“A STUDY ON CUSTOMER PERCEPTION TOWARDS E-BANKING

SERVICES OFFERED BY PUBLIC SECTOR/NATIONALIZED BANKS”

 CONTENTS

CHAPTER TITLE PAGE NO

1 Introduction

2 Review of Literature and Theoretical Framework

3 Analysis and Interpretation of Data

4 Findings, Suggestions and Conclusion

5.Bibliography

6.Appendix - Questionnaire
 LIST OF TABLES

TABLE TITLE PAGE

NO NO

3.1 Age wise classification of respondents

3.2 Gender wise classification of respondents

3.3 Educational Qualification wise classification of respondents

3.4 Occupation wise classification of respondents

3.5 Monthly Income wise classification of respondents

3.6 Level of Knowledge to operate computer

3.7.1 Banks from which customers avail E-banking services

3.7.2 Years of use of E-banking services

3.8 Reasons for choosing Public sector/Nationalized banks for

conducting E- Banking transactions

3.9 Ranking of different channels for conducting banking

transactions

3.10 Awareness and usage of different E-Banking services

3.11 Different factors influencing E-Banking services

3.12 Level of satisfaction while using E-Banking services

3.13 Problems related with E-Banking

 LIST OF FIGURES

FIGURE TITLE PAGE

NO NO

3.1 Age wise classification of respondents

3.2 Gender wise classification of respondents

3.3 Educational Qualification wise classification of respondents

3.4 Occupation wise classification of respondents

3.5 Monthly Income wise classification of respondents

3.6 Level of Knowledge to operate computer

3.7.1 Banks from which customers avail E-banking services

3.7.2 Years of use of E-banking services

3.8 Reasons for choosing Public sector/Nationalized banks for

conducting E- Banking transactions

3.9 Most preferred channels to conducting banking transactions

3.10 Awareness and usage of different E-Banking services

3.11 Different factors influencing E-Banking services

3.12 Level of satisfaction while using E-Banking services

3.13 Problems related with E-Banking

 CHAPTER 1

INTRODUCTION
INTRODUCTION

In the development of our economy banking sectors play a

very important and crucial role. As we know, a bank is a financial institution which deals with
deposits, advances and other related services. Nowadays technology provides the highest support
for the smooth and efficient operations of banks. It offers numerous benefits to meet the needs,
wants and demands of different banking customers.
Delivery of bank`s services to a customer at his office or home by using
electronic technology can be termed as e-banking. These services are provided through various
channels like ATM, Credit Card, Debit Card, Internet banking, mobile banking, telebanking,
electronic fund transfer etc. It is a powerful value-added tool to attract new customers and retain
existing ones.
The transformation of conventional banking or traditional banking to e-banking
provided a wide area of study that is the customer perception towards e-banking services. In the
contest of e-banking services offered by public sector or nationalized banks, customer perception
would encompass how customers perceive and evaluate different aspects of these services. This
includes the thoughts and feelings about the ease of use of online banking platforms, the level of
security provided, the responsiveness of customer support, the range of services offered, the
convenience of digital transactions and overall satisfaction with e-banking experience. This
study throws some light on different E-banking services, its benefits, awareness among
customers about e-banking, satisfaction level while using e-banking services and the different
factors influencing the E-banking services.

SIGNIFICANCE OF THE STUDY

By E-banking numerous benefits are offered by banks to its different customers. According to
the changes in the globalized world our economy should be developed. There arises a need for
the updating to E-banking services. While looking into this it is important to know about the
customers satisfaction level of E-banking services. There are different factors that have
significant influence in E-banking. Passing through such factors will reflect the major benefits
delivered by it. In the modern era most of the fields are e-based so it is important to notice the
awareness of E-banking services among different beneficiaries of it.A cross checking of this may
lead to enhancing customer experiences, customer education, technological innovations and
strategic decision making.

STATEMENT OF THE PROBLEM

E-banking services are very essential to attract and retain the customers. In E-banking usage of
technology requires awareness, availability and change management nature. Customer
perception is subjective and can vary from one individual to another based on their unique
preferences, needs and experiences. Hence, it is required to know about the level of awareness,
usage pattern, satisfaction level, reasons for adopting and the problems related with E-banking.
The study is entitled as "A study on customer perception towards e-banking services offered by
public sector/Nationalized banks.”
This study is based on the following questions;
1. What is the satisfaction level of customers while using e-banking services?
2.What are the factors influencing E-Banking services/ Why customers choose e-banking?
3. Are customers aware of e-banking?
4. What is the usage pattern of different e-banking services?
5. Is there any problem related with the usage of e-banking?

SCOPE OF THE STUDY

Scope of this study is limited to the extent of responses from 90 e-banking customers, their
perception towards the service quality such as security, ease of use, responsiveness also the
information related to the customer satisfaction and perceived value reflecting convenience, cost-
effectiveness and time-saving benefits. It tries to cover the awareness level also. The area of the
study covers the different e-banking customers residing in Kattappana municipality. Descriptive
inquiry is selected to implement the study. Three months are set aside for completing this study.
OBJECTIVES OF THE STUDY

1. To find out customers satisfaction while using E-banking services

2. To find out the factors influencing e-banking services
3. To know the awareness among people regarding e-banking
4. To find out the usage pattern of e-banking services
5. To determine the problems related to e-banking

RESEARCH METHODOLOGY

It consists of methods used scientifically for solving the research problem and attempts to
implement the right procedures to arrive at a solution.

SAMPLE DESIGN

1. POPULATION
A population is the aggregate of all the units under study. In this study the population is
Different e-banking customers from we can collect data which specifies their perception towards
e-banking services offered by public sector or nationalized banks. These includes all customers
who have used or are eligible to use e-banking services in Kattappana municipality.

2. SAMPLE UNIT
For this study individual customers are selected as a sample unit for collecting data.
Satisfaction level, usage behaviors, factors influencing and problems encountered are studied on
the basis of this sample unit.

3.SAMPLE SIZE
Making this study more accurate the size of the sample is fixed as 90. All of these
respondents are from different characteristics in age, earning capacity etc. An analysis of these
responses helps to arrive at a conclusion regarding this study.
4. SAMPLING TECHNIQUE
A combination of Convenience sampling and stratified sampling are used in this study. The
sample unit is selected on the basis of convenience to locate and contact. As we selected this
technique, data was collected from Kattappana municipality. Also, the sample are not
homogeneous and includes responses from different age category, income category, education
qualification, occupation etc.so stratified sampling is applicable.

5. DATA COLLECTION

❖ PRIMARY DATA
Primary data is mainly collected through providing questionnaires to different e-banking
customers. It saved time for conducting research. It is sent through WhatsApp using google
forms by the method of convenience sampling and stratified sampling.

❖ SECONDARY DATA
This type of data is already collected by someone else and it comprises books, journals,
reports, websites. For this study we used the books Banking and Insurance, Quantitative
Techniques for Business for reference. Journals including International Journal of
Multidisciplinary research, International Journal of Management and different websites like
researchgate.net, academia.edu etc.

6. DATA ANALYSIS
The data collected through questionnaire are presented in the form of tables and
diagrams.Diagrammatic presentation includes;
▪ Pie Diagram
▪ Bar chart
▪ Column chart
▪ Doughnut chart
The different tools used for analysis mainly include the percentage method and Ranking method.
All the findings, Suggestions and conclusions are based on this.
7.PERIOD OF STUDY
The initial proceedings of the project were started at the end of December 2023 and data
collected during the half of January 2024. An average of two weeks is taken for the data
collection. analysis is made possible in February then the overall completion of the work takes
place in March 2024.

LIMITATIONS OF THE STUDY

❖ The main sampling technique is used in this study is convenience sampling.so they are
usually biased and not generally represent the population.
❖ The people who are conducting the research is not much experienced and qualified.
❖ The sample size is limited to 90.
❖ The primary data is collected mainly through google forms so the reliability of the
responses is based on the mood of the respondents.

