A Project

On
A Study of Information Technology in Banking Sector

A project submitted to

University of Mumbai for partial completion of the degree of

BACHELOR OF COMMERCE (ACCOUNTING AND FINANCE)

By

Ms. MONIKA BHIMAPPA KOLKAR

(SEAT NO.19ACTY20)

Under the guidance of

PROF. MRS. K.D. SHARA

KARANALA SPORTS ACADEMY

BARNS COLLEGE OF ARTS, SCIENCE AND COMMERCE
Plot no. 7, sec- 16, Behind HOC Colony, Panvel
MARCH 2020
 DECLARATION

I the undersigned Ms. MONIKA BHIMAPPA KOLKAR here by, declare that the work embodied in
this project work titled “A STUDY OF INFORMATION TECHNOLOGY IN BANKING SECTOR”,
from my own contribution to the research work carried out under the guidance of Prof. Mrs.
K.D.SHARA is a result of my own research work and has not been previously submitted to any other
university for any other Degree/Diploma to this or any other university.

Wherever reference has been made to previous work of others, it has been clearly indicated as such and
included in the bibliography.

I, here by further declare that all information of this document has been obtained and presented in
accordance with academic ethical conduct.

Ms. MONIKA BHIMAPPA KOLKAR

Certified by
Prof. Mrs. K.D.SHARA
 CERTIFICATE

This is to certify that Ms. MONIKA BHIMAPPA KOLKAR has work and duly completed her/ his
project work for the degree of Bachelor in commerce (Accounting and Finance) under the faculty of
commerce in the subject of ACCOUNTING AND FINANCE and his project is entitled, “A STUDY OF
INFORMATION TECHNOLOGY IN BANKING SECTOR” under my supervision.

I further certify that the entire work has been done by the learner under my guidance and that no part of it
has been submitted previously for any Degree or Diploma of any university.

It is his own work and facts reported by his personal finding and investigation.

Date of submission:

Prof. Mrs. K.D.SHARA Prof. Mr. K.K.BHOIR

(Project Guide) (Principal)

Prof. Mrs. K.D.SHARA

(Co-ordinator) (External Examiner)
 ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous and the depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh dimensions in the
completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do this project.

I would like to thank my Principal Mr. K. K. BHOIR for providing the necessary facilities required for
completion of this project.

I take this opportunity to thank our Coordinator Prof. Mrs. K D SHARA for her support and guidance.

I would also like to express my sincere gratitude towards my project guide

PROF. Mrs. K.D.SHARA whose guidance and care made the project successful.

I would like to thank my College library, for having provided various reference books and magazines
related to my project. Lastly, I would like to thank each and every person who directly or indirectly
helped me in the completion of the project especially my Parents and peers who supported me throughout
my project.
 Title Page No.

Sr. no.

1. Chapter 1 – Introduction

2. Chapter 2 – Research Methodology

3. Chapter 3 – Literature Review

4. Chapter 4 – Data Analysis and Interpretation and Presentation

5. Chapter 5 – Conclusion and Suggestions

STUDY ON THE IMPACT OF INFORMATION TECHNOLOGY IN BAKING SECTO

INDEX
 INFORMATION TECHNOLOGY IN BANKING SECTOR

INTRODUCTION

Electronic banking, or e-banking, is the term that describes all transactions

that take place among companies, organizations, and individuals and their
banking institutions. First conceptualized in the mid-1970s, some banks
offered customers electronic banking in 1985. However, the lack of Internet
users, and costs associated with using online banking, stunted growth. The
Internet explosion in the late-1990s made people more comfortable with
making transactions over the web. Despite the dot-corn crash, e- banking
grew alongside the Internet.

Online banking (or internet banking or E-banking) allows customers of a

financial institution to conduct financial transaction on a secure website
operated by the institution, which 01111 be a retail or virtual bank credit
union or building society. banking is the practice trade making bank
transactions or paying bills via the I, ternet. Thanks to technology, and the
Internet in particular, people no longer have to leave the house to shop,
communicate, or even do their banking_ Online banking allows a customer
to make deposits, with and pay bills all with the click of a mouse.

HISTORY:

While financial institutions took steps to implement e-banking services in

the mid-1990s, many consumers were hesitant to conduct monetary
transactions over the web. It took widespread adoption of electronic
commerce, based on trailblazing companies such as America
Online,Amazon.com and eBay, to make the idea of paying for items online
 widespread. By 2000, SO percent of U.S, banks offered e-banking.
Customer use grew slowly. At Bank of America, for example, it took 1_0
years to acquire 2 million e-banking customers. However, a significant
cultural change took place after the Y2K scare ended. In 2001, Bank of
America became the first bank to top 3 million online banking customers,
more than 20 percent of its customer base. In comparison, larger national
institutions, such as Citigroup claimed 2.2 million online relationships
globally,. while
_LP. Morgan Chase estimated it had more than 750,000 online banking
customers. Wells Fargo had 2.5 million online banking customers,
including small businesses. Online customers proved more loyal and
profitable than regular customers. in October 2001, Bank of America
customers executed a record 3.1 million electronic bill payments, totaling
more than $1 billion. In 2009, a report by Gartner Group estimated that 47
percent of U.S, adults and 30 percent in the United Kingdom bank online.

DEFINATION:

 Online banking is an electronic payment system that enables

customers of a financial institution to conduct financial transactions on a
website operated by the institution, such as a retail bank, Virtual bank,
credit union or building society. Online banking is also referred as
Internet banking, e-banking, virtual banking and by other terms.

 Online banking or E-banking is an umbrella term for the process by

which a customer may perform banking transactions electronically
without visiting a brick-and-mortar institution.

 Online banking is the practice of making bank transactions or paying

bills via the Internet. Thanks to technology, and the Internet in particular,
people no longer have to leave the house to shop, communicate, or even
 do their banking.

HOW ONLINE BANKING EVOLVED INTO A MAINSTREAM FINANCIAL TOOL

In today’s highly technical world, it’s hard to imagine there was once a time
when all banking was conducted at an actual brick-and-mortar financial
institution.
Even simple account transfers required a trip into the bank.

While today’s online banking is filled with amazing innovations, it

hasn’t always been this easy fact it took a long time to get this far.

HISTORICAL DEVELOPMENT:

 The precursor for the modern home online banking services were the
distance banking services over electronic media from the early 1980s. The
term Online became popular in the late 80s and referred to the use of a
terminal, keyboard and TV (or monitor) to access the banking system using
a phone line. Home banking can also refer to the use of a numeric keypad
to send tones down a phone line with instructions to the bank. Online
services Started in New York in 1981 when four of the city’s major banks
(Citibank, Chase Manhattan, Chemical and Manufacturers Hanover)
offered home banking services using the videotext system. Because of the
commercial failure of videotext these banking services never became
popular except in France where the use of videotext (Minitel} was
subsidized by the telecom provider and the UK, where the Presetel system
was used.

 While financial institutions took steps to implement in e-banking

services in the mid-1990s„ many consumers were hesitant to conduct
monetary transactions over the web. It took widespread adoption of
electronic commerce, based on trailblazing companies such as America Online,
Amazon, com and eBay, to make the idea of paying for items online Widespread.
By 2000, 80 percent of U.S. banks offered e-banking.
Customer use grew slowly. At Bank of America, for example, it took 10
years to acquire 2 million e-banking customers. However, a significant
cultural change took place after the Y2K scare ended, in 2001; Bank of
America became the first bank to top 3 million online banking customers,
more than 20 percent of its customer base. In comparison, larger national
institutions, such as City group claimed 2.2 million online relationships
globally., while J.P. Morgan Chase estimated it had more than 750„000
online banking customers. Wells Fargo had 2.5 million online banking
customers, including small businesses. Online customers proved more loyal
and profitable than regular customers, In October 2001, Bank of America
customers executed a record 3.1 million electronic bill payments, totaling
more than $1 billion. In 2009, a report by Gartner Group estimated that 47
percent of U.S, adults and 30 percent in the United Kingdom are using
bank online. Today, many banks are Internet only banks. Unlike their
predecessors, these Internet only banks do not maintain brick and mortar
bank branches. Instead, they typically differentiate themselves by offering
better interest rates and more extensive online banking features.

First Online Banking Services in the United States:

According to “Banking and Finance on the Internet” edited by Mary J.

Cronin, online banking was first introduced in the early 1980s in New
York. Four major banks—Citibank, Chase Manhattan, Chemical and
Manufacturers Hanover—offered home banking services. Chemical
introduced its Pronto services for individuals and small businesses in
1983. It allowed individual and small-business clients to maintain electronic
cheque book registers, see account balances, and transfer funds between
checking and savings accounts. Pronto failed to attract enough customers to
break even and was abandoned in 1989. Other banks had a similar
experience.

First Online Banking Services in the U.K.:

Almost simultaneously with the United States, online banking arrived in

the United Kingdom. The UK’s first home online banking services
known as Home link was set up by Bank of Scotland for customers of
the Nottingham Building Society (NIBS) in 1983. The system used was
based on the UK’s Presetel view link system and used a computer, such
as the BBC Micro, or keyboard (Tandata Td1400} connected to the
telephone system and television set. The system allowed on-line viewing
of statements, bank transfers and bill payments. In order to make bank
transfers and bill payments, a written instruction giving details of the
intended recipient had to be sent to the NIBS who set
the details up on the Home link system. Stanford Federal Credit Union
was the first financial institution to offer online interne t banking
services to all of its members in October 1994.

World Wide Web:

In the 1990s, banks realized that the rising popularity of the World Wide
Web gave them an added opportunity to advertise their services. Initially,
they used the Web as another brochure, without interaction with the
customer. Early sites featured pictures of the bank’s officers or buildings,
and provided customers with maps of branches and ATM locations, phone
numbers to call for further information and simple listings of products. At
the beginning of 2004, some 33 million U.S. households (31% of the
market) were using one form or another of online banking, Five years later,
47% of Americans were banking online, according to a survey by Gartner
Group. Meanwhile, in the UK e-banking grew its reach from 63% to 70%
 of Internet users between 2011 and 2012.

