A

PROJECT REPORT ON
ROLE OF IT IN BANKING

In Partial Fulfillment Of The Requirement

For The Award Of The Degree
Of
Bachelor Degree of Commerce (B.Com)

Under The Guidance Of: Submitted By:

Mr. Rashmikanta Barik Asit Ku. Pattanaik
(Lecturer In Commerce) +3 3rd Yr. Com.
Roll no.-2102ACOMM007

TALCHER AUTONOMOUS COLLEGE, TALCHER

Affiliated To Utkal University, Vani Vihar
(2023-24)
 CERTIFICATE

This is to certify that the dissertation entitled “ROLE OF IT IN BANKING” is

submitted for the award of the degree of bachelor of commerce of Talcher Autonomous
College, Talcher and result of bona-fide research work carried out by ASIT KUMAR
PATTANAIK Under my guidance and supervision. No Part of this has been submitted
by any degree or diploma.

Mr. Rashmikanta Barik

(Lecturer in Commerce)
 DECLARATION

I hereby declare that the entitled “ROLE OF IT IN BANKING” is submitted by me

& the original work under the guidance of Mr. Rashmikanta Barik (Lecturer in Com.),
Talcher Autonomous College, Talcher for the award of bachelor of commerce for the
fulfillment of the syllabus for bachelor in commerce 2022. It is an original work and it
is not published or submitted by any of the university or institutions.

The project embodies finding and observation of my study and has not been to any
other institution or university nor published at anywhere before.

Asit Ku. Pattanaik

+3 3rd Yr. Com.

Roll no.- 2102ACOMM007

 ACKNOWLEDGEMENT

I express my sense of gratitude to Mr. Rashmikanta Barik (Lecturer in Com.),

Department of commerce, Talcher Autonomous College, Talcher for constant
encouragement, inspiration, permission and valuable advice, consistent guidance and
enlightened direction in preparing this dissertation on “ROLE OF IT IN BANKING”.
I am highly thankful to my esteemed faculty.

Lastly, I would like to thank my family and friends for their constant support and
encouragement to complete my dissertation work.

Asit Ku. Pattanaik

+3 3rd Yr. Com.

Roll no: - 2102ACOMM007

 CHAPTER I
INTRODUCTION

1
1.1 Introduction
The banking industry in India is in the Midst of an information technology revolution. A
combination of regulatory and competitive reasons has led to increasing importance of
total banking automation on this industry. Information technology has basically been
used under different avenues in banking. One is communication and connectivity and
another one is business process reengineering. Information technology enables difficult
product development. Better market infrastructure, implementation of reliable
techniques for control of risk and helps the financial intermediaries to reach
geographically distant and diversified markets.

Now a days IT helped the banking industry to deal with the challenges the new
economy poses. More than most other industries, financial institutions rely on gathering,
processing, analysing, and providing, information in order to meet the needs of
customers. Given the importance in banking, it is not surprising that banks were among
the earliest adopters of automated information processing technology. Technology
opened new markets, new products, new services and efficient delivery channels for the
banking industry. Online electronics banking, mobile banking and internet banking are
just a few examples. The electronics revolution as made it possible to provide ease and
flexibility in banking operation to the benefit of the customer. The e-banking has made
the customer say good -bye to huge account registers and large Paper hank accounts. The
e-bankers, which may ‘call as easy bank offers the following services to its customers like
credit cards/debit cards, ATM, E-cheque, EFT (electronic fund transfer), DEMAT accounts,
mobile banking, telephone banking, internet banking, EDI (electronic data interchange).
Progress of technology and the development of world-wide networks have significantly
reduced the cost of global fund transfer. It is information technology which enables banks
in meeting such high expectations of the customers who are more demanding and are

2
also more techno-savvy compared to their counterparts of the yesteryears. They demand
instant, anytime and anywhere banking facilities. It has been providing solutions to banks
to take care of their accounting and back-office requirements.

1.2 Statement of problem

The study focuses to examine the relationship between new technology implantation in
banking sector and customers. How they are aware about the technologies and how they
are using it. The study covers the service offered by banks to the customers by the use of
technology. More specifically latest technological delivery channels, namely ATM/Debit
card, Credit card, internet banking, mobile banking etc. As been taken up for the purpose
of study. This project is an analytical study based on

random sampling to ascertain the usage and satisfaction level and customers attitude
towards these channels. The study also gives an idea of rendering secure, 24×7×365 e-
banking services at a lower cost, without compromising with the quality thereby resulting
in the widening of customer base.

1.3 Objectives of the study

 To study the role of technology on banks.

 To determine the in banks used by customers.