SCHEME OF CHAPTERISATION

Chapter 1: INTRODUCTION

Chapter 2: REVIEW OF LITERATURE AND THEORETICAL FRAMEWORK

Chapter 3: ANALYSIS AND INTERPRETATION OF DATA

Chapter 4: FINDINGS, SUGGESTIONS AND CONCLUSIONS

 CHAPTER 2

REVIEW OF LITERATURE AND THEORETICAL FRAMEWORK

INTRODUCTION

Banks give administrations or bank services to draw in

clients from giving advances, issuing of debit cards and credit cards, computerized monetary
services and supervising personal services or administration. Electronic banking has many
names like web-based banking, e-banking, virtual banking and online banking. It is just the
utilization of telecommunication networks and electronic networks for conveying different
financial services and products through e-banking. A client can acquire his record and manage
numerous exchanges utilizing his cellphone or personal computer. E-banking covers facilities
such as fund transfer, checking account statement, utility bill payment, opening of bank account,
locating nearest ATM, obtain information on financial products and services applying for loans
etc. using a personal computer, smartphone, laptop or personal digital assistant.
This section of the study is designed to explore and analyze the complex interplay of
factors that shape customer perception towards e-banking services provided by public sector and
nationalized banks. The overall characteristics, benefits, types of e-banking and all other relevant
factors of e-banking are included in it.

REVIEW OF LITERATURE

1.The current study of Pawar, M. P. S., Sivakumar, B., Manimekala, M. M., & Praseeja, M. P.
(2023) evaluates how customers in Coimbatore perceive and favor certain nationalized banks'
online banking services. The Banking Industry is one of the basic instruments of economic
growth. There has been amazing growth in profits in the banking industry over the last two
decades. Privatization is closely associated with the phenomena of globalization and
liberalization. Private sector banks pioneered the use of technology to provide enhanced
customer service.

2.According to the study of Sowmya Praveen, K., & Hebbar, C. K. (2021), E-banking is an
electronic banking system, an individual can do the banking transactions through electronic
gazettes. In today’s highly competitive world, in India, there are a lot of nationalized banks,
private banks and foreign banks are available. All these banks are providing fabulous services to
the customers. E-Banking provides lot of benefits to the customers. Due to the competition in the
banking environment, today customers are having the choice to select the banks. The bank which
provides good and fast services, will get the greater number of customers. Hence this study is
conducted to know the comparative study of customers perception towards E-Banking services.

3.Priya, J., & Subbulakshmi, S. (2021) ‘s study reveals that Customer's e-banking is the recent
transformation of the banking industry into the virtual world. It saves time, provides ways for
international banking online and offers all kinds of banking services throughout the year 24*7
days from any place, provides well-organized cash management for internet optimization and
some & privacy to customers. HDFC is one of the largest private sector banks with its numerous
branches & ATMs and widespread customer base across states in India. It rules the banking
industry with its wireless operations and ease of access to virtual banking. This study attempts to
find out the effects of e-service quality provided among customers of HDFC Bank in Chennai
City

4.The primary aim of present study of Balaji, D. P. K. D. (2021) is to identify as well as compare
the perception and preferences of customers towards e-banking services offered by Public and
Private sector banks. The required amount of data was collected through the structured
questionnaire after Now a day, Private and Public sector banks are expanding their branches in
urban as well as in rural areas to get more and more customers. Brach size, services,
infrastructure, facilities, staff, working hours etc. is varying according to the governing
ownership and location the branch i.e. Private sector and public sector or Rural and Urban
branch. So, there is need to assess the satisfaction level of customers from Private and Public
sector Banks.

5.This study conducted by Rathi, N. S (2020) It was an investigation into the e-banking practices
in nationalized and private banks in the State of Maharashtra in the light of the banking sector in
India undergoing a phenomenal change thanks to the November, 2016 demonetization move by
the Government. Primary data was collected from bank customers. The population of bank
customers in Maharashtra is expected to be quite large (say more than 20000) in which case a
sample size of 500 respondents was fixed. This article discusses that e-banking is finding favors
with the younger generation and if the perceived benefits from e-banking are popularized and
publicized well then, the response to e-banking can be expected to be much better.

6.According to Madavan, K., & Vethirajan, C. (2020) E-banking is the application of electronic
means in interaction between bankers and customer, and bankers and businesses, as well as in
internal banking operations, to simplify and progress the banking services. Today, approximately
all banks have adopted ICT as a mean of improving the service quality of banking services. An
attempt has been made by evaluating the services rendered by banks through the e – banking
services. The e- banking service brings lot of convenience, customer centricity, augmented
service quality and cost effectiveness. This paper examines the customer satisfaction on the
Electronic Banking Services of Public Sector and Private Sector Banks in Puducherry Region.

7.The current examination of Divya, G. (2020) revolves around the organization quality and
Customer satisfaction among private and open area banks in India. It moreover attempts to
investigate organization quality openings between Customer’s want and satisfaction as for
banking organization. The consequence of the examination shows that organization gap is lower
in private part banks than open area banks. Steadfastness and certification are the place no basic
differentiation has been seen among open and private division bank

8.The study of Lavuri, R. (2018) tries to reflect Present scenario, financial institutions and
banking industries are using effective strategic planning for capturing customer attention and
improving perception level of customers for in long run, so Banks must be adopting best
strategies for develop a positive perception level in the minds of customers. For that, developing
and implementing customer centric strategies, banks need to provide a consistent strategy to
prevent customer from switch out to other competitive banks. In order to understand customer
perception on E-banking services towards banking sector, there is a need to understand
dimensions like E banking services, motivational factors and also identify the problems towards
E- banking services. The current research paper deals to identify the customer perception levels

9.According to Azhgan, D. C. T., & Malathi, M. (2016) Banks today know better than anyone
the opportunities and the risks they face in an ever-changing competitive environment. In
offering ecommerce products, banks had some key advantage over potential competitors. The
purpose of this study is to find out the factors that mainly affect the customer perception of
internet banking amongst gender and different age groups. This study helps in assessing these
factors in the context of internet banking and would therefore help the bank management not
only in improving level of satisfaction but also strengthening the bond between bank and their
customer. This paper determines is to determine the customer’s perception towards the
e-banking.

10.According to Rajput, D. U. S. (2015), The development and the increasing progress that is
being experienced in the Information and Communication Technology have brought about a lot
of changes in almost all facets of life. In the Banking Industry, it has been in the form of online
banking, which is now replacing the traditional banking practice. The present paper is the
outcome of an empirical study conducted with the objective of investigating customer's views
regarding e-banking. It covers Customers perception on online banking activities and its impact
and promotional measures used by banks to promote online banking. This paper therefore,
examines, if customers' choice of banks is influenced by the quality of e–banking services
provided.

11.Fozia, M. (2013) The purpose of this paper is to determine the customer’s perception toward
the e-banking services The result of the study clearly shows that different age group of customer
and different occupation group of customers have different perception toward the e-banking
services. The results also propose that demographic factors impact significantly internet banking
behavior, specifically, occupation and age. Finally, this paper suggests that an understanding
about the customer’s perception regarding the e-banking services of public and private banks it
will help to the banker to understand the customers need in better way.

12.This paper of Rani, M. (2012) brings out the measurement of customer perception towards
E-Banking which is becoming very popular and convenient method of dealing with banks
now-a-days. E- Banking denotes the provision of banking and related service through Extensive
use of information technology without direct recourse to the bank by the customer. In this paper
consumer perception toward the usefulness and willingness to use e- banking are identified and
measured. Customer satisfaction level towards the E- Banking has been identified.

13.The research of Jani, A. S. (2012) reveals that in the new millennium, the growth of the
Internet & commerce is changing every day, so all the banking transactions also need to be
performed electronically, i.e. whether it is to pay bills, transfer your funds, to check balance, to
get advice or to apply for loans. On the other side, technology is popular because of less cost of
operation, increase in banking habits & number of transactions, lack of time with customers,
improvement in customer services, etc. However, individual differences, computer literacy,
personality and demographic variables reflect the users' intention to adopt E-banking. Hence,
there is a need to fill this gap that though e-technology is provided by the bank, whether it is used
effectively by customers? Why some people have not accepted the technology fully, though it
provides many advantages to banking customers? This research paper attempts to fill this gap of
perceived usefulness & perceived ease of use, by identifying various factors, which will increase
the usage of technology among the customers in India.

