Electronic Banking

Contents
What is E-Banking
Two approaches E-Banking
E- banking devices
Benefit of E-Banking
Drawback of E-Banking
Wireless banking
Security features
Simple safety measures
Conclusion
References

What is E-Banking?
Electronic banking is defined as:
the automated delivery of new and
traditional banking products and
services directly to customers
through electronic, interactive
communication channels.

Two approaches E-banking

1 Dial-in Approach:
Requires users to have a
separate finance software, so
that they can do all the process
offline and connect to the bank
just for transactions.
2 Internet Approach:
Users directly log on to their
bank website and complete all
their work online.

E- Banking devices
Personal computers (PCs),
Personal digital assistants (PDAs),
Automated teller machines (ATMs),
Kiosks,
Touch tone telephones,
Cellular and smart phones

Benefit of E-Banking
Anytime banking ,and anywhere banking
Online Banking is much cheaper for the bank.
A survey says that Online Banking costs only
10% of branch services
Reduction in cost of transaction
Pay bills online there by saving postal services.
Easy to make utility payment
Online purchases
The services are available seven days a week,
24 hours a day.

Drawback of E-banking

Difficult in adoption technology

Fear of technology
High cost of technology
Lack of preparedness
Restriction on usage of technology

Wireless banking
Wireless banking is gaining popularity.
With a phone number and a special PIN number a
customer has access to his account balance from
his cellular device.
Allows user to pay bills, transfer funds between
accounts and check accounts from anywhere.
Banks like esk spoitelna, M-bank, CSOB bank
offers wireless banking in Czech Republic.
Security is an important issue in Wireless
Banking.
Newsbytes reports that wireless banking users
will number over 50 million in the US by 2012
and in Europe almost 70 million.

Wireless banking

Security features
Security is a primary concern in internet
banking
SSL (Secure Sockets Layer) protocol is used
to ensure data security between customers
browser and web server.
SSL provides data encryption, data integrity
and server authentication.
512 bit data encryption.
Customer database is protected by double
firewalls.

Security features

Simple safety measures

Change Your password
periodically.
Review your bank accounts
frequently.
Try to use low limit credit
card for internet
transactions

Conclusion
The strategy of bank is to provide
value added services and products to
the customers, Utilizing the internet
extensively.
The main aim of e-banking is to
making transactions through online
poses and make costumer more
benefical.