Funds transfers between the customer's linked
accounts .
 Paying third parties, including bill payments (see,
e.g., BPAY) and third party fund transfers (see, e.g.,
FAST)
Investment purchase or sale .
Loan applications and transactions, such as
repayments of enrollments.
Credit card applications
Register utility billers and make bill payments
Financial institution administration
Management of multiple users having varying levels of
authority
Transaction approval process
Personal financial management support
Advantages of Internet Banking
Online account is simple to open and easy to operate.
It is available all the time, i.e. 24x7.
It is fast and efficient. Funds get transferred from one
account to the other very fast.
It keeps your account safe by keeping an eye on your
transactions and account balance all the time.
It also acts as a great medium for the banks to endorse
their products and services. The services include loans,
investment options, and many others.
Disadvantages of Internet Banking
Understanding the usage of internet banking might be difficult
for a beginner at the first go.
You cannot have access to online banking if you don’t have an
internet connection; thus without the availability of internet
access, it may not be useful.
Security of transactions is a big issue. Your account information
might get hacked by unauthorized people over the internet.
Password security is a must. After receiving your password, do
change it and memorize it otherwise your account may be
misused by someone who gets to know your password
inadvertently.
You cannot use it, in case, the bank’s server is down.
Loss of net connectivity