14.According to Sivakumar D and Kirubhaharan B, the introduction of e-banking services in

India it helps to improve the banking operations and reduces cost of operations. It brings
customers are making their transaction via, ATM, Mobile Banking, Internet Banking, POS, etc.
This study examines the customer perception and preference of using E-banking services and
non-preference of using E-Banking services in Kovilpatti. This study reveals that the reason for
prefer E-Banking services due to convenient, reliable, safe, time saving, trust, privacy and speed.
In another side the parallel findings show that security problems, lack of trust and knowledge.

15.UNIVERITY, A., & CAMPUS, B in this research paper tried to explain that, Net banking is
dynamic the banking system, having the major effects on banking relationships. Banking is
currently now not confined to the branches where one has to approach the branch in person, to
withdraw money or deposit a cheque or request a press release of accounts. In true net banking,
any inquiry or dealings is processed on-line with none relevance the branch (anywhere banking)
at any time. Providing net banking is more and more turning into a "need to have" than a "nice to
have" service. cyber web banking, thus, currently is lot of a normal rather than associate degree
exception in several developed countries because of the actual fact that it's the most
cost-effective means of providing banking services.

DEFINITION OF E-BANKING

Arnaboldi and Dlarys defines;

"E-banking involves delivery of banking products and services to customers via digital Channels.
Customers do not have to physically visit banks since services are delivered Through computer
controlled systems.”
E-banking is the automated delivery of new and traditional banking products and services
directly to customers through electronic, interactive communication channels. It is an umbrella
term for the process by which a customer may perform banking transactions electronically
without visiting a brick-and-mortar institution. Delivery of bank's services to a customer at his
office or home by using electronic technology can be termed as E-banking.

BENEFITS OF E-BANKING

Electronic banking as a delivery channel for banking products has the following benefits for the
customers as well as for the banks

1. Convenience
The most important benefits of e-banking are convenience customers can conduct banking
transactions outside the branch official opening hours. Banks provide customers convenient
access to the bank 24 hours a days and 7 days a week and 365 days a year.

2. Reduced cost
E-banking determines costly paper processing and bank employee’s involvement is
minimum. Therefore, banks can offer various banking services at a reduced cost to their
customers.

3. Accuracy
Computerized information system is superior to the Manuel system because the chances of
human errors are not there in computerized information system.

4. Healthy competition
E-banking increases competition within the banking system and also from non-banking financial
institutions. This enhances the power of the customers to make price comparison across supplies
quickly and easily.

5. Time saving
Customers need not have to visit bank branches and ques up to transacting banking business
sincerely bank staff is relevant from the task of attending customers in branches for routine
transactions

CONVENTIONAL BANKING V/S E-BANKING

Conventional banking is the delivery of banking service to customers by bank through

face-to-face interaction between bank staff and customers. It is also known as traditional banking
or bricks and mortar banking. The major difference between conventional banking and e-banking
are as follows;
1. Conventional banks of real-world people to people interaction-banking does not offer such
interactions.
2. Conventional banks follow a fixed time schedule and are opened for limited hours in a day
closed on holidays. E-baking offers 24*7 availability of banking services
3. Traveling time and queuing time at bank branches makes conventional banking time
consuming and costly e -banking is speedy and less costly
4. Banking services under conventional banking are available within limited geographical
location. Banking services under e-banking are accessible everywhere.
5. Safety of transactions in conventional banking because e-banking is prone to hacking, spyware
programs, computer virus, and cracking online passwords.

TYPES OF E-BANKING
1. ATM (Automatic Teller Machine)
Automatic Teller Machine is a computerized banking terminal operated by the customer himself
with the help of a video display unit and keyboard. ATM machines are established by almost all
banks in India either in banking premises or in busy places to provide 24 hours banking facilities
to their customers. All the ATM machines are linked to the computer server of the bank.
The customer who wants to avail ATM facility is given a plastic card known as ATM card, which
bears the customer’s name, and a personal identification number. These codes bear magnetic
codes that can be identified by the machine when it is inserted in the customer’s codes when read
by the machine identify the customers and the customer is asked to enter his PIN. If the pin
number is entered correctly the customer is allowed to withdraw money.

2. CDM (Cash Deposit Machine)

CDM is a self-service terminal like an ATM machine which allows banking customers to
deposit cash directly into their bank account. The amount deposited using a CDM is instantly
credited to the customer's account. CDM generates a transaction receipt confirming the updated
account balance upon depositing cash
.
FEATURES OF CDM
• It is a quick and convenient way to deposit cash without having to wait in line at the cashier's
counter at the bank.
• Customers can deposit cash at any time of the day even on Sundays and holidays. (24*7,365
days availability)
• There is no need to fill deposit slips.
• The amount is instantly credited to the account.
• depositors need not sort and arrange cash on the basis of denominations. the machine will sort
the currency notes and display the total amount of money deposited as per denominations.

3. HOME BANKING
The practice of conducting banking transactions from home rather than at bank branches by
means of electronic communications is known as home banking. It refers to either banking over
telephone or on the internet.
4. INTERNET BANKING

Internet banking, which is also known as online banking or web banking, is an electronic
financial system. It is a financial tool that allows the customers of a bank to carry out commercial
activities through the use of the internet and the bank's website.
It extends a bank and the services it provides, and so we can consider it a branch of the bank,
only that it is not physical. Through this virtual branch of the bank, a customer can do everything
with the use of the internet. You could receive money, pay for transactions, take out a loan,
etc....Broadly the levels of banking services offered through internet can be classified in to two
levels;

1. Transactional: at this level a customer is allowed to operate their accounts for transfer of
funds, payment of insurance premium, booking and cancellation train and air tickets, purchase
and sale of securities, applying for loans and repayment of loans etc...

2. Non transactional: At this level a customer is not permitted to do any fund based transactions
on their accounts. But a customer can make balance enquiries, get online transactions etc...

INTERNET BANKING FEATURES

• It involves the use of internet for delivery of banking products and services
• It helps the customers to manage their finance quickly and efficiently by replacing the
time-consuming paper-based aspects of traditional banking.
• It helps customers to carry out their banking tasks during the day or night, from home or
office.it promotes anywhere anytime banking.
• It facilitates the expansion of the customer base through increased geographical reach and helps
to serve millions of customers at the same time.
• It has built in security features such as encryption, prescription of the maximum monetary
limits and authorizations.
• It offers quick and speedy information on various banking products and service

FACTORS RESPONSIBLE FOR THE GROWTH OF INTERNET BANKING

1. Competition:
Nowadays competition among the banks is on rise. This competitive pressure is a chief
driving force behind the increasing use of internet banking technology. Banks use internet
banking as a tool for keeping existing customers and attracting new customers.

2. Cost efficiency:
One of the factors that contributed to the growth of internet banking services is cost. Banks
can provide banking services on the internet at transaction cost far lower than traditional
brick and mortar banks.

3. Wider reach:
Internet banking transactions can be availed by customers from any part of the world.
Banks can increase their customer base through wide geographical reach of internet banking
Services.

4. Relationship marketing:
Building relationships with customers is an important free requisite for winning customers'
confidence. Internet banking technology and products can act as a means for banks to develop
and maintain an ongoing relationship with their customers by offering easy access to a wide
range of products and services.

5. Round the clock access:

Internet banking services are provided to customers on 24*7 basis without charging any
extra cost from them. Moreover the customers can access the bank from anywhere, any time at
one's own convenience.