 To analyse the banking innovations after computerisation of banks in India

1.4 Hypothesis of the study

Null hypothesis

Alternate hypothesis

1.5 Research design

1.5.1 Nature of study

3
 Descriptive and analytical in nature

1.5.2 Nature of data

Both primary and secondary data are collected

1.5.3 Source of data

Primary data are collected

Secondary data are collected

1.6 Sample design

1.6.1 Nature of population

Population is taken from peoples on rural areas

1.6.2 Sample size

Banking customers are taken as samples

Your text here 1
1.6.3 Sampling unit

The sample size of the study is 50 respondents

1.6.4 Sample method

Convenience sampling

1.7 Tools for the data collected and analysed

 Tools used for the questionnaire

 Simple percentage, pie chart and table were used

1.8 Limitations of data

 The study was primarily limited by small sample size.
 The primary data collected should not be accurate
 The project does not include case study related to hackers and fraud

4
 CHAPTER II
REVIEW OF LITERATURE

5
 CHAPTER 2: REVIEW OF LITERATURE

2.1 Conceptual review

The Indian banking system trying to wake up from sleep and become proactive till 1990,
The Indian banks have been working in a very comfortable and protected environment.
However, the technology is lifting the banking sector. Traditionally, banks have been using
technology to improve their products and efficiency. The technology is shifting from mass
banking to class banking with the introduction of value added and customized products.
Technology allows banks
to create what look like a branch in a business building’s lobby without having to hire
manpower for manual operations. This chapter is going to study about the role of IT in
banking sector and how it helps the banking industry by analysing the study made by early
researchers.
2.1.1Concept
IT enabled sophisticated product development, better market infrastructure,
implementation of reliable techniques for control of risk and help the financial
intermediaries to reach geographically distant areas.

2.1.2Definition
Vadlamani Ravi(2007)defines the term “banking technology “refers to the use of
sophisticated information and communication technologies together with computer science
to enable banks to offer better services to its customers in a secure, reliable, and affordable
manner, and sustain competitive advantage over other banks.
2.1.3Advantages

• Allows to handle transactions and monitor bank statement at anytime • Offering

more services that benefit their potential and current customers.
• Made communication easier, cheaper, quicker and more efficient.
• Transactions are achieved in the less amount of time compared to day before
automation.
• Creation of new and interesting job in the information technology fields.

6
2.1.4 Disadvantages

• Less security in transactions and it is risky to communicate account details through

internet.

• Bank offers mobile banking to all customers, some customers are limited to the
number of services offered as they do not have compatible mobile devices.

• Cost of mobile banking occur if the customer do not have compatible devices.

2.2Empirical literature
Aggarwal (2003) in his paper, hunted for such avenues wherever e-banking may play
important role in e-democracy. The author mentioned to case study’s on the
implementation of e-banking in digital democarcy.one was farmer service and different
was e-seva. Where as applying e banking in e-democracy, services become safer, efficient,
clear and quick. It becomes a win-win state of affairs for all, for banks its low price, for
presidency its higher service, for business its quick and secure, and for voters its clear and
economical. The author evaluated that e-banking might be used for thriving e-banking for
online bill payment, online brokerage, online account management, anyplace banking, etc.
The author terminated that e-banking services give one stop service and informational unit
that gives nice advantages to banks, customers, employers and government.
Arora (2003) created an effort to prove that technology had a definitive role in facilitating
transactions within the banking sector, and also the impact of technology had resulted into
the introduction of recent product and services by varied banks in Asian nation. The author
mentioned Barrier initiatives taken by the banks to manage transformation and these
initiatives had brought customers the convenience of anyplace, anytime banking. The
author ended that technology was a helper for advancement with in the court business of
banking and not an finish in itself.
Hogarth & Hilgert (2004) highlighted that electronic banking technology represents a
spread of various services, starting from common ATM services and direct deposit to
automatic bill payment (ABP), electronic transfer for funds (EFT)and pc banking (PC
banking). The utilization of e-banking technologies had grownup chop-chop within the
USA, whereas others are adopting it slowly. The authors explored such factors that have
an effect on the adoption to Adopt 3 e banking technologies and changes in these factors
over time. They advised that e banking technologies couldn’t be aggregate in to one class,
and thus, “one size Fix all” wouldn’t work. The utilization of e-banking depends upon