First Online Banking in India:

GIGE bank is the first one to have introduced Online-Banking in 1994

fora linified range of services such as access to account information,
correspondence and, recently, funds transfer between its branches. ICICI
s also getting into e-trading, thus tearing a broader range of integrated
services to the customer.

FEATURES OF ONLINE BANKING:

 Easily adoptable by customers.

 Easy to maintains.

 Cost effective solution.

 Enables the bank to reach its customers on the net.

 Reduce rush at the counters of the bank.

 Enables the customers of the bank to access information from

anywhere and at any time.

 Balance and transaction history search.

 Transaction history export

 Order new statements

 Mobile banking.

 Transfers.

 Pay bills

 pay anyone payments

 SMS banking services
Advantages of e-banking:

Convenience:

By banking online, you can carry out your banking activities whenever
you want. Online banking is a 24 hour service, so you are no longer tied
to the branch’s hours. On top of that, you don’t have to take the time to
travel to the branch and wait in the inevitable lines, thus giving you more
time to do what you want.

Mobility:

Online banking can be done from anywhere, as long as you have an

Internet connection. Even if you are away for business or a vacation, you
can still take care of your banking needs. Some banks, such as Bank of
America, have even created mobile applications that make banking easier
for those with a Smartphone like the Apple iPhone or iTouch or a
Blackberry. With this added mobility, you’ll no longer have to worry about
missing a payment or any other time sensitive banking activity.

No Fees:

Because an online bank doesn’t have to worry about funding an actual bank
location with all of those additional costs, fees can be reduced and are often
non-existent. Those checking and savings accounts that are offered by
completely online banks usually have no fees at all. Depending on the type
of account you currently have, you could be saving anything from $60 a
year and up.

Higher Interest Rates:

Again, due to a lack of costs associated with running an online bank,
higher interest rates are often offered for their accounts. For higher
interest rates, you would usually need to bank with a completely online
account.
Online Statements:

Most online banks try to be as paper-free as possible. Most statements

and correspondence is done online, reducing the amount of paper used
and sent out to you. This again will help reduce the costs of the online
bank. As an added bonus, this makes online banking a great
environmental choice. Be warned, some banks do charge if you do want
a paper copy of something.

Direct Deposit:

With any incoming money, such as your salary, you can arrange for it to
be directly deposited into your bank account by the company sending the
money. This is actually a double benefit, as you don’t have to take the
time to deposit the check, plus the money goes into your account faster
allowing you to earn interest that much quicker.

Automatic Bill Paying:

With automatic bill paying, you can automate paying your monthly bills. Of
course, you need to set this up, but it will be worth it in the long run. First,
with your bills being paid automatically, you shouldn’t ever miss a
payment. Plus, by not having to worry about the time taken to mail in your
payment, you can keep your money in your account for a bit longer, earning
you a little bit more interest – and you save on postage too. Finally, you can
actually do away with using checks and you also save on paper used,
making this a much greener way of banking also.

Real Time Account Information:

Because you can access your accounts anytime, you can get up to date, real
time information on the money in your accounts. This will allow you to better
manage your money and gain the most from different accounts, interest rates and
services provided by the bank.
Transfers:

Transfers between accounts with the same financial institution online

can be done almost instantaneously. Not only is there no hold on the
money being moved around, you can do it whenever you like and from
wherever. You also save time on travelling to the local branch. Even
transferring to other financial institutions is easier, and safer as you
don’t have to carry the money around with you. You can even now e-
mail money to and from other people with INTERAC e-mail money
transfers.

DISADVANTAGES OF INTERNET BANKING:

Bank relationship:

A traditional bank provides the opportunity to develop a personal

relationship with that bank. Getting to know the people at your local
branch can be an advantage when a customer needs a loan or a special
service that is not normally offered to the public. A bank manager
usually has some discretion in changing the terms of customer’s account
if the customer’s personal circumstances change. They can help
customers solve problems such as reversing an undeserved fee. The
banker also will get to know the customer and his unique needs. If the
customer has a business account, this personal relationship may help if
the customer needs capital to expand, it’s easier to get the bank’s
support if there is someone who understands customer’s business and
vouch for his operating plan.

Transaction issues:

Sometimes a face-to-face meeting is required to complete complex

transactions and address complicated problems. A traditional bank can host
meetings and call in experts to solve a specific issue. Moreover,
international transactions may be more difficult (or impossible) with some
direct banks. If a customer deposits cash on a regular basis, a traditional
bank with a drive-through window may be more practical and efficient.

Service issues:

Some direct banks may not offer all the comprehensive financial services
such as insurance and brokerage accounts that traditional banks offer.
Traditional banks sometimes offer special services to loyal customers
such as preferred rates and investment advice at no extra charge. In
addition, routine services such as notarization and bank signature
guaranteed are not available online. These services are required for many
financial and legal transactions.

Security:

Direct banks are subject to the same laws and regulations as traditional
banks and accounts are protected by the FDIC. Sophisticated encryption
software is designed to protect your account information but no system
is perfect, Accounts may be subject to phishing, hacker attacks, malware
and other unauthorized activity. Most banks now make scanned copies
of cleared checks available online which helps to avoid and identify
check fraud. It enables verification that all checks are signed by the
customer and that dollar or euro amounts have not been changed, The
timely discovery of discrepancies can be reported and investigated
immediately.

Connectivity:

Another issue is that sometimes it becomes difficult to note whether

your transaction was successful or not. It may be due to the loss of net
connectivity in between, or due to a slow connection, or the bank’s
server is down.
 Positive impact of technology on banking sector :-

 The biggest revolution came in banks is Digitization.

 Banking process is faster than before and more reliable. Maintenance and
retrieval of documents and records have become much faster and easier.

 Computerized banking also improves the core banking system. With

CBS (core banking system) all branches have access to common
centralized data and are interconnected.

 With the innovation of MICR cheque processing system, the

processing of cheques becomes more faster and efficient h than before.

 USSD (Unstructured supplementary service data) was launched by

Government, so people with no internet-connectivity too can access their
bank accounts without

 visiting the branch.

 With increasing internet reach, Internet Banking was developed and
now offered by almost every bank. Through this, every transaction
details and inquiries can be performed online without visiting the bank.

 It offered more transparency in transactions.

 The scope of frauds in banks is being minimized through the use of

passwords, double authentication in online banking.

 Technology also leads to competition among the banks which

eventually provides better services to people.

 With introduction of mobile banking, one can access their bank from
anywhere- anytime. Everything is one quick tap away.

 To facilitates better services, Banks have introduced Automated Banking

Services Solution like Cash Deposit Machine, Cheque Deposit Machine,
Passbook Printing Machine through these service have become easier.
 Negative impact of technology on banking sector :-

 The biggest negative impact of technology is loss of Jobs as

automation has replaced number of jobs in banking sector.

 Through technology comes the threat of Cyber Attack, a loophole in

the system, millions of data can be lost in the blink of an eye.

 These technologies consumes less time, it also sometimes makes

people careless- which causes loss of personal details as happened last
year in 2016,many debit cards details of big banks were compromised.

 Need of Information Technology (IT) in Banking Sector :

Since the early nineties, each Indian bank has done some IT
improvement effort. The first and foremost compulsion is the fierce
competition. While deciding on the required architecture for the IT
consideration is given to following realities.

 Meeting Internal Requirements :

The requirements of the banks are different individually depending upon

their nature and volume of business; focus on a particular segment, spread
of branches and a like. Many a time’s banks to have the required
information but it is scattered. The operating units seldom know the purpose
of gathering the information by their higher authorities.
 Effective in Data Handling :
As stated earlier the banks have most of the needed data but are distributed.
Further the cost of collection of data and putting the same to use is
prohibitively high. The accuracy and timeliness of data generation becomes
the causalities in the process. Best of the intentions on computerization are
wished away because there
is non-visible reduction in cost/ efforts/ time required for the required data
gathering.

 Extending Customer Services :

Addressing to rising customer’s expectations is significant particularly

in the background of increased competition. In case bank A is unable to
provide the required service at a competitive price and in an accurate
manner with speed. There is always a bank IT at its next-door waiting to
hire the customer. Awareness of customers about the availability of
services and their pricing as also available options have brought into
sharp focus the issue of customer satisfaction.

 Creative Support for New Product Development :

It has become necessary for the banks to vitalize the process of product
development. Marketing functionaries needs a lot of information not
only from the outside sources but also from within the banks. Banks are
looking to retail segment as the future market places for sales efforts.
Having full-fledged information of existing customer is the key for this
purpose. The emergences of data requirement and an appropriate
architecture to support the same are significant issues to be handled in
this regard. End-user Development of the Non-technical Staff Banking
being a service industry, it is the staffs at counters that deliver the
products. In Indian scenario, virtual banking is likely to have a few more
years to establish. The dependence on counter staff is unavoidable. The
staffs are large in number and the majority is non-technical. The
customer satisfaction levels at the counter determine the ultimate benefit
of IT offensive. Giving due consideration to this aspect in choosing
architecture in necessary.

DIFFERENT TYPES OF ONLINE BANKING:

CORE BANKING SOLUTION or CBS:

Core Banking is a banking service provided by a group of networked

bank branches where customers may access their bank account and
perform basic transactions from any of the member branch offices. Core
banking is often associated with retail banking and many banks treat the
retail customers as their core banking customers, Businesses are usually
managed via the Corporate banking division of the institution. Core
banking covers basic depositing and lending of money.

Normal Core Banking functions will include transaction accounts, loans,

mortgages and payments. Banks make these services available across
multiple channels like ATMs, Internet banking, mobile banking and
branches.

The core banking services rely heavily on computer and network

technology to allow a bank to centralize its record keeping and allow
access from any location. It has been the development of banking
software that has allowed core banking solutions to be developed.
HISTORY OF CBS:

Core banking became possible with the advent of computer and

telecommunication technology that allowed information to be shared
between bank branches quickly and efficiently.