5. TELE BANKING
Tele banking or Telephone banking is a modern banking facility of 24 hours banking offered by
banks to their customers. The tele banking services function is based on the voice processing
facility available with the banking computers. In tele banking a customer of a bank can call his
bank any time and enquire balances or transaction details and to transfer funds between one
account to another account.
In the tele banking system, the computers at the bank are connected to a telephone link
with the help of a modem The voice processing facility provided in the software identifies the
voice of the caller and provides him with a suitable reply.
Services available under Tele banking
1) General enquiry
General enquiries are made by customers as well as known customers. such enquiries may
pertain to general information like interest rates on deposits and loans, various facilities offered
etc.
2) Specific enquiries
These are made by customers relating to a specific account. enquiries may relate to the
following.
a) Balance enquiry
b) status of cheques issued or deposited
c) requisition for issue of cheque book
d) request for issue of drafts

6. MOBILE BANKING

Over the last few years, the mobile and wireless market has been one of the fastest
growing markets in the world particularly in India and is still growing at a rapid pace. Because of
the high mobile phone penetration in India, banks are using mobile phones as a delivery channel
for offering banking products and services.
The following are some of the mobile banking services provided by banks;
• Balance inquiry of all account
• Fund transfer
• Placing a stop payment on a cheque Requesting a cheque book Requesting and account
 statement
• Cheque status inquiry
• Bill payment
• Fixed deposit inquiry

7. ELECTRONIC FUND TRANSFER (EFT)

With the advent of the internet, all banks in different countries are interlinked with each other.
This facilitates easy remittance of money not only inside the country but also any part of the
world through the press of a button. Now the banks all over the world are inter- linked with a
satellite maintained by SWIFT (Society for Worldwide Interbank Telecommunications) in
Europe.
Electronic Fund Transfer is defined as "any transfer of funds initiated through an electronic
terminal, telephone instrument or computer or magnetic tape so as to order, instructor authorize a
financial institution to debit or credit account."
The term EFT includes the following;
1. cardholder-initiated transactions, where a cardholder makes use of a debit
card or credit cardholder-initiated take place at an ATM or Point of Sale
2. electronic payments by businesses including salary payments
3. electronic cheque clearing.
EFT from one account to another is made by one bank to another through RBI in three ways:
Real Time Gross Settlement, National Electronic Fund Transfer and Electronic Fund Transfer.

8.CREDIT CARD

The introduction of Credit card is one of the recent innovations in the field of banking. Credit
card allows credit card holders to avail credit facilities for a specified period of time without
giving any security to the issuing bank. The card holders can settle their hotel bills, railway and
airway ticket payments, hospital bills etc. By using credit cards. The credit card issuing banks tie
up with a number of establishments like hotels, airway companies, and cards. The pumps and
department stores, which honor the credit cards. credit cards are also called 'plastic money'.
FEATURES
• The specialty of credit cards is that even without having any balance in the current or saving
account of the card holder he/she can make payments. Thus, credit cards are a type of customer
loan.
• The payments through the credit card are limited to the credit limit determined by the issuing
bank based on the financial history of the card holder.
• A credit card can also be used even to draw cash from ATMs within the cash limit approved to
the card holder.
• The credit availed by the card holder has to be paid to the bank within a period and the credit
limit gets automatically renewed with the repayment

PRIVILEGES OF CREDIT CARD HOLDER

• Cash withdrawal through ATMs

• special discounts
• use by a person other than the holder
• Issue of drafts and pay order
• Insurance coverage
• flexible repayment options

9. DEBIT CARD

A debit card is a plastic card which provides an alternative payment method to cash while
making purchases. A debit card is basically a better way of carrying cash or cheque books. A
debit card can be used to withdraw cash from a bank like an ATM card and it can also be used at
stores to pay for goods and services in place of a cheque. debit card allows the holder to spend
only what is in his account. a debit card is more readily accepted by merchant establishments.
since they get instant payments.

TYPES OF DEBIT CARDS

1. Direct Debit card:
Direct debit cards require electronic authorization of every transaction and the debates are
reflected in card holders' accounts immediately. Direct debit card allows only 'on-line'
transactions and there is an immediate electronic transfer of money from card holder's bank
account to the merchant's account in the case of direct debit cards the system immediately checks
whether the card holder has necessary funds in his account for the purchase.

2. Deferred Debit Card:

A Deferred Debit card allows 'off-line' transactions the merchants terminal reads the card
and creates debits against the card holder's account. However, transactions conducted with
deferred debit cards require two to three days to be reflected on the card holders account
balances. Deferred debit cards have logos of major credit cards (visa or mastercard) or major
debit cards (maestro) and are used at the Point Of Sale (POS) like a credit card.

THEORIES RELATED TO PERCEPTION OF CUSTOMERS RELATING TO

E-BANKING

1.Technology Acceptance Model(TAM)

TAM explains how users adopt and use technology based on perceived usefulness and
perceived ease of use in the contest of e-banking.TAM helps understand how customers perceive
the usefulness and ease of use of e-banking services,which influences their adoption and usage
behavior.

2.Service Quality Theory

This theory focuses on the dimensions of service quality including
reliability,responsiveness,assurance, empathy and tangibles.Applied to e-banking ,it helps assess
customer perceptions of service quality and identify areas for improvement to enhance customer
perception and loyalty.

3.Trust and Security Models

 It examines how customers perceive trustworthiness and security of e-banking services.These
models consider factors like preserved security,privacy protection, reliability and transparency in
building and maintaining customer trust.

4.Diffusion of Innovation Theory

This theory explains the adoption and diffusion of innovations among individuals or groups.In
the context of e-banking it helps understand the factors influencing the adoption of e-banking
services ,including relative advantage ,complexity and observability.

5.Information System Success model

This model focuses on the success factors of Information systems ,including system quality
,information quality, service quality, use, user satisfaction and net benefits .It can be applied to
evaluate the success of e-banking services based on perception and outcomes.

LIMITATIONS OF E-BANKING

● Problems of security: Security and privacy aspects are major issues in case of E-Banking
transactions. Various Sites are not properly locked to ensure whether customers' money is
safe in the cyber world or not.
● High cost: The infrastructural cost of providing E-Banking facility is very high. The
banks not only have to automate front-end services but also back-office services, which
involve high cost.
● Lack of awareness: Another great hindrance is lack of awareness because effective and
wide media efforts in publishing Internet banking need to be emphasized.
● Lack of computerization: Lack of computerization and low density of telephone lines is
also a bottleneck for online banking. In India, out of 65000 bank branches, only 5000
branches are computerized.
● Wrong assumption by people: Many people are away from net banking on the assumption
that it is more expensive than the traditional method of dealing with bank transactions.
They still prefer going to the bank to perform transactions.
 CHAPTER 3

DATA ANALYSIS AND INTERPRETATION

 A problem can be solved only by making an evaluation of it. Analysis and interpretation of
collected data plays a vital role to arrive at our destination. The primary data that are collected by
distributing questionnaires is analyzed and a summary of such analysis is provided in this
section. Certain tables, graphs are included for giving a clear picture about the study. 90
responses are the fundamentals for this analysis and interpretations.

DEMOGRAPHY OF RESPONDENTS

1.AGE
The following table shows the age categories of respondents

Table 3.1
AGE WISE CLASSIFICATION OF RESPONDENTS

AGE No. of Respondents Percentage

Up to 20 58 64.44%
21-25 23 25.56%
26-30 4 4.44%
31-35 2 2.22%
Above 35 3 3.33%
Total 90 100.00%

Source: Primary Data

 Figure 3.1
AGE WISE CLASSIFICATION OF RESPONDENTS

Interpretation;

Table 3.1 and figure 3.1 indicates that 64.44% respondents come under the age group of up to
20. We can see that 25.56% of them are included in between 21 and 25. It also shows that
4.44%,2.22%,3.33% responses are made by the category of 26-30, between 31 and 35, above 35
respectively.

2. GENDER
Table 3.2
GENDER WISE CLASSIFICATION OF RESPONDENTS

GENDER No. of respondents Percentage

Female 61 67.78%

Male 29 32.22%

Total 90 100.00%

Source:Primary data
 Figure 3.2
GENDER WISE CLASSIFICATION OF RESPONDENTS

Interpretation;

From the above table and figure it is clear that a major part of the responses is from the female
category (67.78%). Male category represented 32.22% from a total 90 samples.