7
however it helps in saving time, decrease the errors, up inaccurate accounting and
preventing in manipulation of information.
Ashiya (2006) evaluated developments created by electronic payments. The author
evaluated completely different modes of e-payment used across the world. The most
objective of the study was to seek out the present offerings and development provided by
electronic payments. The author evaluated completely different modes if e-payment like
plastic cards, debit cards, credit cards, sensible cards, electronic cheques etc. These
electronic ways in which provided a wonderful instrument for payment system. The author
analyzed that security was the most concern among electronic payments. However, e-
payment this subtle technology maybe used as a tool for the improvement of client loyalty
and business of banks because it had reduced the danger &value and will increase the client
loyalty.
Enders et al. (2006), in their paper, self-adressed a basic downside of the troubled
innovation theory that lies within the problem to categories new technologies into
sustaining and troubled innovation. The researchers 1st mentioned basic principle of
troubled innovation theory, printed 5 main strategic divisions that incumbent companies
ought to address ones they face troubled circumstance in their business. They more
mentioned completely different e-banking modes employed by Nordea banks, i.e., e-
identification, e-signature services,e-billing services, e-salary performs, e-payment
performs. However, e-banking services ought to be properly analyzed for the Einstein
theory of relativity of disruption.
Krishnamurthy (2006) highlighted the benefits, risks, innovations and convenience
concerned in e-banking. ATM, telephone, web and cluster banking helped banks to deliver
the merchandise a lot of effectively. The author, in his paper, conjointly delineated
operational potency of ebanking. It enclosed basic e-banking, straight forward transactional
and advanced transactional e banking. Every website offered a differential reasonably
service to customers. The author conjointly commented upon some risks like loss of
secrecy of the shoppers, money stability, fraud prone potentialities, eruption of legal
claims, etc. So, the author argued that banks ought to adopt such a technique during which
risks and innovation in banking merchandise move parallel and at the same time.
Paul (2006) mentioned the role of technology and scope of remote channels, their
implication, strength, weakness, chance and threat in banking sector. The author evaluated
that IT development effect banking in 2ways that. Firstly, it had contributed in reduction
of prices related to management of knowledge by substitution paper based mostly and
labour-intensive strategies with automatic processes. Secondly, it had changed the ways
that during which customers had access to banks services and product. The man of science
found that the introduction of ARGS, NDS, and CFMS had exaggerated the security,
potency and soundness in payment system. Lastly, the author discovered that technology

8
had a good impact on the structure of banking sector with in the variety of bank branches,
bank personnel and aliens.
Raghvan (2006) He mentioned the transformation within the banking sector thanks to
impact of knowledge technology, telecommunication and electronic processing. He
conjointly tried to check the perception Of banks in India within the year 2020 taking under
consideration the impact of net banking, ATMs, newt on the performance of bank and
initiative taken in easing, privatization and economic process. He conjointly evaluated the
long run of online and net banking. Technology has modified the face of the Indian
banking sector through automation. although the new non-public and foreign sector banks
have a foothold at the present, however public sector banks have conjointly created a big
progress during this regard. The analysis of the info collected from numerous banks has
been done below the subsequent heads.
Raja et al.(2008)evaluated the impact of e-payment system on the business opportunities.
They know that attributable to the expansion of net users, varied electronic payment
mechanisms had been developed to cater the range of candidate. The researchers classified
the e-payments into 3 main teams, namely, money like systems, and hybrid systems that
were any classified into credit cards, debit cards and electronic cheques. They know 3 main
problems associated with epayments that were security problems, low interest among
business man and serious reliance on ancient payment ways. They additionally analysed
that there have been technical and cultural issues that hinder the trail of e-payments.
However, to form e-payments simpler, security threats ought to be reduced; and folk sought
to be complete that ancient payment ways were longer intense than electronic payment
ways. They ought to even be complete that plastic card payments were additional
convenient, easier and safer than money or cheques.
Jain and Hundal (2006) represented the importance of mobile banking and barriers within
the adoption of mobile banking. The paper examined the forces which will act as barriers
in mobile banking service adoption. the target of the study was to seek out the explanations
why the folks had not absolutely accepted the technology though it provided abundant
advantage to the banking customers as compared to previous technologies. The paper tried
to spot the varried barriers,viz.access issues, discontentedness and inability of service
suppliers within the adoption of mobile banking services. The results of this study indicated
that buyers got demoralized by the difficult perform whereas accessing the mobile banking
services that cause rise in their discontentedness level, as no correct steerage was provided
to them. The researchers instructed that service suppliers ought to bear in mind of the issues
of their customers. The finding of the study gave a quick outlook for the sensible
implication for managers and policy-makers United Nation agency have to be compelled
to create ways and choices so as to cater the undiscovered service market.