Before the 1970s it used to take at least a day for a transaction to reflect in
the account because each branch had their local servers, and the data from
the server in each branch was sent in a batch to the servers in the data centre
only at the end of the day (EoD).

Over the following 30 years most banks moved to core banking

applications to support their operations where CORE Banking may stand
for centralized online real-time exchange this basically meant that all the
bank’s branches could access applications from centralized data centre.
This meant that the deposits made were reflected immediately on the bank’s
servers and the customer could withdraw the deposited money from any of
the bank’s branches.

State Bank of India, World’s Largest Centralized Core Processing Implementation:

The story began in 2000, with its growth curve heading northward, State
Bank of India (SBI), the country’s largest bank with the largest branch
network, realized the need for a core banking solution. An expression of
interest was invited in July 2000, and the actual implementation was
started in August 2003 when the first branch of the bank was put on TCS’
BaNCS core banking solution.

The planning stage lasted three years, while the BaNCS implementation
took another five years (till July 2008) to complete. The entire project of
implementing the core banking solution was handled by ICS as the systems
integrator, while other major technology partners in the project were HP,
Data craft, Cisco and Microsoft. The core banking solution implemented at
SBI and its associate banks currently execute an average of 42 million
transactions per day with a peak of 1900 transactions per second through a
massive network of about 17,700 branches and over 20,000 ATMs
servicing nearly 243 million customers, The CBS at 5B1 executes an
average of 42 million transactions per day with a peak of 1,900 transactions
per second through a network of about 17,700 branches.

Further, SBI had more than 2 lac employees, and many of them had little
familiarity with Web-based technology before the core banking solution’s
implementation. SBI and TCS had to ensure that the bank employees were
well-acquainted with the use of the solution, indeed, at one point of time,
5B had 58 training centers.
 ATM BANKING:

Full-service banking, 24 hours a day.

Make banking more convenient with ATMs and debit card.

Convenient Self Service

1. Deposits: Cash and check deposits can be made at most BBVA Compass
ATMs.

2. Withdraw Funds: The cash you need when you need it.

3. Transfer funds: Move funds between checking accounts and savings

accounts that are linked to your debit card.

Account Management:

1. Check Balance: View your account balance before you make a withdrawal.

2. Mini Statement: Receive a print out of your transaction history

and account balances.
 Customizable

1. Fast Cash: Set standard ATM withdrawal amounts.

2. Receipt Options: Set whether or not you will receive a receipt when you make
transactions.

Credit Cards vs. Debit Cards: What's the

Difference? Credit Cards vs. Debit Cards: An

Overview

Credit cards and debit cards typically look almost identical, with 16-digit
card numbers, expiration dates, and personal identification number (PIN)
codes. But that is where the similarity ends. Debit cards allow bank customers
to spend money by drawing on funds they have deposited at the bank. Credit
cards allow consumers to borrow money from the card issuer up to a certain
limit in order to purchase items or withdraw cash.

You probably have at least one credit card and one debit card in your
wallet. The convenience and protection they offer are hard to beat, but
they have important differences that could substantially affect your
pocketbook. Here is how to choose which to use when you need to
swipe the plastic.

Credit Cards:
A credit card is a card issued by a financial institution, typically a bank,
and it enables the cardholder to borrow funds from that institution.
Cardholders agree to pay the money back, with interest, according to the
institution's terms.

Credit cards are issued in four categories:

Standard cards simply extend a line of credit to their users.

Rewards cards offer cash back, travel points, or other benefits to customers.

Secured credit cards require an initial cash deposit that is held by the
issuer as collateral.

Charge cards have no preset spending limit, but often do not allow unpaid
balances to carry over from month to month.

Credit card users can reap cash, discounts, travel points, and many other
perks unavailable to debit card holders by using rewards cards.
Consumers who pay off their cards in full and on time every month can
profit substantially by running their monthly purchases and bills through
rewards cards.

Credit card use is also reflected on a consumer’s credit report, which allows
responsible spenders to raise their scores with a history of expenditures and
timely payments.
These cards may also provide additional warranties or insurance for items
purchased—above those the retailer or brand is offering. If an item bought
with a credit card becomes defective after the manufacturer’s warranty has
expired, for example, it is worth checking with the credit card company to
see if it will provide coverage.

Credit cards still offer much greater protection than debit cards in most
cases. As long as the customer reports the loss or theft in a timely manner,
their maximum liability for purchases made after the card disappeared is
$50. The Electronic Funds Transfer
2Act gives debit card customers the same protection from loss or theft—but
only if the customer reports it within 48 hours of discovery. After 48 hours,
the card user's liability rises to $500; after 60 days there is no limit.

The Fair Credit Billing Act allows credit card users to dispute
unauthorized purchases or purchases of goods that are damaged or lost
during shipping. But if the item was bought with a debit card, it cannot be
reversed unless the merchant is willing to do so. What is more, debit card
theft victims do not get their refund until an investigation has been
completed. Credit card holders, on the other hand, are not assessed the
disputed charges; the amount is usually deducted immediately and restored
only if the dispute is withdrawn or settled in the merchant's favor. While
some credit and debit card providers offer zero-liability protection to their
customers, the law is much more forgiving for credit card holders.

If you need to rent a car, many credit cards provide some sort of waiver
for collisions. Even if you want to use a debit card, many car rental
agencies require customers to provide credit card information as a
backup. The only way out for a customer may be allowing the rental
agency to put a hold of perhaps a few hundred dollars on a bank account
debit card as a form of surety deposit.

Debit Cards

A debit card is a payment card that makes payment by deducting money

directly from a consumer’s checking account, rather than via loan from a
bank. Debit cards offer the convenience of credit cards and many of the
same consumer protections when issued by major payment processors like
Visa or MasterCard.

There are also two types of debit cards that do not require the customer
to have a checking or savings account, as well as one standard type:

Standard debit cards draw on your bank account.

Electronic Benefits Transfer (EBT) cards are issued by state and federal
agencies to allow qualifying users to use their benefits to make purchases.

Prepaid debit cards give people without access to a bank account a way to
make electronic purchases up to the amount that was pre-loaded on the
card.

Frugal consumers may prefer to use debit cards because there usually are
few or no associated fees unless users spend more than they have in their
account and incur an overdraft fee. (The no-fee advantage does not hold for
prepaid debit cards, which frequently charge activation and usage fees,
among other costs.) By contrast, credit cards generally charge annual fees,
over-limit fees, late-payment fees, and a plethora of other penalties, in
addition to monthly interest on the card’s outstanding balance.

A debit card draws on money the user already has, eliminating the danger
of racking up debt. A 2017 Nerd Wallet and Harris Poll study found that
almost three-quarters of Americans who primarily use debit cards for
everyday purchases (71%) say they had been in credit card debt before.
Retailers know people usually spend more when using plastic than if they
were paying cash. By using debit cards, impulsive spenders can avoid the
temptation of credit. Interest and other charges paid by those who do not
pay off their balances each month fund many of the user benefits offered by
credit card companies.

In addition, some debit cards, particularly those issued by payment

processes like Visa or MasterCard, are starting to offer more of the
protections enjoyed by credit card users.

Key Takeaways
 Credit cards give you access to a line of debt issued by a bank.
Debit cards deduct money directly from your bank account.

 Credit cards offer better consumer protection through warranties and

fraud protection but are costlier.

 Debit cards offer less protection, but they have lower fees.

 Newer debit cards offer more credit-card-like protection, while many

credit cards no longer charge annual fees.
DIGITAL WALLET:

Nowadays. We find ourselves carrying cold hard cash less and less
because you can just as easily make your purchase with payment cards,
and track your spending online. Plus, it’s more secure than carrying$350
to buy

the latest iPad (MINI).

Certain payment or loyalty cards also let you earn rewards or entries to
contests, but they do add up. They make your wallet unnecessarily thick
and heavy.
Perhaps it is time to swap the system again; this time, for something that
you have always been carrying around: you’re Smartphone
Digital wallets can help take you there; they are Smartphone apps that hold
your payment and loyalty card information. Google Wallet and
Apple's Passbook are two of the more popular ones we often hear
about, but if they are not your fancy, there are plenty of other digital
wallets that carry perks and benefits that you may prefer.
GOOGLE WALLET:

Instead of tapping your credit card on the NFC machine at the checkout
counter, all you have to do is wave your Smartphone or tap it on the
machine to make your payments. It’ll be able to identify the credit card
information linked on your Google account.

For this to work, Google Wallet requires Near Field Communication

(NFC) technology available, which unfortunately is only available on
certain smart phones and tablets.

You link your debit or credit card to your Google account and you can leave
your wallet at home — but at the moment, it only works with phones and
credit cards from the US and only in the US, Currently, it supports
20+merchants on the ground and online, promising more merchants to
come.
APPLE’S PASSBOOK:

Apple’s Passbook was introduced in iOS 6 and relies on scanning 20

barcodes to help you manage your movie, concert and airline tickets as
well as loyalty cards and coupons for selected merchants.

The result: you get location and time-

Based notifications when you're near a café where you can use your
loyalty card or when your airline, movie or concert ticket is nearing its due
date.

You add passes through apps that support Passbook (link opens iTunes).
So instead of bringing your grocery coupons and stack of loyalty cards
wherever you go, you can store it in Passbook, Unlike Google Wallet,
you cannot use your debit or credit card for purchases in-store, however
you can use Bill Guard to view your bank balance and other related
information on your iPhone.

DIGITAL CASH:

A digital Cash act much like real cash, except that it’s not on paper,
Money in your bank account is converted to a digital code. This digital
code may then be stored on microchip, a pocket card (like a smart card),
or on the hard drive of your computer.

The concept of privacy is the driving force behind digital cash, The user of
digital cash is assured an anonymous transaction by any vendor who
accepts it. Your special bank account code can be used over the Internet or
at any participating merchant to purchase an item. Everybody involved in
the transaction, from the bank to the user to the vendor, agree to recognize
the worth of the transaction, and thus create this new form or exchange.