3. EDUCATIONAL QUALIFICATION
 Table 3.3
EDUCATIONAL QUALIFICATION WISE CLASSIFICATION OF RESPONDENTS

EDUCATIONAL No. of Respondents Percentage

QUALIFICATION

Up to +2 /Diploma 29 32.22%

Undergraduate 45 50.00%

Post Graduate 6 6.67%

Others 10 11.11%

Total 90 100.00%

source: Primary data

Figure 3.3
Educational Qualification wise classification of respondents
Interpretation;
From 90 responses 32.22% were qualified +2/ Diploma. Half of the respondents are
Undergraduate. Only 6.67% of them are Post Graduates. The collected data also represents that
11.11% belongs to other categories of educational qualification.

4.OCCUPATION

Table 3.4
OCCUPATION WISE CLASSIFICATION OF RESPONDENTS

Occupation No. of Respondents Percentage

Employee 11 12.22%

Others 3 3.33%

Self Employed 3 3.33%

Student 73 81.11%

Total 90 100.00%

Source: Primary data

Figure 3.4
Occupation wise classification of respondents
Interpretation;
Table and figure 3.4 states that 12.22% of respondents are employees. Self-employed and
Other categories from 90 responses are 3.33% each. The majority of respondents are students
(81.11%).

5.MONTHLY INCOME
Table 3.5
MONTHLY INCOME WISE CLASSIFICATION OF RESPONDENTS

INCOME No. of Respondents Percentage

Up to 15000 14 15.56%

15001-30000 5 5.56%
 30001-45000 1 1.11%

Above 45000 3 3.33%

None of these 67 74.44%

Total 90 100.00%

Source: Primary data

Figure 3.5
Monthly Income wise classification of respondents

Interpretation;
Table 3.5 and figure 3.5 denotes that 15.56% of respondents have a monthly income up to
15000.It also shows 5.56 % responses having income between 15001 and 30000.Only 1.11% of
the data contains the income range between 30001 and 45000.The category of income above
45000 contains 3.33%. The lion share of the responses are from students so their income did not
include any one of the above. It is 74.44%.

These are the main demographic factors included in this study. Next, we can move into the main
data which are essential for the problem under study.

6.ASSESSMENT OF LEVEL OF KNOWLEDGE OF RESPONDENTS TO OPERATE

COMPUTER
The following table shows either the respondents have average level or advanced level of
knowledge to conduct banking transactions electronically.

Table 3.6
LEVEL OF KNOWLEDGE TO OPERATE COMPUTER

LEVEL OF KNOWLEDGE No. of Respondents Percentage

Advanced 14 15.56%

Average 76 84.44%

Total 90 100.00%

Source: Primary data

Figure 3.6
Level of knowledge to operate computer
Interpretation;
The collected data signifies that 84.44% of respondents have an average level of knowledge
to operate a computer. The remaining samples have an advanced level of knowledge that is
15.56%.

7.A. STATEMENT SHOWING DIFFERENT BANKS FROM WHICH RESPONDENTS

(CUSTOMERS)AVAIL E-BANKING FACILITIES
 Table 3.7.1
BANKS FROM WHICH CUSTOMERS AVAIL E-BANKING SERVICES

Name of the Bank No of responses Percentage

Bank of Baroda 1 1%

Canara Bank 7 10%

State Bank of India 36 54%

Union Bank of India 22 33%

UCO 1 1%

Source: Primary data

Figure 3.7.1
The Banks from which customers avail E-Banking services
Interpretation;
The above table and figure indicate that a major part of the respondents are avail e-banking
services from State Bank of India. It is represented by 54% of the totality.33% of the respondents
are customers of Union bank of India. The customers of Canara bank include 10%. Only 1% of
the sample represents Bank of Baroda and UCO.

B. STATEMENT SHOWING YEARS OF USE OF E-BANKING SERVICES BY

CUSTOMERS

The following details indicate the year from which the respondents are aware or become ready to
use different E-Banking facilities. It is included as a sub part of the above categorization.

Table 3.7.2
YEARS OF USE OF E-BANKING SERVICES

Years of use No. of Responses Percentage

Up to 1 year 5 12%

1 year-3 years 19 45%

4 years-6 Years 13 31%

Above 6 Years 5 12%

Source: Primary data

 Figure 3.7.2
Years of Use of E-Banking

Interpretation;
Most of the respondents are in use of E-Banking services in between 1 year to 3 years. It
consists of 45% of total responses.31% of the samples are familiar with E-Banking from 4-6
years. The category up to 1 year and above 6 years are 12% of the total.

8.REASONS FOR CHOOSING THE ABOVE BANKS

In this analysis tried to explain the different reasons for choosing several public
sector/nationalized banks.. Following table will provide a clear picture about the reasons.
 Table 3.8
REASONS FOR CHOOSING THE SPECIFIED BANKS FOR
CONDUCTING E-BANKING TRANSACTIONS

Feedback No. of Responses percentage

Traditional Bank a/c with 26 20%

same bank

Brand name of the bank 20 15%

Superior quality of services 23 18%

More technology oriented 14 11%

More range of services 14 11%

Normal/No charges 12 9%

Salary credit a/c with the 3 2%

bank

others 18 14%

Source: primary data

 Figure 3.8
Reasons for choosing the Public sector / nationalized
for conducting E-Banking transactions

Interpretation;
Above table and figure signifies that the majority of the respondents are choosing their bank
because of a traditional bank account with the same bank. It consists of 20% of total samples.
Secondly the Superior quality of services have a major impact on selecting a bank for
requirement of them (18%). Brand name of the bank has 15% category of the data analysis. The
respondents also mentioned that the 14% are not based on any one of the above. Then we can
notice that More technology orientation and More range of services have an equal polling i.e.
11%.9% of the respondents have the opinion that they choose the banks because of normal or no
charges. Only 2% of responses are based on the salary credit account with the same bank. It is
mainly because of the majority of responses acquired from students.
9.MOST PREFERRED CHANNEL TO CONDUCTING BANKING TRANSACTIONS

In this we tried to rank different channels used by the customers to conduct their banking
transactions. The following table defines it clearly
Table 3.9
Ranking of different channels for conducting Banking transactions

TOTAL RANK

ATM 321 1

Internet Banking 302 3

Mobile Banking 318 2

Debit/Credit cards 287 4

Branch Banking 255 5

source: Primary data

Figure 3.9
Most preferred channel to conducting Banking transactions
Interpretation;
Table 3.9 and figure 3.9 concerned with the ranking as 1,2,3,4 and 5 for different channels to
conduct banking transactions. ATM got the first position in such categorization. Most of the
respondents are using ATM facilities. It has a prime importance in E-Banking. The second rank
is acquired by Mobile banking. Then we can understand that the next position is handled by
Internet Banking. Debit /Credit card has the 4 th position and the 5 th rank specifies the
relevance of the study. In the modern era, the majority of the banking customers choose e-based
banking systems to conduct their banking transactions. So, they selected branch banking in the
last rank.