9
 CHAPTER III
INDUSTRY AND COMPANY PROFILE

10
 Chapter 3: Industry and company profile

3.1 History of IT in banking industry

The antiquated Indian banking system has its roots in the nineteenth century. The
character and structure of the system has, however changed substantially since 1969,
when the major banks were nationalized. prior to nationalization, banking was
concentrated in urban areas. It was clear that A better banking system was needed to
promote the economic goals of the new Indian state. Rural markets for industrial goods
could not be developed so long as moneylenders, charging usurious rates of interest, were
the main source of rural credit. Moreover the ‘green revolution ‘depended on farmers
finding substantial sources of credit to pay for fertilizers and hybrid seeds.
Since the mid-1970s, there has been a spectacular growth in the spatial distribution of
bank branches and in the size of their deposits and advances. According to experts in
banking this transformation as no parallel anywhere in the world. After nationalization,
there was also a change in recruitment policy. For the first time, the doors of the banks
were opened to everyone, irrespective of family status, caste, community, religion or
gender. Recruitment was placed on a more systematic basis, with merit assessed by
aptitude tests conducted by an external agency in a relatively impartial manner.
As the size of the banking sector increased, the industry became difficult to manage.
Computer technology offered a possible solution. In India, a small number of industrial
houses and a few educational, research and development institutions started using
computers in the early 1960s. During the late 1960s and 1970s, service-oriented industries
such as airlines, railways and insurance companies introduced computers to
‘improve their functioning’ and ‘to provide better customer service’. Banks in India did
not, however, introduce computers on a large scale because of the fear that these would
result in retrenchment and unemployment. For a long time, Indian banks faced very little
competition and operated in a protected economy. Thus, no long-term policy or
perspective for the banking sector was formulated: it was simply treated as part of the
public sector. This is now changing. Well-computerized foreign banks are beginning to
compete seriously with the nationalized banks. They aim at a profitable and wealthy part
of the market and, in contrast to the nationalized banks, do not recognize any social
responsibilities to small account holders or to a rural and semi urban clientele.

11
3.2 Recent trends in banking
3.2.1Electronic payment system (EPS)
A new technology is being developed in US for introduction of e-cheques, which will
eventually replace the conventional paper cheque. India as harbinger to the introduction
of e-cheque, the negotiable instruments act has already been amended to include;
truncated cheque and E-cheque instruments.
3.2.2Real time gross settlement (RTGS)
Real time gross settlement was introduced in India since march 2004, is a system through which
electronics instructions can be given by banks to transfer funds from their account to the account
of another bank. The RTGS system is maintained and operated by the RBI And provide a efficient
and fast fund transfer among bank facilitating their financial operations. As the name suggest the
between bank take place on a real time basis. Therefore money can reach the beneficiary
instantaneously and the beneficiary’s bank has the responsibility to credit the beneficiary’s
account within two hours.
3.2.3Electronic fund transfer (EFT)
EFT is a system where by anyone who want to make payment to another
person/company etc. can approach bank and make cash payment or give
instructions/authorization to transfer funds directly from his own account to the
receiver/beneficiary complete details such as the receiver’s name, bank account number,
account type,(savings or current account ), bank name, city, branch name etc. should be
furnished to the bank at the time of requesting for such transfers so that the amount
reaches the beneficiaries account correctly and faster. RBI is the service provider of EFT.
3.2.4 Electronic clearing service (ECS)
Electronic fund clearing services is a retail payment system that can be used to make bulk
payments/receipts of a similar nature especially where each individual payment is of a
repetitive nature and of relatively smaller amount. This facility is meant For companies
and government departments to make/receive large volume of payments rather than for
funds transfer by individuals.
3.2.5 Automatic Teller Machine (ATM)
ATM is a most popular device in India, which enables the customer to withdraw their
money 24hours a day 7days a week it is a device that allows customers who has an ATM
card to perform routine banking transactions without interacting with a human teller. In
addition to cash withdrawal, ATMs can be used for payment of utility bills, funds transfer
between accounts, deposit of cheque and cash into accounts, balance enquiry etc.

12
3.2.6 Point of sale terminal
point of sale terminal is a computer terminal that is linked online to the computerized
customer information files in a bank and magnetically encoded plastic transaction card
that is debited and the retailer account is credited by the computer for the amount of
purchase

3.2.7 Telebanking
telebanking facilitates the customers to do entire non cash related banking to telephone.
Under this device automatic voice recorder is used for simpler queries and transactions
for complicated queries and transactions, manned phone terminals are used.