KIOSK BANKING:

This is the latest development on the remote baking front, also known as
‘Touch- screen’ banking. A kiosk is a self- service banking terminal that
can be operated with both credit & debit cards. The Debit/credit card can be
swiped at against the card reader at the kiosk and account accessed post
entering the ATM NIA. Currently, very few banks like Citibank offer this
facility to their customers at select ATM centers across the country.
 Unlike an ATM, which is primarily used for cash transactions like withdrawals,
deposits, etc., a kiosk is primarily used for non-cash transactions like
cheque book request, printing bank account statements, funds transfer etc.
The number of transactions a particular location is expected to be able to
support is key here along with the types of transactions required, An ATM
and a Kiosk can both easily perform the same non cash and non-deposit
transactions however the real differentiators come down to how much time/
input the transaction takes (Financial Kiosks have full keyboards and
document printers, ATMs generally don’t) and queuing considerations (at
an ATM, most people just want to get their cash and go).

NEFT:

National Electronic Funds Transfer (NEFT) NEFT is electronic funds

transfer system, which facilitates transfer of funds to other bank accounts
in over 63300 bank branches across the country. This is a simple, secure,
safe, fastest and cost effective way to transfer funds especially for Retail
remittances.

FEATURES & BENEFITS

Customers can remit any amount using NE FT Customer intending to

remit money through NI EFT has to furnish the following particulars:

 IFSC (Indian Financial System Code) of the beneficiary Bank/Branch

 Full account number of the beneficiary

 Name of the beneficiary.

For corporate customers, bulk upload facility is also available at branches.

TIMINGS
Customers can use this facility between 8 AM and 7 PM on all weekdays
and between 8 AM and 1 PM on Saturday. There are twelve hourly
settlements between 8 AM and 7 PM on all weekdays and six hourly
settlements between 8 AM and 1 PM on Saturdays.

The money will be credited to the beneficiary's account on the same

day or at the most next day in case the message is sent during the last batch
of settlement, Union Bank offers N EFT facility to its customers through all
its branches.

CHARGES

Rs. 5/ per transaction if the transaction amount is less than Rs,

1 lakh Rs. 25/- per transaction if the transaction amount is

more than Rs. 1 lakh

NOTE: Charges are waived for customers availing services at our branches
tr7 North Eastern States

RTGS:
Real Time Gross Settlement (RTGS) is an electronic form of funds transfer
where the transmission takes place on a real time basis.

In India, transfer of funds with RIGS is done for high value transactions, the
minimum amount being Rs 2 lakh, the beneficiary account receives the
funds transferred, on a real time basis. The main difference between RTGS
and National Electronic Funds Transfer (NEFT) is that while transfer via
NEFT takes place in batches (with settlements and transactions being netted
off), in the case of RIGS, the transactions are executed individually and on
gross basis.

The customer initiating the funds transfer through RTGS has to have the
Indian Financial System Code (IF C) of the beneficiary’s bank, along with
the name of the beneficiary, account number and name of the bank, The
bank branches, both at the initiating and receiving end, have to be RIGS-
enabled for the transaction to be processed, Customers with Internet
banking accounts can do RTGS transactions on their own.
 IMPS:

Using IMPS, a relatively newer service, users can transfer money

immediately from one account to the other account, within the same bank or
accounts across other banks.
Similar to NEFT„ there is no minimum amount for transactions, but the
maximum amount possible is Rs 5 lakhs. Users can carry out Person to
Person {P P)+ Person to Account (P2)4} and Person to Merchant (P2 M)
transactions from their mobile, Internet or ATM. One of the advantages of
IMPS transaction is that it is available 24X7 and even on holidays. This
can be payments for utility bills, mobile or DTH recharge, credit card bills,
grocery bills, travel ticketing, online shopping and even educational
institutes fee payments through this channel.

Transaction Timings NEFT RTGS IMPS

Monday to Friday 8.00am to 6.30pm 9.15am to 4.15pm 24*7

Saturday 8.00am to 12.30pm 9.15sm to 1.45pm 24*7

Transaction limits NEFT RTGS IMPS

MOBILE BANKING:

Mobile banking is the art of doing financial transactions on a mobile

device (cell phone, tablet, etc. This activity can be as simple as a bank
sending fraud or usage activity to a client’s cell phone or as complex as
a client paying bills or sending money abroad.
Advantages to mobile banking include the ability-y to bank anywhere and
at any time. Disadvantages include security concerns and a limited range of
capabilities when compared to banking in person or on a computer.

SMART CARD/STORE VALUE CARD:

A smart card, typically a type of chip card, is a plastic card that contains an
embedded computer chip—either a memory or micro-processor type—that
stores and transacts data, This datais usually associated with either value,
information, or both and is stored and processed within the card's
chip. The card data is transacted via a reader that is part of a computing
system. Systems that are enhanced with smart cards are in use today
throughout several key applications, including healthcare, banking,
entertainment, and transportation. All applications can benefit from the
added features and security that smart cards provide. According to Euro
smart, worldwide smart card shipments will grow 10% in 2013 to 5,455
billion cards. Markets that have been traditionally served by other machine
readable card technologies, such as barcode and magnetic stripe, are
converting to smart cards as the calculated return on investment is revisited
by each card issuer year after year.

GREEN CHANNEL COUNTER:

Green Channel Counter is an innovative step towards paperless ‘Green
Banking’ for deposit, withdrawal and funds transfers within the Bank. The
customer need not fill up any pay-in slip or draw cheques for depositing or
withdrawing money from their accounts. The customer should bring his /
her ATM cum Debit Card and remernber his / her PIN (Personal Identifical
Number).

E-TICKETING:
An electronic ticket (commonly abbreviated as e-ticket) is a digital
ticket, The term is most commonly associated with airline issued tickets.
Electronic ticketing for urban or rail public transport is usually referred
to as travel card or transit pass, It is also used in ticketing in the
entertainment industry.

An electronic ticket system is a more efficient method of ticket entry,

processing and marketing for companies in the railways, flight and other
transport and entertainment industries, on I June 2008, the industry moved
to 100% electronic ticketing and the paper ticket became a thing of the past.
Apart from substantial cost savings for the industry of up to U5$3bilion per
year, ET is also more convenient for passengers who no longer have to
worry about losing tickets and can make changes to itineraries more easily.

United Airlines was the first airline to issue electronic tickets, back in
1994, A decade later however, only 20% of all airline tickets were
electronic. The industry was missing out on an opportunity to save
costs and make travel for passengers easier. in June 2004, IATA set an
industry target of 100% ET in four years. At the time, many believed
this was an unrealistic goal. Evolving standards, uncertainty about the
return on investment and skepticism about the customer acceptance of
paper in parts of the world were some of the reasons why e-ticketing
hadn’t taken off.

DEMAT SERVICE:

In India, shares and securities are held electronically in a dematerialized or

“Demat”) account, instead of the investor taking physical possession of
certificates. A Dematerialized account is opened by the investor while
registering with an investment broker or sub-broker). The Dematerialized
account number is quoted for all transactions to enable electronic
settlements of trades to take place, Every shareholder will have a
Dematerialized account for the purpose of transacting shares. Access to the
Dematerialized account requires an internet password and a transaction
password.
Transfers or purchases of securities can then be initiated. Purchases and
sales of securities on the Dematerialized account are automatically
made once transactions are confirmed and completed.

What is De materialization of Shares?

Demat stands for dematerialization. Dematerialization is the process of

converting physical financial instruments such as share certificates, mutual
fund investments, and bonds into electronic form.. An Investor who needs
to dematerialize his shares needs to open a demat account with Depository
Participant. These physical shares are then surrendered by the investor and
in return he gets electronic shares in his demat account.

A demat account is similar to a bank account. When you receive your bank
statement, you will see 2 columns — deposits and withdrawals of money
and balance money in the account on the last day of the statement.
Similarly, a demat statement will show the investments you have bought,
sold and the balance investments held on the last day of the statement

Now you may wonder where do I open a demat account? That's easy,
When you want to buy equity shares, you approach your bank or an equity
share broker. The broker will open the demat account for you along with the
brokerage account. When you buy and sell securities, the broker will have
the securities deposited into or moved out of the linked demat account. You
will also need to link your bank account to the brokerage account for
transfer of funds when you buy and sell shares, and for payment of related
costs. If the broker is a depository participant (who is authorized to open
and maintain demat accounts), the broker will open your demat account and
maintain it in-house.
However, if the broker is not a DP, your demat account will be opened with
a DP the brokerage house is associated with.
\

E-TAX / E-FILING:

You can pay your taxes online through E-Tax. This facility enables you to
pay TDS, Income Tax, indirect Tax, Corporation Tax, Wealth Tax, Estate
duty and Fringe benefit Tax..The process of submitting tax returns over the
Internet, using tax preparation software that has been pre-approved by the
relevant tax authority, such as the IRS or the Canada Revenue Agency. E-
filing has manifold benefits; the taxpayer can file a tax return from the
comfort of home, at any convenient time, once the to agency begins
accepting returns.

ONLINE DEMAND DRAFT:

A demand draft is a negotiable instrument similar to a bill of exchange. A

bank issues a demand draft to a client (drawer), directing another bank
(drawee) or one of its own branches to pay a certain sum to the specified
party (payee).

A demand draft can also be compared to a cheque. However, demand drafts

are difficult to countermand. Demand drafts can only be made payable to a
specified party, also known as pay to order. But, cheques can also be made
payable to the bearer.
Demand drafts are orders of payment by a bank to another bank, whereas
cheques are orders of payment from an account holder to the bank.

INTRODUCTION:

The Internet has made banking, shopping, and conducting other

financial transactions online quite convenient, But when it comes to
your money, you want to make sure your transactions are safe.
Security of a customer’s financial information is very important,
without which online banking could not operate.
Presently, Internet banking customers only need a computer with access
to the Internet to use Internet banking services. Customers can access
their banking accounts from anywhere in the world, each customers is
provided a login ID and a password to access the service, it is indeed
easy and convenient for customers.