10. AN ANALYSIS OF AWARENESS BANKING CUSTOMERS ABOUT DIFFERENT

E-BANKING SERVICES AND ITS USE

Measurement of the customers' awareness of E-Banking is selected as an important objective

for this study. An analysis of it made through the following table.
 Table 3.10
AWARENESS AND USAGE OF DIFFERENT E-BANKING SERVICES

Feedback Aware and Use

Unaware
Regularly Occasionally Rarely Never

No. % No. % No. % No. % No. %

Check balances 11 12% 49 54% 23 26% 6 7% 1 1%

Fund transfer 12 13% 36 40% 21 23% 14 16% 7 8%

Mobile recharging 10 11% 44 49% 29 32% 4 4% 3 3%

Payment of tax 14 16% 19 21% 11 12% 18 20% 28 31%

Booking tickets 12 13% 14 16% 21 23% 23 26% 20 22%

Bill payment 12 13% 21 23% 25 28% 16 18% 16 18%

Online shopping 8 9% 33 37% 30 33% 14 16% 5 6%

Source: Primary data

 Figure 3.10
Awareness and usage different E-Banking services

Interpretation;
Table and figure 3.10 mainly concerned with the measurement of the awareness level of the
respondents regarding different e- banking services and its usage.
❖ E-Banking provides the facility to check the balances in the accounts with their bank
account without visiting the branch for this major part of the customers are regularly uses
e-banking facilities for checking balances of their account it consists of 54% of the total
respondents.26% of them are occasionally check balances using this advanced
technology provided by banks and 12% category are unaware of this facility .we could
notice that 7% of the customers are rarely uses e-banking for checking balances and only
1 % of them are never used such facilities.
❖ In previous years we can transfer the funds from one bank account to another bank
account by visiting the branch bank and it takes more time to carry out such transfer. But
the advent of e-banking provided an opportunity to transfer funds by using RTGS /NEFT.
40% of the sample regularly uses it and 23% has an ability to carry out this task
occasionally. Those who are unaware, rarely, never use E-Banking 13%,16%,8%
respectively.
❖ Another feature of e-banking is quick recharging of mobile phones. The lion share of
the respondents regularly uses e-banking for mobile recharging i.e. 49% .32% of them
occasionally uses e-banking to recharge their mobiles by speed clicks. From the total
responses 11% are unaware about this facility and only 3% category consists of the vote
for never used i.e. we can notice that 4% of them rarely transfers funds from one account
to another using e-banking services.
❖ Tax is an important revenue for the government. The persons who are liable to pay
both direct and indirect tax can utilize the e-banking facility for making their payments
quickly. Under this study we can arrive at a summarization that the highest polling for
using this facility is used by the Never category (31%). Among 90 respondents 21%
regularly use this facility and 20% rarely use it. 12% of them occasionally facilitate it for
paying taxes and 16% are unaware about it.
❖ Then next we have learned about the awareness of customers about e-banking to book
Train/Bus/Movie tickets.In accordance with the responses 26% specify that they rarely
use e-banking for booking tickets. They use it occasionally and never 23%,22%
respectively.16% of the respondents regularly use e-banking to facilitate ticket booking
through online .13% customers are unaware about it.
❖ We should also consider the next points under study. The first one among them is that
we can use e-banking for payment of utility bills like rent, phone bill, insurance,
premium. The above table specifies that the majority of the respondents pay utility bills
occasionally using e-banking i.e. 28%.23% regularly use this facility and rarely, never
category consists of an equal contribution which is 18%. The unaware category consists
of 13%.
❖ The last point is that the calculation of awareness with regarding the online shopping
facility availed by e-banking. Most of the respondents specifies that they used it regularly
 37% has this opinion.33% are occasionally facilitates it and 16% of the totality rarely
uses banking. Most among the respondents only 9%,6% are include in unaware, never
category respectively.

11.STATEMENT SHOWING AN ANALYSIS OF DIFFERENT FACTORS INFLUENCING

E-BANKING SERVICES

The study is mainly featured with the estimation of why the banking customers are choosing
e-banking. There arise different factors which have a significant influence in e-banking. The
following table and figure give an overall picture of our objective.

Table 3.11
DIFFERENT FACTORS INFLUENCING E-BANKING SERVICES

Feedback Strongly Agree Neutral Disagree Strongly

Agree Disagree

No. % No. % No. % No. % No. %

Convenient and 50 56% 33 37% 4 4% 2 2% 1 1%

ease of use

Available at any 45 50% 30 33% 13 14% 1 1% 1 1%

time

Less expensive 30 33% 38 42% 16 18% 4 4% 2 2%

Accessible from 32 36% 37 41% 12 13% 8 9% 1 1%

anywhere

Quick responses 29 32% 37 41% 17 19% 5 6% 2 2%

Easy to learn and 33 37% 36 40% 15 17% 3 3% 3 3%
use

High quality 27 30% 30 33% 26 29% 4 4% 3 3%

services

Source: Primary data

Figure 3.11
Different factors influencing E-Banking Services

Interpretation;
❖ In table 3.11 and figure 3.11 firstly we considered the point ‘E-Banking is convenient
and ease of use’. It resulted that the major part of the respondents is influenced by
e-banking because of its convenience. More than half of the responses are Strongly
 agreed with it (56%).37% of the responses are agrees to this statement and 4% of the total
respondents have a neutral effect on it. among the totality 2% are disagree with this
statement and only 1% represents the Strongly disagree category.
❖ The next factor is that 24*7 service i.e. E-Banking is available at any time. From among
90 responses half of them are rated with Strongly agree (50%).33% respondents are
agreed with the convenience factor and 14% customers resides in the neutral category.
Both of Disagree and Strongly Disagree have an equal and small proportion i.e. ,1%.
❖ As we all know the E-Banking is less expensive than conventional banking .so a rating
of this factor is necessary for continuing our study. This table and figure indicates that the
lion share of the respondents are agreed with it. It consists of 42%. Strongly agree
category includes 33% and 18% of the responses express that they have only a neutral
influence from it. Disagree, Strongly Disagree category represents 4%,2% respectively.
❖ E-Banking is accessible from anywhere is an important attractiveness of e-banking. In
this study the raw data indicates that 41% of the respondents agree with this statement.
Strongly agree forms the second position that is 36%.13% from the total neutral
positioned. 9% of them are disagree and only 1% is Strongly dissatisfied.
❖ The next point expresses the influence of quick responses on customers.41% respondents
says that they are agreed to this .32 % have an opinion of Strongly agree regarding the
quick responses from e-banking. Neutral impact is19%. Disagree and strongly disagree
category only have lesser contribution which are 6% and 2% respectively.
❖ An examination on the factors reflects that the easiness to learn and use also made an
inspiration on customers to facilitate e-banking. Table and figure 3.11 states that 40 % of
the respondents are specifies that they are agree with the statement mentioned above.
Strongly agree category consists of 37%.17% neither agree or disagree i.e., Neutral
influence. Disagree and strongly disagree contributes an equal portion of 3% for each.
❖ Last point is concerned with e-banking ensures high quality services. The data received
from different e-banking customers indicates that 33% agree to the factor .30 % of them
are Strongly agree and 29% Maily polled too Neutral. For this statement 4% of the total
respondents are Disagreed and 3% are Strongly Disagree.
12.STATEMENT SHOWING AN ANALYSIS OF LEVEL OF SATISFACTION WHILE
USING E-BANKING SERVICES

Customers may regularly choose different services on the basis of satisfaction obtained by them
while using such services. As we know satisfaction cannot be measured in terms of quantity. So,
in this study an analysis is made in different degrees of satisfaction level such as highly satisfied,
Satisfied, Neutral, Dissatisfied, highly dissatisfied.

Table 3.12
LEVEL OF SATISFACTION WHILE USING E-BANKING SERVICES

Feedback Highly Satisfied Neutral Dissatisfied Highly

Satisfied Dissatisfied

No. % No. % No. % No. % No. %

Fulfillment of 21 23% 51 57% 16 18% 2 2% 0 0%

service
requirements

Privacy/ security 21 23% 55 61% 9 10% 3 3% 2 2%

Easy accessibility 26 29% 40 44% 22 24% 2 2% 0 0%

Easy to use 32 36% 43 48% 13 14% 2 2% 0 0%

Responsiveness of 15 17% 45 50% 25 28% 3 3% 2 2%

Bank

Efficiency 21 23% 47 52% 18 20% 3 3% 1 1%

Source: Primary data

 Figure 3.12
Level of Satisfaction while using E-Banking services

Interpretation;
Table and figure 3.12 mainly represent the satisfaction level obtained by customers on the usage
of e-banking services.