3.2.8 Electronic data interchange(EDI)

electronic data interchange is a electronic exchange of business documents like purchase
order, invoice , shipping notices, receiving advices etc. in a standard , computer
processed, universally accepted format between trading partners.EDI can also be used to
transmit financial information and payments in electronic form.
3.3 Opportunities
The various opportunities that the new trends bring for the development of banking
sector are mentioned below:

3.3.1 Internet banking

It is clear that online finance will pickup and there will be increasing convergence in terms
of product offering banking services, share trading insurance, loans, based on the data
warehousing and data mining technologies. Anytime anywhere will become common and
will have to upscale, such upscaling would include bank launching separate internet
banking services apart from the traditional banking services.

3.3.2 Retail lending

Recently banks have adopted customer segmentation which has customizing their
product follow well. Thus retail lending has become a focus area particular in respect of
financing of consumer durables, housing, automobiles etc. Retail lending has also helped
in risk dispersal and in enhancing the earnings of banks should tap the rural market in the
years to come.

13
3.3.3 Offering various channels
Banks can offer so many channels to access their banking and other service Such as ATMs,
local brands, telephone banking, mobile banking, video banking etc. Increase the banking
business.

3.3.4 Other opportunities

There are many other opportunities in future in the failed of Indian banking sector eg. To
enter nee business and new market, to improve efficiency, to deliver high level of
customer service.
3.4 Way forward
Everyone today is convinced that the technology is going to hold the key of future of
banking. The achievements in the banking today would not have make possible without
IT revolution. Therefore the key point is while changing to the current environment the
banks has to understand properly the trigger for change and accordingly find out the
suitable departure point for the change. Although, the adoption of The technology in
banks continue at a rapid pace. The concentration in perceptibly more in the metros and
urban areas. More and more programs and software in regional languages cloud be
introduce to attract more and more people for the rural segments.

14
 CHAPTER IV
DATA ANALYSIS AND INTERPRETATION

15
 DATA ANALYSIS AND INTERPRETATION
Table 4.1 showing the Age of respondents

Age Percentage Frequency

<20 50 25
21-30 42 21
31-40 6 3
>40 2 1
Total 100 50

Figure 4.1 showing the age of respondents

Column2
60

50

40

30

20

10

0
<20 21-30 31-40 >40

Column2

Interpretation:

This table shows among the respondents, 50%belongs to the age category of less than
20,42% belongs to 21-30, 6% belongs to 31-40 and remaining 2% consist of the age
category of greater than 40.

16
 Table 4.2 showing the gender of the respondents

Gender Percentage Frequency

Male 28 14
Female 72 36
Transgender 0 0
Total 100 50

Figure 4.2 showing the gender of the respondents

Chart Title
80
70
60
50
40
30
20
10
0
Male Female Transgender

Series1

Interpretation :

This table 4.2 shows that 28% were male respondents and 72% are female respondents.

17
 Table 4.3 showing the Educational qualifications of respondents

Educational Percentage Frequency

qualification
Primary 4 2
Secondary 32 16
Graduate 60 30
Postgraduate 4 2
Total 100 50

figure 4.3 showing the Educational qualifications of respondents

Interpretation :

Chart Title
70

60

50

40

30

20

10

0
Primary Secondary Graduate Postgraduate

Series1

The table 4.3 shows that 4% were primary qualified, 32% were secondary qualified 60%
were graduated and 4% were postgraduate.

18
 Table 4.4 showing the Bank account details of respondents

Bank account details Percentage Frequency

Respondent having bank 100 50
account
Respondents do not having 0 0
bank account
Total 100 50

figure 4.4 showing the Bank account details of respondents

Percentage
120

100

80

60

40

20

0
Respondent having bank Respondents do not having
account bank account

Percentage

Interpretation :

This table 4.4 shows that 100% of the customers have bank account and all of them are
aware of bank accounts

19
 Table 4.5 showing type of bank accounts

Type of account Percentage Frequency

Current 24 12
Savings 66 33
Fixed deposit 10 5
Total 100 50

Figure 4.5 showing Type of bank account

Percentage
120

100

80

60

40

20

0
Current Savings Fixed deposit Total

Percentage

Interpretation :

The table 4.5 shows 24% of customers are using current account, 66% of customers are
using savings account and 10% are using fixed deposit account.

20
 Table 4.6 showing type of service aware by respondents

Type of services Percentage Frequency

Internet banking 26 13
Telephone banking 4 2
ATM 66 33
Others 4 2
Total 100 50

Figure 4.6 showing the Type of service aware by respondents

Chart Title
70

60

50

40

30

20

10

0
Internet banking Telephone banking ATM Others

Series1

Interpretation :

21
Table 4.6 shows that 26% of respondents are aware of online banking, 4% are aware of
telephone banking, 66% are aware of ATM facility and remaining 4% of respondents are
more aware of other e banking services

Table 4.7 showing reason to use new technologies in banking

Reason Percentage Frequency

Easy to use 68 34
Popularity 6 3
Less time required 26 13
Total 100 50

Figure 4.7 showing reason to use new technologies in banking

22
 Percentage
80
70
60
50
40
30
20
10
0
Easy to use Popularity Less time required

Percentage

Interpretation :

This table 4.7 shows that 68% of respondents are using banking services because these are
easy to use, 6% are using by popularity, 26% says it requires less time.