However, the use of password does not provide adequate protection against
Internet fraud such as phishing. The problem with password is that when it
has been compromised, the fraudsters can easily take full control of online
transactions. In such cases, the password is no longer works as an
authentication token because we cannot be sure who is behind the
keyboard typing that password in.

However, easy access and convenience should not be at the expense and
mercy of the security of information. This is important in order to ensure
the confidentiality of information and that it is not being manipulated or
compromised by the fraudsters.

In this lesson, we will review strategies you should employ when dealing
with money and the Internet. You will learn how to make sure a website is
secure, including checking the SSL certificate. In addition, you’ll learn the
steps you need to take to make shopping online a safe and enjoyable
experience.

TYPES OF FRAUDS:

Nowadays, the nature of attacks is more active rather than passive.

Previously, the threats were all passive such as password guessing,
dumpster dives and shoulder surfing. Here are some of the
techniques used by the attackers today:

Trojan Attack. The attacker installed a Trojan, such as key logger

program, on a user’s computer. This happens when users visited certain
 webs ices and downloaded programs. As they are doing this, key logger
program is also installed on their computer without their knowledge.
When users log into their bank’s website, the information keyed in
during that session will be captured and sent to the attacker. Here, the
attacker uses the Trojan as an agent to piggyback information from the
use computer to his backyard and make any fraudulent transactions
whenever he wants.

Man-in-the-Middle Attack. Here, the attacker creates a fake website and

catches the attention of users to that website. Normally, the attacker was
able to trick the users by disguising their identity to make it appear that the
message was coming from a trusted source
Once successful, instead of going to the designated website, users do not
realize that they actually go to the fraudster’s website. The information
keyed in during that session will be captured and the fraudsters can make
their own transactions at the same time.

 Phishing:

One of the primary methods a hacker gains access to account

information is through phishing, or tricking the victim into giving up the
information voluntarily, A hacker might send an e-mail or even call,
pretending to be a representative of the bank and informing you about
some irregularities with your account. All you need to do to sort things
out is to provide your password or other account information to verify
your identity. If you ever receive a communication that appears to be
from your bank and requests this type of information, contact your bank
by phone immediately, Do not give out account information to a caller,
and do not click any links provided in any e-mails that claim to be from
 your bank. You should also ensure that any employees with access to the
company’s accounts follow the same procedures.

 Key loggers:

\ Key loggers are malware programs that record keystrokes and other data,
allowing a hacker to capture your password as you enter it. Maintaining up-
to-date antivirus suites on your company computers can prevent these
malicious programs from gaining a foothold, and setting up your network’s
fire all to monitor outgoing traffic can help you determine when an
infection occurs. Many key loggers and viruses use email to travel from
computer to computer, so adding anti-virus protection to your
company's email server can help filter out these attacks.

 Spyware:

Spyware is the number one way that online banking credentials are stolen
and used for fraudulent activities. Spyware works by capturing information
either on your computer, or while it is transmitted between your computer
and websites. Often times, it is installed through fake “pop up” ads asking
you to download software. Industry standard Antivirus products detect and
remove software of this type, usually by blocking the download and
installation before it can infect your computer.

 VIRUSES:

Viruses are designed to compromise your computer systems, and allow

others to gain access to your files, etc. This is different than spyware in that
a virus may search for information considered to be of value, where
spyware will wait for input or action from whomever is using the computer.
A system that is compromised may be used to attack other systems,
denying people legitimate access to services. An example would be the
recent activities of the group called “Anonymous”. This group took over
computer systems around the world, and used them to launch attacks on
 websites. These types of attacks are called “denial of service” attacks. One
of the most common scenarios with viruses is where they will discover
financial data such as payroll files, bank account information, and credit
card information. This information is then transferred to criminals who sell
it on the black market, or worse — use it for blackmail. Criminals can get
anywhere from pennies to hundreds of dollars for each piece of
information, depending on what it is and how they can exploit it.

 Hacking:

Hacking works similarly to viruses. A “hacker” uses software to probe for

vulnerabilities, and then uses programming techniques, software utilities, or
system commands to exploit the vulnerability. The primary objective is to
gain access to your system. Once this access is obtained, you can think of it
like a burglary — they search for anything of value and often times leave
damage behind. More threatening are those hackers who simply take
control of your system and wait, to see what information becomes available
or what other systems they can gain access to.

 MAN IN THE BROWSER.

Man in the browser is a security attack where the perpetrator installs a

Trojan horse on a victim’s computer that’s capable of modifying that
user’s Web transactions as they occur in real time. According to security
expert Philipp Guhring, the technology to launch a man in the browser
attack is both high-tech and high priced. Use of the tactic has been
limited to financial fraud in most cases, due to the resources required.
Both Firefox and Internet Explorer on Windows have been successfully
targeted.

 Identity theft:
 Identity theft refers to all types of crime in which someone illicitly obtains
and uses another person’s personal data through deception or fraud,
typically for monetary gain. With enough personal information 7mhods—
from very low-tech means, such as check forgery and mail theft to more
high-tech schemes, such as computer spyware and social network data
mining. The following table illustrates well-known social Web sites that
have been attacked.

 Spam:

Spam is an electronic junk mail or unwanted messages sent to your

email account or mobile phone; these messages vary, but are essentially
commercial and often annoying in their sheer volume. They may try to
persuade you to buy a product or service, or visit a website where you
can make purchases; or they may attempt to trick you into divulging
your bank account or credit card details.

 Nigerian Scam:

Nigerian or Frauds 409 or 419 are basically the lottery scam in which some
overseas persons are involved to cheat innocent persons or organizations by
promising to give a good amount of money at nominal fee charges. Their
intention is to steal money in the form of fee against the lottery prize.

STEPS TO SECURE ONLINE BANKING:

When is a website secure for financial transactions?

Before sending any sensitive or financial information online, you want

to know that you are communicating with a secure site. Secure sites
make sure all information you send is encrypted—or protected—as it
travels across the Web. The https address heading and your browser’s
security symbol are two signs indicating you are on a secure site.
 Web addresses either begin with http or https. If the address is https,
the information you send to it is encrypted and will look like gibberish
if intercepted by cybercriminals.

 Your browser will use a security symbol or lock to indicate that the browser

Verifies that the website is a secure site. As seen in the examples below, the
look of each browser’s symbol can be slightly different, and it is usually
located in the address bar.
Security alerts and the SSL certificate

Secure sites have an SSL certificate. An SSL certificate does two things.
First, it acts like

a virtual passport or driver’s license. It means„ I am who I say I am. Second, it

Enables encryption. If a site does not have a SSL certificate, the address
will begin with http instead of https, and your browser will not show a lock
symbol. If it has an SSL certificate, you can access it by clicking your
browser’s lock.

What should I look for on an SSL certificate?

The following is an example of an SSL certificate accessed by

Firefox. Your browser’s SSL certificate may look different from
Firefox's, but you should have access to the same information.

Issued To: Check here to make sure the website you are doing business
with matches the website on the certificate.

Issued By: Make sure the certificate authority that issued the SSL
certificate to the website is trustworthy. There are many different
certificate authorities, and like all companies some are more trustworthy
than others. Verifiable SSL certificate authority companies you are likely
to see include VeriSign, RSA Data Security, Thawte, Geotrust, GoDaddy,
and Comodo.
 Validity: Make sure the SSL certificate has not expired. If it’s expired, your
information is not guaranteed to be encrypted.

TEN STEPS TOMINIMIZE SECURITY ISSUES:

1) Install Latest Security Software:

Prevention is better than cure and the same is true for all online
transactions. The World Wide Web is full of malware, spank and
spyware and the best protection to avoid your security being
compromised is to use good antivirus software. One can also seek to
purchase a full version of protection software rather than an anti-virus
which can guard against phishing, malware and Trojans.

2) Use Auto Update for All Software:

If you thought your security on the Internet was not at risk thanks to all the
protective software that you may have installed, think again. Even a small
glitch in any of the software being used actively can lead to possible
hacking attempt. The most commonly hacked software includes web mail
clients and web browsers. Make sure that you always have updated to the
latest version of your browser and mail clients like thunderbird and Firefox.
Web browser companies release patches as updates regularly to cover any
such security glitch in the software. If you find it hard to manually check
and update their software, the best way is to keep the auto update option
enabled for all software in your computer.

3) Look for Encryption Signs:

 Before entering any confidential information or sensitive data on any
webpage, check if the website us using proper encryption. Encryption is
a security measure that helps protect data while travelling over the
various networks on the internet. The basic sighs of encryption include
an Internet protocol or url address starting with https (where s stands or
security) as well as a sign displayed a closed padlock located in the right
corner of the screen.

4) Use Different Passwords:

A recent study has revealed that majority of the people use common
passwords for a number of transactions including sensitive transactions
like net banking and credit cards for the convenience of recollecting.
Using the same password makes you at high risk, as if hackers can
somehow get access to one password, they would virtually have access
to all your accounts. The best way to keep you safe in the virtual world
is to use unique passwords for different transactions.

5) Cash on delivery option:

If any sites are offering cash on delivery option, don’t hesitate to use it
as it is a good safety tip at no cost. Many sites give this option, but many
of us ignore it mainly because of our carelessness in going through all
details.
6) Dealing with Offers:

You might be getting lot of promotional mails and coupons as mails from
retail companies. But while utilizing such offers, it is recommended to go
directly to the seller site rather than entering details in the coupon link,
which will be usually sent by third parties.

7) Check Website’s Digital Certificate:

Before doing any transaction from online retailers and merchant websites„
make sure to check for safe digital certificates that can authenticate the
website, Independent services like VeriSign for example is a popular
authentication service provider which helps users to make sure that the
website they are dealing with is genuine and not some fraudulent imposter.