❖ First measurement is that the satisfaction with regarding the fulfillment of service
requirements. 57% of the customers voted for the satisfied rate. The second position is
taken by the Highly satisfied category (23%).18% of the responses consist of a Neutral
attitude towards this statement. Only 2% of the sample are Dissatisfied to this and we can
see that the Highly dissatisfied category is nil.
❖ Privacy and security of E-Banking transaction also influence the different degrees of
satisfaction of customers. This table indicates that 61% of the total respondents are
Satisfied with the privacy and security .23% of them are Highly Satisfied with this
opinion. Neutral impact is denoted by 10% responses. Dissatisfied and Highly
Dissatisfied are rated to 3%,2% respectively.
 ❖ The measurement of satisfaction on the easy accessibility reflects, majority of the
respondents are Satisfied with it and it consists of 44%.29% of the customers says that
they are Highly satisfied with the easy accessibility. The Neutral category is represented
by 24%. Dissatisfied rating is only 2% and no one Highly Dissatisfied this statement
❖ The next point is easy to use of e-banking services. The high rate is got by Satisfied
degree that is 48%. From the remaining responses 36% are represented by Highly
Satisfied category.14% of them have a Neutral impact with regarding this. Dissatisfied
category includes only 2% and no one voted for highly Dissatisfied.
❖ Another factor considered for the measurement of satisfaction level is the Responsiveness
of Bank. It is clear from the table and figure that half of the respondents are Satisfied with
this statement (50%). The Neutral category includes 28% and 17% from among them are
Highly satisfied with the responsiveness of bank .3% customers are Dissatisfied with it
and 2% respondents are Highly Dissatisfied with this opinion.
❖ The efficiency of E-Banking services also has a significant influence on the degree of
satisfaction level of the customers .52% responses specifies that they are satisfied with
the efficiency.23% respondents are Highly Satisfied with this statement. Neutral category
is represented by 20%. Dissatisfaction is voted by 3% customers and only 1 % of the
respondents are Highly Dissatisfied with this statement.

13.STATEMENT SHOWING AN ANALYSIS OF PROBLEMS FACED BY CUSTOMERS ON

E-BANKING

Table 3.13
PROBLEMS RELATED WITH E-BANKING

Feedback Always Often Sometimes Rarely Never

No. % No. % No. % No. % No. %

Security Issues 5 6% 11 12% 26 29% 21 23% 27 30%

Network Issues 10 11% 26 29% 40 44% 11 12% 3 3%

Personal 4 4% 10 11% 12 13% 13 14% 51 57%

Information’s leak
out

Hacking 2 2% 12 13% 7 8% 13 14% 56 62%

Transactional Risk 8 9% 10 11% 31 34% 21 23% 20 22%

Transactional 5 6% 21 23% 32 36% 27 30% 5 6%

Errors

Source: Primary data

Figure 3.13
Problems related with E-Banking
Interpretation;
Table and figure 3.13 deals with the analysis of different problems faced by E-Banking
customers.
❖ The major issue faced by customers with regarding e-banking services are its Security. In
accordance with the responses 30% never faced such an issue .29% sometimes occurred
it 23% from among the total respondents Rarely faced this problem. The respondents who
voted for often category is 12%. Only 6% of the customers are Always inquired this
problem while they using e-banking services.
❖ Next, we considered the Network issues. From the 90 responses 44% of the respondents
says that they sometimes faced the network issues .29% of customers are Often
challenged with this issue .12% of the respondents have an opinion that they are Rarely
discouraged with the network issues while facilitating different e-banking services.11%
customers Always suffered with it and only 3% respondents are never faced this problem.
❖ There arises a requirement to share our personal details while conducting E-Banking
transactions. So, there is a chance to leak out the personal information’s. It is clear from
the responses that 57% have never faced such issue .14% customers are Rarely inquired
this problem. Sometimes degree is rated by 13%. This challenge is faced Often, always is
11% and 4% respectively.
❖ Another problem faced by the e-banking customers is Hacking. The lion share of the
respondents says that they never suffered with the Hacking in e- banking (62%).14% of
the totality rarely faced it. 13% respondents Often challenged with it. 8% customers
sometimes faced the hacking and 2 % of them Always inquired this problem.
❖ Banking services are mainly concerned with conducting transactions. In e-banking this
mostly conducted with the help of internet .so there arises transactional risk. From this
study it is clear that 34% respondents are sometimes faced it and 23% customers rarely
challenged with it.22% of the totality rated in Never. The poll for often is 11% and
always is 9%.
❖ Lastly the analysis on the measurement of challenges on e-banking is covered the area of
Occurrence Transactional errors. Table 3.13 and figure indicates that 36% of the
respondents are sometimes inquired this problem while conducting e-banking
transactions.30% of them are Rarely challenged with it. Customers who Often faced this
problem is represented by 23%. The contribution to Always and never is equal that is 6%.
 CHAPTER 4

FINDINGS, SUGGESTIONS AND CONCLUSIONS

 FINDINGS
Findings are the results or outcomes obtained from conducting a study or investigation. These
findings are typically presented and interpreted in research papers or reports, providing insight
into the research question being addressed. The major findings of this study are as follows;

Findings from the analysis of demography of respondents

➢ Analysis reveals that the majority of the respondents come under the age group of up to
20.
➢ It also reflects Female respondents are more than Male
➢ Most of the respondents are Undergraduate
➢ From among 90 responses majority is represented by Students
➢ As per the study the lion share of the respondents do not have any income, because they
are students
➢ After considering all other demographic factors, we can see that the respondents who
have an average level of knowledge is more than advanced level of knowledge for
conducting E-banking transactions. It specifies that one who have an average level of
knowledge can also perform e-banking transactions more efficiently and effectively.

Findings regarding General Factors of the Analysis

➢ Majority of the customers avail e-banking services from most famous public sector
banks State Bank of India While looking into the years of use we can understand that
most of them are using e-banking facilities in between 1 year to 3 years.
➢ Customers who avail e-banking services from different public sector /nationalized banks
mainly because of traditional bank account with same bank .It also consists of superior
quality services ,more technology orientation ,more range of services.These provides a
positive perception to customers for choosing these banks.
➢ Move on to the remaining part of analysis we can see that the most preferred channel for
conducting banking transaction is ATM.The ranking is also specifice that customers
preference with regarding branch banking is in the last position .Now a days customers
choosing e-banking services is greater than that of branch banking .
Look into the specific factors of the analysis reflects our objectives of the study
AWARENESS AND USAGE PATTERNS:

Measurement of the awareness level and use regarding e-banking specifies that;
The customer who are aware about E-Banking is more than that of Unaware category. Most of
them uses such facilities regularly for
● Check balances
● Fund transfer from one account to another
● Mobile recharging
● Online shopping
The main respondents of the study is students so they do not use e-banking regularly for payment
of taxes,booking of tickets and payment of utility bills.We can conclude that the respondents are
aware and use it regularly and occasionally for conducting transactions.

FACTORS INFLUENCING E-BANKING SERVICES:

The major factors influencing e-banking service for the perception of customers include ;
● E-Banking is convenient and easy of use
● E-Banking is available at any time
● E-Banking is less expensive
● E-Banking is accessible from anywhere
● It facilitate quick responses
● It is easy to learn and use
● It ensures high quality services
Most of them are strongly agreed and agreed with this statements.

LEVEL OF SATISFACTION:

The level of satisfaction on different factors such as;

● Fulfillment of service requirements
● privacy/security of e-banking transactions
● Easy accessibility
 ● Easy to use
● Responsiveness of bank
● Efficiency of e-banking services
Are rated by the respondents in highly satisfied and satisfied category. From that we can
understand the perception is positive regarding e-banking .

PROBLEMS RELATED WITH E-BANKING:

According to the study we can notice that the major problems faced by customers while using
e-banking services are ;
● Network issues
● Transactional risk
● Occurance of transactional errors
● Security issues
 SUGGESTIONS

➢ New innovations can be implement in the field of e-banking for increasing the use of
such services rarely to regularly
➢ Allocate resources towards upgrading and expanding network infrastructure including
services ,data centers and communication channels to improve network capacity
reliability and performance.
➢ Adequate measures can be taken for detection and prevention transactional errors .It may
be possible through error monitoring and reporting.Banks can also offer promt and
responsive customer support for resolving transactional errors
➢ Proper authentication mechanism can be adopt to enhance login security and protect
against unauthorized access.
➢ Banks can conduct comprehensive risk assessment to identify and prioritize transactional
risks also can develop risk management strategies and control.
➢ Awareness and training programs can be conducted regarding e-banking services
 CONCLUSION

In conclusion ,managing customer perception towards e-banking services offered by public

sector /nationationalized banks requires a comprehensive approach that addresses various aspects
such as satisfaction levels ,usage patterns ,factors influencing perception ,transactional errors and
security concerns.through the study valuable insights can be gained to guide strategic decision
making and foster customer trust and loyalty.