Table 4.8 showing the information regarding usage of e banking

Time period Percentage Frequency

Daily 8 4
Weekly 28 14
Monthly 38 19
Quarterly 26 13
Total 100 50

23
 Figure 4.8 showing the information regarding usage of e banking

Percentage
40
35
30
25
20
15
10
5
0
Daily Weekly Monthly Quarterly

Percentage

Interpretation :

Table 4.8 shows 8% of respondents use e-banking on daily basis, 28% are using weekly,
38% are using monthly and remaining 26% are using quarterly basis

Table 4.9 showing customers satisfaction about ATM facility

Customers satisfaction Percentage Frequency

Satisfied 96 48
Not satisfied 4 2
Total 100 50

24
 Figure 4.9 customers satisfaction about ATM facility

Chart Title

Satisfied Not satisfied

Interpretation:

This table 4.9 shows that 96% of customers are satisfied with ATM facility and only 4%
are not satisfied with ATM facility.

Table 4.10 showing customer satisfaction with banks up-to-date technologies

Customers satisfaction Percentage Frequency

Satisfied 92 44
Not satisfied 8 6
Total 100 50

25
 Table 4.10 showing customers satisfaction with banks up-to-date technologies

Chart Title

Satisfied Not satisfied

Interpretation :

This table 4..10 shows that 92% of customers are satisfied with banks up-to date
technologies and the remaining 8% are not satisfied with it.

Table 4.11 showing safety of online banking

Customers opinion Percentage Frequency

Online banking is safe 70 35
Online banking is not safe 30 15

26
 Total 100 50

Figure 4.11 showing safety of online banking

Chart Title

Online banking is safe Online banking is not safe

Interpretation :

The table 4..11 shows 70% of respondents says online banking are safe and 30% of
respondents says its not safe.

Table 4.12 showing service efficiency of banks after computerization

Service efficiency Percentage Frequency

27
 Excellent 12 6
Good 78 39
Average 10 5
Poor 0 0
Total 100 50

Figure 4.12 showing service efficiency of banks after computerization

Column2
90
80
70
60
50
40
30
20
10
0
Excellent Good Average poor

Column2

Interpretation:

This table 4.12 shows 12% respondents says banks service efficiency is excellent after
computerization, 78% says good, 10% says average efficiency and no one says poor
efficiency.

Table 4.13 showing easy to use new technologies

28
 Opinion Percentage Frequency
Easy 92 46
Not easy 8 4
Total 100 50

Figure 4.13 Showing easy to use new technologies

Chart Title

Easy Not easy

Interpretation:

This table shows 92% of respondents can use new technologies easily and 8%of
respondents can’t use it easily.

Table 4.14 Showing more useful e-banking service

29
 Services Percentage Frequency
ATM 38 19
Online banking 42 21
Debit /credit card 18 9
Electronic fund transfer 2 1
Total 100 50

Figure 4.14 Showing more useful e-banking services

Chart Title
45
40
35
30
25
20
15
10
5
0
ATM Online banking Debit /credit card Electronic fund
transfer

Series1

Interpretation :

Table 4.14 shows that 38% of customers opinion is ATM as more useful service offered
by e-banking. 42% of customers opinion is online banking is useful. 18% of customers
opinion is debit or credit card and the remaining 2% is with electronic fund transfer.

Table 4.15 Showing E-banking using customers

30
 Usage Percentage Frequency
Using e-banking 70 35
Not using e-banking 30 15
Total 100 50

Figure 4.15 Showing E-banking using customers

Chart Title

Using e-banking Not using e-banking

Interpretation :

The table 4.15 shows that 70%of respondents are using e-banking services and 30% of
respondents are not using e-banking services.

31
 Table 4.16 Showing reason for using e-banking

Reasons Percentage Frequency

Easy to use 29 10
No need of stepping into 31 20
banks
Less time required 11 6
Safe 7 4
Total 100 50

Figure 4.16 Showing reason for using e-banking

Percentage
45
40
35
30
25
20
15
10
5
0
Easy to use No need of stepping Less time required Safe
into banks

Percentage

Interpretation :

This table 4.16 shows 20% of respondents using e-banking because of easy to use. 40%
are using because no need of stepping in to banks. 12% goes with less time
required.remaining 8% using because of it’s very safe.