8) Avoid Using Public Computers:

Always use personal computers or electronic gadgets like phones or tablets

to complete any financial transaction over the Internet. Never use any
public computers or your friend’s mobile for such sensitive transaction as
their security may have been compromised. Also make sure you always
connect to the internet using a secured Wi-Fi connection which is password
protected. Doing financial transactions over a public Wi-Fl connection is
highly unsafe and not recommended.
9) Stay Away from Phishing Emails Seeking Confidential information:

Any promotional mails from your bank or any third party websites or
vendors seeking your sensitive banking information must be ignored as
Spam. A lot of innocent people have been trapped by such phishing
websites and emails in the past coming in the name of banks, RBI, IT
department etc. Any mail seeking your banking information by offering
lucrative lottery or content winnings must never be encouraged.

10) Buy From Reputed Merchants:

Doing online transaction from reputed merchant websites and e-

commerce platforms make sure your security is not compromised.

ONLINE BANKING IN INDIA – GUIDELINES BY RBI

Guidelines by RBI on Internet Banking facility to Customers of Regional

Rural banks (RRBs)

Technology and Security Standards:

 RRBs should have appropriate information Security policy duly

approved by the Board of Directors. There should be clear segregation of
duties between the Information Technology (1T) Division and the
Information Security (IS) Division. The Information Technology Division
will actually implement the computer systems. There should be a separate
information Security Officer dealing exclusively with Information
Systems security. Further, Information Systems. Auditor will audit the
information Systems,
 The bank should designate a Network and Database Administrator
with clearly defined roles as per the IS Audit policy duly approved by
their Board,

 Logical access controls to data, Systems, Application software,

utilities, telecommunication lines, libraries, System software, etc.
should be in place.

 The bank should ensure that there is no direct connection between

the Internet and the bank’s system.

 All unnecessary services on the Application Server such as File

Transfer Protocol (FTP), Telnet should be disabled. The Application
Server should be isolated from the e-mail server.

 The Information Security officer and the Information System

auditor should conduct periodic Penetration tests of the system, which
should include:

1. Attempting to guess passwords using password-cracking tools

2. Search for back door traps in the programs.

3. Attempt to overload the System using Distributed Denial of Service

Denial of Service (Do )attacks,

Check if commonly known holes in the software, especially the browser

and the emai Software exists.The penetration testing may also be carried
out by engaging outside experts (often

Called Ethical Hackers)

 Physical access controls should be strictly enforced, Physical security
should cover all the Information Systems and sites where they are housed,
both against internal and external threats.

 The bank should have proper infrastructure and schedules for backing up
data.

 Security infrastructure should be properly tested before using the

Systems and Applications for normal operations, Banks should
periodically upgrade the Systems to newer versions which give better
security and control.

Legal Issues:

 Banks may provide Internet Banking facility to a customer only at

his/her option based on specific written or authenticated electronic
requisition along with a positive acknowledgement.

 Considering the prevailing legal position, there is an obligation on

the part of banks not only to establish the identity but also to make
enquiries about the integrity and reputation of the customer opting for
internet banking. Therefore, even though request for opening an
account may be accepted over Internet, accounts should be opened only
after verification of the identity of the customer and adherence to KYC
guidelines.

Authentication practices for Internet banking:

Single Factor Authentication:

An authentication mechanism that utilizes any one of the factors is called

single factor authentication. This is the basic authentication method. For
example, a User id and password comes under this category).

Two Factor Authentication:

An authentication mechanism that utilizes a combination of two factors i.e.

(User knows, User possesses). This method is used by various banks for
authentication for online banking.

E.g. User using a password as the first factor (User knows) and a One-
Time Password (OW) as the second factor (User possesses) to perform
say, a funds transfer transaction.

Multi Factor Authentication:

An authentication mechanism where two or more factors are used in which

one of the factors is necessarily pertaining to the user is

(For example, a large value transaction authorized in a bank by using a

combination of the person's user id, a smart card and his biometric
authentication factor).

Implementation of authentication and other security measures for Internet banking:

An effective authentication method should take into consideration

customer acceptance, ease of use, reliable performance, scalability to
accommodate growth., and interoperability with other systems.
An authenticated session, together with its encryption protocol, should
remain intact throughout the interaction with the customer.

C. Changes in mobile phone number may be done through request from a branch
only.

d. Virtual keyboard should be implemented.

INITIATIVES TAKEN BY THE GOVERNMENT OF INDIA FOR
DEVELOPING THE INTERNET BANKIG:

The Reserve Bank of India has already begun on its move to make all
transactions, digital in nature and absolutely paper free. Following in
the same vein the RBI has released the Vision 2018 document, which
primarily aims at increasing the use of electronic payments, through
all the divisions of the society. This move will not only increase the
usage of digital channels but also boost the customer base for mobile
banking.
All the commercial banks which are scheduled will now be allowed to grant
non-fund based facilities including partial credit enhancement (PEC), to all
customers including those that do not avail any fund based facility from any
of the banks present in India.

The Union Budget, which was announced in the year 2016-17 had a
provision towards interest subvention. This provision is basically made to
help in reducing the burden of loan repayment by the farmers. On account
of this, an amount of 15,000 crore INR is being granted by the government.

The Government of India is looking to set up an exclusive fund, which will

be a part of the National Investment and Infrastructure Fund (NIIF). This
fund will basically be set up for dealing with all the stressed assets of banks.
This fund will be taking over all the assets, which although viable do not
have any additional fresh equity from promoters to complete the projects.
Post the massive drive that was conducted by the government to open up a
number of bank accounts, quite a large number of Indians were financially
included in the banking sector. The Reserve Bank of India plans on coming
out with guidelines, which will be dealing with the basic know-your-
customer norms. These norms would be of the primary focus of protecting
the consumers.

The government of India is well on a warpath, to provide insurance,

pension and credit facilities to all of those citizens, who were excluded
from enjoying the benefits offered by the Pradhan Mantri Jan Dhan
Yojana (PMJDY)
In a bid to provide relief to all the state level, electricity providing
companies, the government has proposed to its lenders that, about 75% of
their loans would soon be converted to state government bonds.

Thus with so many new and effective schemes falling into place,
courtesy the government of India, things are looking quite positive for
the banking sector. This is great news for those finance enthusiasts who
opt for special training programs, offered by training institutes such as
Imarticus Learning in the field of Finance and Investment Banking.
 RESEARCH METHODOLOGY:

A research methodology or involves specific techniques that are adopted in research process to

collect, assemble and evaluate data. It defines those tools that are used to gather relevant
information in a specific research study.

* PRIMARY DATA

Primary data is data that is collected by a researcher from first-hand sources, using methods like
surveys, interviews, or experiments. It is collected with the research project in mind, directly
from primary sources. The term is used in contrast with the term secondary data. The data has been
collected using structured Questionnaire etc.

* SECONDARY DATA

Secondary data refers to data that is collected by someone other than the user. Common sources
of secondary data for social science include censuses, information collected by government
departments, organizational records and data that was originally collected for other research
purposes.

OBJECTIVE

 To study the Information Technology in view of research

study
 To study the use of Information technological means in
the system
 To study the feedback of the past transaction system
 To know the existing transaction system
 To know the work culture of customer, employee and
management
 To study the feedback of the existing transaction system3
  To know the service provided by the system in view of customer
relation

 To study the view of management, employee and customers review

 To study the feedback of implemented technology
 To study on collected data and information by applying various methods

Hypothesis

H0:- Information technology does not improve banking services to bank customers.

H1:- Information technology improves banking services to bank customers.

SCOPE OF THE STUDY:

 In the present scenario major economical and technical changes are

undergoing in industrial and financial revolution through the new

information-banking technology.

 Especially in information technology in banking sector it has a significant

role for overall development.

 Information technology in banking sector major changes have been made.

Due to these drastic changes we have chosen to do the study on urban

cooperative bank system.

 People used information technological tools to manage and process the

information in banking sector.

 It has a wide scope to study the existing modern transaction system in the

banking sector mainly in urban cooperative bank system.

 LIMITATIONS OF THE STUDY:

Due to constraints of time and resources, the study is likely to suffer

from certain limitations. Some of these are mentioned here under so
that the findings of the study may be understood in a proper
perspective.

 The limitations of the study are:

 Some of the respondents of the survey were unwilling to share

information.

 The research was carried out in a short period of 1 month Therefore

Review of literature

A study on public and private sector banks and their study shows that quality gap between

expectations of consumers and perceptions of service delivered is highest in public sector

banks and lowest in private sector banks(using gap 5). Another study found out that public

sector banks are better than private sector banks. Other studies and their findings are given

below the sample size and other parameters were selected accordingly so as

to finish the work within the given time frame.

Robert Johnston (1997) in his study entitled as, “Identifying the critical

determinants of service quality in retail information technology in banking:

importance and effects”, focused on the categories of the quality factors in

terms of their relative importance and their effect on satisfaction and

dissatisfaction. The study is based on an analysis of over 200 customers in

the indian banking industry and 100 interviewers. The study suggests that

increasing the speed of processing information, delighting customers, such

as improving the reliability of equipment, will lessen dissatisfaction rather

than delight customer.

Applied Communicating Inc (ACI) (2003) in the study entitled as, “Retail

Banks Require Enhanced Systems as the Industry Changes” explores the

challenges that retail banks must overcome with innovative IT systems. In

today’s fast paced technological age, consumer and corporate customers

expect faster execution of transaction. The challenge for the bank IT groups

is to ensure how their system can cope with the voluminous transaction

without increase in per-transaction processing cost. The article discussed

managing electronic funds, prepaid card e-money, remittance market and

how banking services through internet have been replaced by mobile

banking technologies & ATM.

Financial Objects Plc (2005) in the study entitled as, “The Birth of Brand

Banking: A passive Trend or The Shape of Things to Come?” assesses the

emerging trend of retail banking in Europe and pressure to deliver

innovative services in order to gain and maintain market shares. The study

highlights the technological consideration to make the banking services

successful, like customer experiences process excellence, reduced cost and

risk and sustainable leadership. It explains the Services Oriented

Architectures (SOA) that creates a new land of flexibility in how banks

interface and integrate application.