Theoretical framework such as the Technology Acceptance Model,Service Quality Theory, Trust
and security Models and Diffusion of Innovations Theory provide a conceptual foundation for
understanding customer behavior ,satisfaction and adoption of e-banking services. By integrating
these theories into the study ,a deeper understanding of customer perception and behavior can be
achieved ,leading to informed strategies and actions

Suggestions for improving e-banking e-banking services include enhancing mobile banking
experiences ,prioritizing security measures and addressing transactional errors .These strategies
aim to enhance user experience,mitigate risks and build a strong foundation for sustainable
growth in the digital banking sector.

Overall the study on customer perception towards e-banking services offered by public sector
and nationalized banks plays a crucial role in shaping the future of banking services ,driving
innovations in an increasingly digitalized financial landscape.
BIBLIOGRAPHY
BOOKS

JOURNALS

Pawar, M. P. S., Sivakumar, B., Manimekala, M. M., & Praseeja, M. P. (2023). Customer
Perception And Preference Of E-Banking Services-A Study With Reference To Selected
Nationalised Banks In Coimbatore District. Korean Journal of Physiology and Pharmacology,
27(3), 348-352.

Sowmya Praveen, K., & Hebbar, C. K. (2021). A Review on Customers Perception Towards
E-Banking Services-A Comparative Study. EPRA International Journal of Multidisciplinary
Research (IJMR), 7(4), 27-29.

Priya, J., & Subbulakshmi, S. (2021). CUSTOMERS’PERCEPTION TOWARDS E-BANKING

SERVICES OFFERED BY HDFC BANK IN CHENNAI CITY. International Journal Of
Multidisciplinary Research In Arts, Science & Commerce (IJMRASC), 1(1), 12-19.

Balaji, D. P. K. D. (2021). Customer Perception On E-Banking Services–A Study With

Reference To Private And Public Sector Banks. NVEO-NATURAL VOLATILES & ESSENTIAL
OILS Journal| NVEO, 4797-4808.

Rathi, N. S. An Analytical Study of applications of E-Banking practices in Nationalized and

Private Commercial Banks of the Maharashtra State.

Madavan, K., & Vethirajan, C. (2020). Customer satisfaction on E-banking services of public
and private sector banks in puducherry region-an empirical analysis. International Journal of
Management (IJM), 11(6), 649-664.
Divya, G. (2020). Customer Perception Toward E-Banking Services Provided by Private &
Public Sector Bank in Chhattisgarh. Solid State Technology, 63(5), 907-915.

Lavuri, R. (2018). Customer Perception towards E-Banking Services: A Study on Public and
Private Banks. International Journal for Research in Applied Science and Engineering
Technology, 6(5), 631-637.

Azhgan, D. C. T., & Malathi, M. (2016). Customer Perception Towards E-Banking in Trichy
District. International Journal for Innovative Research in Science & Technology, 2(11), 806-811.

Rajput, D. U. S. (2015). Customer perception on E-Banking service. Pacific Business Review

International, 8(4), 85-94.

Fozia, M. (2013). A comparative study of customers' perception towards E-banking services

provided by selected private & public sector bank in India. International Journal of Scientific
and Research Publications, 3(9), 1-5.

Rani, M. (2012). A study on the customer perception towards e-banking in Ferozepur district.
Zenith International Journal of Multidisciplinary Research, 2(1), 108-118.

Jani, A. S. (2012). A study of consumer perception on the use of e-technology in the retail
banking sector: A comparative study of public sector and private sector banks.

SIVAKUMAR, D., & KIRUBHAHARAN, B. A STUDY ON CUSTOMER PERCEPTION

TOWARDS E-BANKING SERVICES IN KOVILPATTI. International Journal of Research and
Analytical, 187.

UNIVERITY, A., & CAMPUS, B. A STUDY OF E-BANKING SERVICES PROVIDED BY

NATIONALIZED AND PRIVATE SECTOR BANKS IN TRICHY DISTRICT.
WEBSITES

https://www.researchgate.net
https://www.jetir.org
https://www.jmra.in
https://www.irjmets.com
https://www.motherhooduniversity.edu.in
https://shodhganga.inflibnet.ac.in
https://www.academia.edu
https://www.multidisciplinaryjournal.org
https://www.scribd.com
APPENDIX
“A STUDY ON CUSTOMER PERCEPTION TOWARDS E-BANKING SERVICES
OFFERED BY PUBLIC SECTOR/NATIONALIZED BANKS”

QUESTIONNAIRE

1.Age: Years……………….

2.Sex:

1. Male ☐ 2. Female ☐

3.Educational Qualification

1. Up to +2/Diploma ☐ 2. Undergraduate ☐ 3. Post graduate ☐ Others ☐

4. Occupation:

1. Student ☐ 2. Business ☐ 3. Employee ☐ 4. Self-employed professional ☐

5. Monthly Income:

1. Up to 15000 ☐ 2. 15001 – 30000 ☐ 3. 30001 – 45000 ☐ Above 45000 ☐

6. Your level of knowledge to operate a computer.

1. Average ☐ 2. Advanced ☐

7. Specify the name(s) of banks from which you avail E-banking services.

1. Name of the Main bank (most frequently used bank) …………... Years of use…….

2. Name of second bank………………………………...............Years of use……

3. Name of third bank………………………… ……… .............Years of use……

8. Please specify the reason(s) for choosing the above banks.

1. Traditional bank a/c with the same bank ☐

2. Brand name of the bank ☐

3. Superior quality of service ☐

4. More range of services ☐

5. More technology oriented ☐

6. Normal / No charges ☐

7. Salary credit a/c with the bank ☐

8 Others (please specify) ………………

9. Your preferred channel to conduct Banking transactions.

(Please rank your preference as 1,2,3,4,5)

1.ATM ☐ 2. Internet banking ☐ 3. M. banking ☐

4. Debit/Credit cards ☐ 5. Branch banking ☐

10. Are you aware that the following services are available in E-banking? If so, please state the
extent of use.

Aware & Use

Unaware
Regularly Occasionally
Awareness on E banking services Rarely Never
 1.Check balances

2.Fund transfer (RTGS/NEFT) from

one account to another

3.Mobile recharging

4.Pay direct and indirect taxes

5.Booking for Train/Bus/Flight or

Movie Tickets

6.Payment of utility bills (insurance

premium, rent, phone, mobiles etc.)

7.Online shopping

11.Which of the following factors influence you while using E-Banking?

Factors influencing the adoption of e banking Strongl Agree Neutral Dis Strongly
y agree agree disagree

1.E-Banking is convenient and ease of use

2. E banking is available at any time (24x7)

3. E-baking is less expensive

4.E banking is accessible from anywhere

5.It facilitates quick responses

6.It is easy to learn and use

7.It ensures high quality services

12. Please mention your level of satisfaction (based on your experience with your main bank) on
the following aspects.

Highly satisfied Neutral dissatisfied Highly

Satisfied dissatisfied

1. Fulfillment of your service

requirements

2. Privacy/security of E-banking
transactions

3.Easy accessibility

4.Easy to use
5.Responsiveness of bank
(willingness of bank employees to
help customers etc.)

6. Efficiency of E-banking services

13.Do you face any problem related with E-Banking?

Problems related to E-banking

Always Often Sometime Rarely Never
s

1.Security issues

2.Network issues

3. My personal information leaked out

4.Hacking

5.Transactional Risk

6. Occurrence of transaction errors