Archive for the ‘Banking’ Category
e-banking is making things easier for us
In the modern world, banking has become an unavoidable thing in every day life; often we need to go to banks or ATMs, but going to the bank itself isn’t possible all the time for us, in our hectic schedule and here comes the internet banking or e-banking. But what is this e-banking? And how it works? E-banking is a way in which any user with a personal computer and a browser can get connected to his bank’s website to execute any of the virtual banking activities. It started in New York in 1981 when city’s four major banks offered this service.
The bank has a centralized database that is web-enabled, all the services that the bank has permitted on the internet are displayed in menu in e-banking system, a customer can select any kind of service and interaction is determined by the nature of the service. The traditional branch model of bank is now giving place to substitute delivery channels with ATM network. Once the branch offices of any bank are jointed through terrestrial or satellite links, no physical identity for any branch would be there. It would be a borderless entity permitting anytime, anywhere and any kind of banking.
What benefits we can get from this kind of banking? Well, in this system customers don’t need to go to the bank premises, in this way they can save their time, the operating cost per unit services is much lower for the banks, very low percentage of error occurrences, customers can get their money anytime anywhere from ATMs, the use of credit and debit cards gives customers discounts from retail outlets, through electrical transfer any customer can transfer his money from one place to another of his choice, banks are imparting chips to their current magnetic stripe cards to enhance security and offer new service, Smart Cards.
By e-banking we can pay our recurring bills, can get our railway pass at our doorstep, we can even invest our money in stock market through e-banking, can recharge our prepaid phones, we can even shop online through this system and can also check our transaction anytime; can get quarterly statement from the bank and more. But security precautions are very important, customers shouldn’t disclose their Pin/TAN, PIN represents a password, used for the login and TANs represents one-time passwords to authenticate transactions. So this banking system can benefit us in many ways.