Importance Of Electronic Banking

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There are various changes has taken place in Indian banking sector. Information technology is one of the changes of banking sector and it influences the way of interaction between the customer and the banks. In electronic banking the channels and products are available is ATMs, cards, internet banking and mobile banking offered along with the traditional branch banking system. The transaction of money among the countries through e-banking increases with times. The people getting attracted the banking through the electronic means. The banks which are adopted these new technologies also getting benefit from such transition. The banks are finding alternative way to provide services to the customers and the customer is also co-operating…show more content…
As the name electronic banking also provides some advantages over the traditional banking methods. E-banking can also be defines as “delivery of bank’s services to a customer at his office or home using electronic technology.” The term electronic banking is a general term. It includes internet banking, telephone banking, and mobile banking. The concept of e-banking is evolving day by day. Electronic banking services allow a bank customers and stakeholders to interact and transact with the bank seamlessly through a variety of channels such as internet, wireless devices, ATM, online banking etc. There are other services which are offered under e-banking they are electronic fund transfer, electronic clearing services and electronic payment media including the credit card, debit card and smart card. E-Banking provides current information, 24-hours-a-day access to banking services. The primary services provided by e-banks are transferring money among one’s own accounts, paying bills, and checking account balances, Loans, brokering, share trading, service bundling, and a host of other…show more content…
(ii) Tele Banking:- In tele banking by dialing the given number through a landline or a mobile from anywhere the customer can access the account and by following the user friendly menu, entire banking can be done through Interactive Voice Response (IVR) system.
(iii) Smart Card:- A smart card usually contains an embedded 8-bit microprocessor under which a contact pad on one side of the card. The microprocessor on the smart card is there for security and the host computer and card reader actually "talk" to the microprocessor. The microprocessor enforces access to the data on the card and the chips in these cards are capable of many kinds of transactions.
(iv) Debit Card:- Debit cards are looks similar to the credit card or ATM Card but can operate as an cash or a personal check. Though credit card and debit card look alike but there are certain differences between them. In credit card there is a way to “pay later” but in debit card there is a concept of “pay

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