32
 Table 4.17 Showing reason for not using e-banking

Reasons Percentage Frequency

Less secure 16 8
Not aware about 32 16
services
No required facility 12 6
Other 40 20
Total 100 50

Figure 4.17 Showing reason for not using e-banking services

Chart Title
45
40
35
30
25
20
15
10
5
0
Less secure Not aware about No required facility Other
services

Series1

Interpretation :

The table 4.17 shows 16% of respondents not using e-banking because of less security.
32% not aware about services. 12% has no required facility and the remaining 40% not
using e-banking because of other reasons.

33
 Table4.18 Showing money transfer facility

Option Percentage Frequency

Very good 20 10
Good 69 35
Average 11 5
Poor 0 0
Total 100 50

Figure 4.18 Showing money transfer facility

Percentage
80
70
60
50
40
30
20
10
0
Very good Good Average Poor

Percentage

Interpretation :

This table 4.18 shows 19.61% of respondents rated as very good about money transfer
facility, 68.63% rated good, 11.76% rated as average.

34
 Table 4.19 Showing satisfaction level about charges fixed for facilities offered by
banks

Customers satisfaction Percentage Frequency

Satisfied 56 29
Not satisfied 44 21
Total 100 50

Figure 4.19 Showing satisfaction level about charges fixed for facilities offered by
banks

Chart Title

Satisfied Not satisfied

Interpretation :

This table 4.19 shows 56%of respondents are satisfied with the charges and the remaining
44% are not satisfied with it.

35
 Table 4.20 showing the satisfaction about security offered for e-banking

Customers satisfaction Percentage Frequency

Satisfied 86 44
Not satisfied 14 6
Total 100 50

Figure 4.20 satisfaction about security offered for e-banking

Chart Title

Satisfied Not satisfied

Interpretation :

The table 4.20 shows 86% of respondents are satisfied with security of e-banking and 14%
are not satisfied.

36
 Table 4.21 showing disadvantage of visiting bank branches

Options Percentage Frequency

Waiting 68 35
Distance 15 8
Opening time 3 2
Customer service 14 5
Total 100 50

Figure 4.21 disadvantage of visiting bank branches

Chart Title
80
70
60
50
40
30
20
10
0
Waiting Distance Opening time Customer service

Series1

interpretation :

Table 4.21 shows 68%of respondents not visiting bank branch because of waiting time,
15% respondents problem us distance, 3% are not satisfied with opening time and 14% not
visiting banks because of customer services.

37
 CHAPTER V
FINDINGS, SUGGESTIONS AND CONCLUTIONS

38
 FINDINGS, SUGGESTIONS AND CONCLUSIONS

5.1 findings

 Among the respondents 50% belongs to the ae category of less than 20, 42%
belongs to 21-30, 6% belongs to 31-40, 2% belongs to above 40.
 Among the respondents 28% belongs to male respondents and 72%are
female respondents.
 Most of the respondents are graduated.
 All the respondents have bank accounts and all of them are aware of bank
account.
 Among these 24% are using current account, 66% are using savings account
and10%are using fixed deposit account.
 Among the 50 respondents majority of them are aware of ATM facility.
 68% of respondents are using new technologies because it is easy to use.
 Among the 50 respondents 38% are using e-banking services on monthly
basis and only 8% are using in daily basis.
 Study on satisfaction level of customers on ATM facilities tells that 96% are
satisfied and 4% are not satisfied.
 92% of the respondents are satisfied with banks up to date technologies and
8% were not satisfied.
 Among the respondents 70% responded that online banking are safe.
 78% of respondents rated service efficiency of banks after computerization
is good, only 10% is rated as average.
 Among the respondents 92% can use new technologies easily and 8% feel
difficulty in using it.

39
 38% of respondents selected ATM facility as more useful e-banking service
and 2% with electronic fund transfer.
 Among the respondents, 70% are using e-banking technologies and 30% are
not using it.
 Among the e-banking using respondents, 31% using e-banking to avoid
stepping into banks and only 7% considered it’s safe.
 According to the study, reason for not using e-banking are studied .16% says
it is less safe, majority of them are not aware of the services.
 69% of respondents rated money transfer facility as good, 11% rated as
average.
 56% are satisfied with charges fixed for facilities offered by banks.
Remaining 44% are not satisfied with it.
 Among the respondents 86% are satisfied with security offered for e-banking
services, 14% were not satisfied with it.
 Among the 50 respondents 68% says waiting is the main disadvantage of
visiting bank branch, 14% says customer service.
 74% preferring e banking because of good service, and 3% with cost of
charge.