Mohammad A Al-Hawari (2005) in the study entitled as, “The Influence

of Internet Banking and Teller Service Quality on Customer Retention: A

Comparative Study” examines the relative importance of internet banking

and tellers in retaining retail customers. The results indicate a significant

relationship between bank teller service quality and retention rates; internet

banking is also positively related to customer retention, the data analysis

outcomes show that delivering service through traditional service channel

(branches) has a stronger relationship with increasing bank retention rates

than internet banking. This result empirically ads further understanding to

the knowledge and supports the view that automated services could enhance

the disconnectivity and positivity in customers.

Sudhir (2005) in his study entitled as, “Growth Pattern of Retail

Banking” emphasizes that existing potential of Retail Banking was

untapped in rural and semi-rural areas and that untapped clientele

provided a good and vast opportunity for growth in this segment.

Timothy & Williams (2005) in his study entitled as, “The Role of Retail

Banking in the Indian Banking Industry: Risk, Return and Industry

structure’ focused the return in retail’ in the Indian Banking industry, the

reason for shift and the rising trends in retail loan share. The observed

trends in retail loan shares, retail deposit shares, the balance sheets of

Indian consumer and the number of bank branches all indicate an

increased focus on retail activities. The micro (customer based business

catering to large number of small customers products and services) and

macroeconomic (interest rates) factors affect the stability of retail

banking. The Retail Banking Industry will be driven by volatility in

capital markets and wholesale banking activities, deregulation and

technology.

Holger J Kern (2007), in his study “Retail Banking-Global Perspective”

focused on the competition level in Retail IT Banking and strategies to

retain customer. This study emphasized the causes that why retail bank

should focus on the customer’s need for understanding the customer and

product differentiation. A box client segments and retail banking is

provided to show the importance of segmenting the client and

specializing specific products for specific groups.

S.Venkata Seshaiah & Vunyale Narender (2007) in their study entitled

as, “Factors Affecting Customer’s Choice of Retail Banking”, have

identified various factors affecting customer’s choice and study consumer

behavior with respect to the people’s choice of retail banks. In this study

efforts have been made to go deep into the psychology of the customer’s

loyalty.

Choudhary (2008) in his study entitled as, “Customer Perceived Service

Quality” explored the dimensions of the customer perceived service

quality in the context of the Indian retail banking Industry. A set of

service quality

R.K. Uppal (2009) in the study entitled as, “Customer Service in Indian

Commercial Banks: An empirical study” describes that in the emerging

competitive environment and IT era, with little or no distinction in the

product offering, it is the speed of rendering services that sets apart one

bank from another. Prompt service is equated with quality service. Time

is a major factor which affects the quality service and that is why they are

becoming more popular. parameters, drawn from customer’s perception

about service quality as well as the bank marketing and literature were

drawn up. These parameters have been used in the context of four of the

largest banks in India to identify the underlying dimensions on Service

quality, using factor analysis. The study suggests that customer

distinguish four dimensions of service quality in the case of the Retail

Banking industry in India, namely attitude, competence, tangibles and

convenience.
 DATA ANALYSIS AND INTERPRETATION

1. GENDER BASIS ANAYSIS

PARTICULAR RESPONDENTS NON- TOTAL

RESPONDENTS RESPONDENTS

MALE 72 6 78

FEMALE 28 8 36

TOTAL 100 14 114

INTERPRETATION

Data collected from 114 respondents, out of 100 respondents perform online
banking and this is represented by a column chart with male and
female basis analysis. It is good for the banks as most of the
respondents are aware of the Internet banking and all the services
have enjoyed them being affered by banks.
2. AGE BASIS ANALYSIS:
AGE GROUP FREQUENCY PERCENTAGE CUMULATIVE
FREQUENCY

BELOW 20 34 30% 34

20-35 44 38% 78

35-50 24 21% 102

ABOVE 50 12 11% 114

3rd Qtr 4th Qtr

2% 1%

BELOW 20
42%

20-35
55%

INTRPRETATION :

Out of 114 respondents 34 respondents are in below 20 age group,44

respondents 20- 30 age group,24 respondents in 35-50 age group and 12
respondents in above 50 age group. This is shown with the help of pie chart.
3. OCCUPATION BASIS ANALYSIS

OCCUPATION FEQUENCY CUMULATIVE PRECENTAGE

FREQUENCY

SELF- 21 52 18.00%
EMPLOYED
EMPLOYEE 47 99 41.00%

OTHERS 15 114 14.00%

STUDENT 31 31 27%

STUDENT SELF-EMPLOYED
27% 18%

OTHERS
13% EMPLOYEE
41%

INTERPRETATION :

Among 114 respondents 27% are students ,18% are self employed ,41% are
employees and 14% are others.
4. INCOME BASIS ANAYLSIS

M ONTHLY FREQUENCY CUMULATIVE PERCENTAGE

INCOME
FREQUENCY
0-10000 32 32 28%

10000-20000 21 53 18%
20000-30000 17 70 15%

30000-40000 14 84 12%
40000-50000 8 92 7%
ABOVE 50000 22 114 20%

Series 1
3
Series 2
Series 3
2

0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION :

Among 114 respondents 28% belong to Rs.0-10000 income group,18%

belong to Rs.10000-20000 income group ,15% belong to Rs.20000-30000
income group,12% belong to Rs.30000-40000 income group ,7% belong to
Rs.40000-50000 and 20% belong to above Rs.50000 group.
5. EDUACTIONAL PROFILE

EDUCATIONAL FREQUENCY PERCENTAGE CUMULATIVE

QUALIFICATION FREQUENCY

MADHYAMIK 26 23% 26

HIGHER 38 33% 64
SECONDARY

GRADUATE 20 18% 84

POST- 11 9% 95
GRADUATE
OTEHRS 19 17% 114

Category 4

Category 3

Series 3
Series 2
Series 1
Category 2

Category 1

0 1 2 3 4 5 6

INTERPRETATION :

Among 114 respondents 23% are madhyamik pass ,33% are HS pass ,18% are
graduate ,9% are post graduate and 17% are others.
6. HOW OFTEN DO YOU USE INTERNET PER WEEK?

INTERNET FREQUENCY PRECENTAGE CUMULATIVE

USE EXCESS FREQUENCY

ONE HOUR 5 4% 5

TWO HOUR 9 8% 14

THREE HOUR 28 25% 42

MORE THAN 72 63% 114

THREE HOUR

4th Qtr
9%

3rd Qtr
10%

2nd Qtr 1st Qtr

23% 59%

INTERPRETATION :

Among 114 respondents 63% use internet more than 3 hours per week, 25% use
internet three hours pre week, 8% use internet two hours per week and 4% use
internet one hour in a week.
7. IN WHICH BANK DO YOU HAVE AN ACCOUNT?

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr

9%

10%

23% 59%

NAME OF BANKS
F REQUENCY P ERCENTAGE CUMULATIVE
FREQUENCY
UCD 12 10% 73

HDFC 8 7% 81

UBI 9 8% 90

BOI 6 6% 96

PNB 5 5% 101

STANDARD 3 3% 104
CHARTERED
OTHERS 10 9% 114

SBI 27 24% 27

AXIS 21 18% 48

ICICI 13 11% 61

INTERPRETATION :
Among 114 respondents,27 respondents have SBI bank a/c, 21 have AXIS
bank a/c, 13 have ICICI bank a/c,12 have UCO bank a/c, 8 have HDFC
bank a/c, 9 have UBI bank a/c, 6 have BOI bank a/c, 5 have PNB bank a/c,
3 have STANDARD CHARTERED bank a/c and 10 have others bank a/c.
8. DO YOU AVAIL OF BANKING FCILITY ONLINE?

PARTICULARS FREQUENCY PERCENTAGE CUMULATIVE

FREQENCY

ONLINE 100 88.00% 100

BANKING USERS

OFFLINE BANKING 14 12.00% 114

USERS

INTERPRETATION:

Most of the respondents prefer online banking services. About 88%

respondents supports online banking services and only 12% respondents
supports offline banking services.
9. IS YOUR BANK OPRATRED UNDER CORE –BANKING FACILITY ?

3 Series 1
Series 2
2 Series 3

0
Category 1 Category 2 Category 3 Category 4

CORE REQUENCY PERCENTAGE CUMULATIVE

BANKING FREQUENCY
FACILITY
YES 91 91% 91

NO 0 0% 91

CAN’T SAY 9 9% 100

INTERPREATION:

Among 100 respondents 91% say that their bank run under core banking
system but only 9% have no clear concept about this and they choose
“can’t say” option.

10.HOW FREQUENTLY DO YOU USE ONLINE BANKING?

 USE F REQUENCY P ERCENTAGE CUMULATIVE
ONLINE FREQUNECY
BANKING
DAILY 14 14 14

WEEKLY 21 21 35

MONTHLY 41 41 76

OCCASIONALLY 11 11 87

YEARLY 13 13 100

NEVER 0 0 100

Series 1
3 Series 2
Series 3
2

0
Category 1 Category 2 Category 3 Category 4

INTERPETATION:
Most of the people do not need services of bank regularly. They may
transact with banks on monthly basis, weekly or occasionally. This
chart shows the habits of people in case of use of online banking.
10. WHY DO YOU AVAIL OF ONLINE BANKIG?
6

Series 1
3
Series 2
Series 3
2

0
Category 1 Category 2 Category 3 Category 4

P URPOSE OF ONLINE FREQUENCY PERCENTAGE CUMULATIVE

BANKING FREQUNECY

PRIVACY 9% 9
9
24*7 BUISNESS HOURS 36 36% 45

CONVENIENCES 16 16% 61

NOT TO MOVE 13 13% 74

ANYWHERE

EASY TO USE 11 11% 85

SAVING TIMES & 12 12% 97

SPEED

INTERPRETATION:
Most of the respondents felt that the 24*7BUSINESS HOURS” provided
by the internet banking is the highest motivating factor for an individual
to use internet banking and rest prefer “PRIVACY”, CONVENIENCE”,
NOT TO MOVE” etc.
11. RATING OF MAIN TRNSACTIONS

TRNSACTIONEXCELLENT GOOD AVERAGE POOR NOT

APPLICABLE
FUND 35 25 15 20 5
TRANSFER
ATM 68 12 10 8 2
BANKING
BALANCE 80 10 10 0 0
ENQUIRY
ONLINE 10 15 10 25 40
FIXED
DEPOSIT
DEMAND DARFT 30 20 10 40 0

PAY BILLS 71 14 8 7 0
 ONLINE 65 20 7 8 0
SHOPPING

INTERPETATION:

It is interesting to see that most of the respondents give “EXCELLENT”

rating to ATM Banking, Balance Enquiry, pay Bills, Online-shopping and
Online recharge.

