Tag: net banking

IMPORTANCE OF MOBILE BANKING

Mobile banking permits customers to be ready to access banking services from anywhere. Businesses and business homeowners are currently ready to save time by creating use of mobile applications to method their payments or maybe receive funds from shoppers on to their phone numbers. it’s significantly popular among tiny to medium-sized enterprises (SMEs).

With mobile technology, banks are ready to slow down on operational prices whereas still maintaining shopper satisfaction. The actual fact that any shopper of a bank will build use of their app to request a service, equivalent to opening an associate degree account or maybe the power to schedule debit orders or alternative payments from associate degree application, permits for larger transactional volumes, eventually driving business growth.

Benefits of Mobile Banking

  • Perpetually on- mobile are often always or are often portable due to inherent design, enabling users to act in activities equivalent to travel or meeting people, whereas transactions via mobile devices are equipped with Internet.
  • Location-Centric-Not solely is mobile altogether places, world Positioning System (GPS) is also created to acknowledge phones and tries to personalize supported existing services. distinguishing the situation of net users, provides a special advantage for mobile commerce over wired e-commerce. Using this technology, the mobile commerce suppliers can alter to receive and send info to a selected place.
  • Convenience- others aren’t restricted by time or space, access to electronic activities. For example, people that are stuck in traffic or waiting within the queue are going to be able to shop for their favorite Internet-based activities or manage their daily transactions through mobile commerce applications. customers can apprehend a special comfort that may improve their quality of life. By creating a lot of comfort, the client can be a lot more loyal. As a result, Communication facilities with mobile commerce applications produce a comfortable.
  • Customization – mobile is a far higher influence than personal computers. Therefore, mobile commerce producers style a lot of creative and a lot of custom mode tools. For example, exploiting demographic data collected by wireless service providers, and {data} on this location of the mobile users will do a lot of targeted advertising. Advertising messages are often custom supported by the knowledge provided through consultation with the users initial or previous users looking habits.
  • Establish ability – mobile provides to support the secure mobile phone transactions wherever personal computers are nearly unknown (no name). One person perpetually uses mobile devices and it’s ideal for private -based target promoting ,through the technology of worldwide Positioning System (GPS), service suppliers will acknowledge a user rigorously .Personalize chance to deliver messages to totally different components of area and time through sound and look.

NET BANKING A BOON?

Traditional banks offer many services to their customers, including accepting customer money deposits, providing various banking services to customers, and making loans to individuals and companies. Compared with the traditional channels offering banking services through physical services, Net banking use the internet to deliver traditional banking services to their customers, such as opening accounts, transferring funds, and electronic bill payment.

Net banking can be offered in two main ways, first, an existing bank with physical offices can also establish an online site and offer net banking services to its customers in addition to the regular channel, Net banking is provided without extra cost to customers. Customers are attracted by the convenience of Net banking through the internet and in turn, banks can operate more efficiently when customers perform transactions by themselves rather than going to the bank branch and dealing with a branch representative.

Net banking services are delivered to customers through the internet and web using Hypertext Markup Language (HTML). One of the main and important concerns of Net banking is security, without great confidence in security customers are unwilling to use a public network such as the internet to view their financial information and conduct financial transactions. Some of the security threads include invasion of an individual’s privacy and theft of confidential information. Banks with E-banking service offer several methods to ensure a high level of security :

  1. Identification and authentication
  2. Encryption
  3. Firewalls

The range of e-banking services is likely to increase in the future. Some banks plan to introduce electronic money and electronic cheques. Electronic money can be stored in computers or smart cards and consumers can use electronic money to purchase goods of small value over the internet. Electronic cheques will look similar to paper cheques, but they can be sent from the buyer to sellers over the internet, electronically endorsed by the seller, and forwarded tot eh seller’s bank for electronic collection from the buyer’s bank. Further bank seeks to offer its customers more products and services like insurance, mortgage, financial planning, and brokerage. This will not only deliver more values to the customers but also help banks to grow business and revenues.

ADVANTAGES/BENEFITS OF NET BANKING

1. Advantages from the customers’ point of view:

  1. Net banking provides 24 hours, 365 days a year of services to the customers of the bank.
  2. Customers can make some of the permitted transactions from office, home, or while traveling via mobile phones.
  3. It inculcates a sense of financial discipline by recording every transaction.
  4. There is greater customer satisfaction by offering unlimited access to the bank.
  5. There is greater security to the customers as they can avoid traveling with cash.

2. Advantages from the bank’s point of view:

  1. Net banking provides a competitive advantage to the bank.
  2. Net banking provides an unlimited network to the bank and is not limited to the number of branches.
  3. Load on branches can be considerably reduced by establishing centralized data and by taking over some of the accounting functions.