40
5.2 suggestions
 The banks has to give more awareness to customers with age group of

31-40.
 Near to half percentage of respondents are not satisfied with the charges

offered by banks.
 Banks has to improve service quality towards customers with reduced

cost.
 Majority of e banking customers are educated. Bank has to improve their

technologies in favour of using for low educated persons.

 Bank has to popularize their e-banking services offered for customers.

41
 5.3 conclusion
The study focus on the role of information technology in banking sector. Majority of
respondents are now using e-banking services. Technology is one among the foremost
factor of human beings. Customers are started using e-banking made their banking
transactions easy. Respondents rated ebanking as good after computerization. Customers
feeling safety about their transactions. Bank also changed their approach from conventional
banking to convenient banking. There is also need to maintain e-banking services easy as
possible. IT enabled better market infrastructure, implementation of reliable technique for
control of risk and help the financial intermediaries to reach geographically distant and
diversified markets. But IT can be fully useful only if they enable to met the challenges in
the present environment. There is also need to maintain privacy and confidentiality of
data’s. Another important responsibility is to ensure that the data is only used for the
purpose intended. For this there is a need to implement IT and other cyber laws properly.
This will ensure the developmental role of IT in banking industry.

42
CHAPTER-6

43 44
REFERENCE:
The content for this project report has been taken from the following sources:

BOOKS:

 Banking & Insurance (T.R Jain)

 Banking Awareness (disha)

SITES:
 https://www.sbicard.com
 https://www.bankbazar.com
 www.news18.com
 www.creditmantri.com
 Youtube.com

44 45
APPENDIX
 QUESTIONAIRE
I am Sreejitha V B, perusing B com from Christ college (autonomous),
Irinjalakuda. As a part of my curriculum, I am currently working on my project
“Role of IT in banking “. I don’t want to spam you in anyway, the data will be
used for this research.

1. Name of the respondents

2. Age of the respondents

a)<20 b)21-30 c)31-40 d)>40

3.gender of the respondents

a)Male b)Female c)transgender

4.Educational qualification

a)primary b) secondary c)graduate d)postgraduate

5.do you have any bank accounts?

a)yes b) no

6.If yes, which type of account?

a)current b)savings c) fixed deposit d)others

7.which type of service you aware of?

a)internet banking b)telephone banking c) ATM d)others

8.which reason promotes you to use new technologies in banks?

a)easy to use b) popularity c)less time required d)others

9.How often you use digital banking?

a)daily b)weekly c)monthly d) half yearly

10.Are you satisfied with ATM facility offered by banks?

a)yes b)no

11.Are you satisfied with banks up-to-date technologies and equipments?

a)yes b)no

12.Do you think that online banking are safe?

a)yes b)no

13.what is your opinion about service efficiency of banks after computerization

a)excellent b)good c)average d)poor

14.Is it easy to use new technologies offered by banks?

a)yes b)no

15.which type of service is more useful for you?

a)ATM b)online banking c)debit/credit card

electronic fund transfer

16.Are you using e banking services?

a)yes b)no

17.if yes, reason for using e banking?

a)easy to use b)avoid stepping in to bank c)less time required

d)safe
18.if no, reason for not using e banking?

a)Less secure b)not aware about services c)no required facilities

d)other

19. What do you think about money transfer facility offered by e banking?

a)very good b)good c)average d)poor

20.are you satisfied with the charges fixed for the facilities offered by banks?

a)yes b)no

21.Is your bank provide proper security foe e banking?

a)yes b) no

22.what are the main disadvantage of visiting bank branch?

a)waiting b) distance c)opening time d)customer service

23.what do you prefer while choosing e banking services?

a)good service b)cost of charge c)popularity d)other

 TABLE OF CONTENTS
1. Chapter 1........................................................................... 01-04
Introduction................................................................... ….01
Statement of the Problem .................................................... 01
Scope of the Study ...............................................................01
Research Design............................................................. 01
Source of Data................................................................ 02
2. Chapter 2.............................................................................. 05-09
Review of Literature .............................................................. 06
Empirical Review.................................................................... 07
3. Chapter 3............................................................................. 10-14
Conceptual Review ............................................................... 07
Customer ............................................................................... 07
Customer Satisfaction ........................................................... 09
4. Chapter 4............................................................................ 15-37
Descriptive Statistical Analysis .............................................. 15
5. Chapter 5............................................................................... 38-42
Findings ...................................................................................40
Suggestion................................................................................41
Conclusion ...............................................................................42
6. Chapter 6.................................................................................... 43
Reference ............................................................................... 44