12. DOES YOUR BANK EDUACATE YOU ABOUT THE ONLINE BANKING
SERVICES BEING OFFERED?
 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr

9%

10%

23% 59%

EDUCATION NET FREQUENCY PERCENTGE CUMULATIVE

BANKING FREQUENCY

YES 46 46% 46

NO 54 54% 100

INTERPRETTION:

Among 100 respondents 46 people said that their banks educated them
about the several online banking services and on the other hand 54 people
said that their bank did not educated them about their net banking services.
13. ARE YOU AWARE OF THE SECURITY THREATS AND FRAUDS IN
ONLINE BANKING AND FAMLIAR WITH THE METHODS OF
SECURED ONLINE TRANSACTIONS?
6

Series 1
3
Series 2
Series 3
2

0
Category 1 Category 2 Category 3 Category 4

AWARNESS OF FREQUENCY PERCENTAGE CUMULATIVE

FRAUDS FREQUENCY
YES 58 58% 58

NO 27 27% 75

CAN’T SAY 15 15% 100

INTERPETATION:

It is good to see that most of the users have knowledge about frauds
and security issues of net banking but even with the increasingly
knowledge of internet banking some respondent are unaware the
methods taken up by the bank to secure each and every transaction.
14. DOES YOUR BANK UPGRADE ONLINE SERVICES REGULARLY?

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr

9%

10%

23% 59%

UPGRADATION OF FREQUENCY PERCENTAGE CUMULATICVE

ONLINE SERVICES FREQUENCY

YES 66 66% 66

NO 29 29% 95

CAN’T SAY 5 5% 100

INTERPRETATION:

This is very interesting to see that most of the online banking users think
that there is banks upgrades their services regularly. But some people did
not think so and same few did not come to a conclusion.
 CONCLUSION:

In a country like India, there is need for providing better and customized
services to the customers, Banks must be concerned about the attitudes
of customers with regard to acceptance of internet banking. The
importance of security and privacy for acceptance of Internet banking
has been noted in many earlier studies and it was found that people claim
that they have knowledge about security issues but they have no clear
idea about all kind frauds.

The present study shows that customers are more reluctant to accept new
technologies or methods that might contain little risk, Hence, banks
should design the website to address security and trust issues.

People are not confident enough to whether to rely completely on online

banking, there is hesitancy in their minds with regards to preference, So
they use both the online and offline banking.
RECOMMENDATIONS:

We can see the time is changing and we are now accepting technology
but there is still a lot of perceptual blocking which hampers the growth
its normal tendency of technology, that why the growth of Internet
banking is very primitive in nature.

Recommendations to banks:

Banks should obey the RBI norms and provide facilities as per the
norms. But this are not completely followed by the banks. Some of our
respondents complained that their bank do not give feedback of online
transaction in proper times. If customers do not get proper feedback then
their interest in online services will be reduced. So bank should take
proper steps to build their feedback services.

Internet banking facilities must be made available in all banks

as well as in all branches.

There are some co-operative banks in this area and these types of banks
still do not have core- banking facilities. For this reason this type of bank
loses their customers. So co-operative banks should be covered under core-
banking system.

Recommendations to users:

Use anti-virus and maintain the integrity of your computer by scanning

regularly for computer viruses.

If using the same computer or mobile for online banking, e-mail and
web browsing, always LOG OFF banking sessions before checking e-
mail or web browsing. computer viruses today are capable of installing
themselves through e-mail links as well as web sites where just
 passively moving your mouse over an image could be enough to install
a script that grabs your cached online banking credentials (user ID and
password) and allows a criminal to steal money from your account.
Always keep your anti-virus

software up-to-date.

Always use original operating system with original commercial anti-

virus which could be better than crack version or free sample,

if you are using computer with multiple operating system (e.g.,

Libuntu, Dos or Windows) you must separately install anti-
viruses for each 0.5.

Do not respond to e-mails requesting account information, account

verification or banking access credentials such as usernames,
passwords, PIN codes and similar information.

Do not use e-mail or e-mail based fax systems like FACsys} to

send sensitive information,

Install a dedicated, actively managed network firewall to limit the potential

for unauthorized access to your network or computer,

• Consider installing a spyware detection program.

Clear the browser cache before staffing an online banking session to

eliminate copies of web

Pages that have been stored on the hard disk.

• Verify the secure session (https or not https) in the browser.

• Avoid using automatic login features that save your personal details.

Create a strong password but that will be easy to remember without

writing it down anywhere.

• Frequently change your password combination for better protection,

Last but not the least, some of our respondents share that they received
a phone call by which a male or female gave a news that the
respondents won lottery worth 25 lass or a big amount from either their
mobile company or somewhere else. But the fact is this type of caller
want customer’s bank details or ATM card details to send the huge
money and someone were trapped by it and told them their very confidential
information and then the scam happened when customers want to check the
bank balance they see there is no balance at all and this is very shocking news
to them. So do not believe such phone call or e-mail otherwise you will be
cheated.
 BIBLIOGRAPHY

WERSITES:

www.google.com

www.wikipedia.in

www.slideshare.net

www.scribed.in

www.investopedia.com

www.yahoo.com

www.sbionline.com

www.sbi.co,in

www.linkedin,com

www.rbi.org.in

www.rbi.in

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 e-Commerce: - written by Prof. (Dr.) Dilip Kumar Chakraborty

& Prof. Debdulal
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QUESTIONNAIRE
2 0
A.PERSONAL
DETAILS:
IV. OCC
I. NAME: II. GENDER: FEMALE
UPATION MALE V.

III. AGE GROUP:

MONTHLY BELOW
INCOME: 0-
B.EDUCATIONAL 35-P ABOVE

PROFILE:
MADHYAMIK
H.S
GRADUATE
OST- GRADUATE
 OTHER

1. HOW OFTEN DO YOU USE INTERNET PER WEEK?

ONE HOURS
TWO HOURS
THREE HOURS
 MORE THAN THREE HOURS

2. IN WHICH BANK DO YOU WANT AN ACCOUNT?

SBI
AXIS
ICICI
UCO
HDFC
UBI
BOI
PNB
STANDARD CHARTERED
 OTHERS.(SPECIFY)

3. DO YOU HAVE AVAIL OF ALL BANKING FACILITIES

ONLINE?

YES NO
4. IS YOUR BANK OPERATED UNDER CORE BAKING
FACILITY?

YES NO CAN’T SAY

5. HOW FEQUENTLY DO YOU USE ONLINE BANKLING SER

VISES?
DAILY
WEEKLY
MONTHLY
YEARLY
OCCASIONALLY
EVER
 N

6. WHY DO YOU AVAIL OF ONLINE BANKING?

PRIVACY 24*7BUSINESS HOURS

CONVENIENCE NOT TO

MOVE ANY WHERE H EASY TO

USE

SAVING TIMES AND SPEED ARD TO SAY

OTHER.(SPECIFY)

7. KAINDLY RATE THE FOLLOWINGS OF YOUYR ONLINE

BANKING SERVICES?

QUESTIONS EXCELLEN GOOD AVERAG POOR NOT

T E APPLICAB
LE
FUND
TRANSF
ER

ATM
BANKING

BALANC
E
ENQUIR
Y
ONLINE
FIXED
 DEPOSIT

REQUE
ST
DEMAN
D
DARFT
S
ONLINE

SHOPPI

NG
ONLINE
RECHARGE

PAY BILLS
OTHER

8. DOES YOUR BANK EDUCATE YOU ABOUT THE ONLINE

BANKING SERVIES?

YES NO CANT’ SAY

9. ARE YOU AWARE OF THE SECURITY

THREATES AND FRAUDS IN ONLINE
BANKING AND FAMILEAR WITH THE
METHODS OF SECURED ONLI NE
TRANSACTIONS?

YES NO CAN’T SAY

10. DOES YOUR BANK UPGRADE ONLINE SERVICES

REGULARL?
YES NO CAN’T SAY
11. ARE YOU IN THE OPINION THAT YOUR
BANK CHARGES UNNECESSARY FOR ONLINE
SERVICES?

YES NO CAN’T SAY

12. DO YOU THINK ONLINE BANKING IS BETTER

SUBTITUTE OF TRADITIONAL BANKING
SYSTEM?

YES NO CAN’T SAY

13. WHICH FACTOR DO YOU THINK RESPONSIBLE

FOR NON-ACCESSEBILITY OF ONLINE BANKING BY
MAJORITY OF PEOPLE IN YOUR AREA?

LACK OF AWARNESS OF PEOPLE

INADEQUATE ATM
SERVIES RURAL AREA ACK OF
L FCILITY
COMPUTER

LESS INTERNET CONNECTION

LACK KNOWLWDGE OTHER

REASON
14. IN YOUR OPINION WHICH ONLINE
OPRATIONS SHOULD BE MODIRED
PEOMPILY FOR BETTER SERVICES IN
FUTURE?
ATM SERVICES BILL PAYMENT
ACCOUNTS SERVICES FUND TRANSFER E-TAX
PAYMENT E-DEPOSIT
MARKET INVESTMWNT & DMATE SERVIES LOANS AND CREDIT
 SERVICES OTHER CUSTOMER SERVICES

15. GIVE YOUR OVERALL RATING IN ONLINE BANKING

SERVICES?

EXCELLENT VERY
TO
GOOD GOOD AVERAGE POOR HARD Y
SA