Electronic Banking

Electronic Banking

In the wake of the recent strides in information and communication technologies, almost all of banking operations have been computerized by most commercial banks both in private and public sectors during the last ten years. Infact, the new generation private sector banks started their operations with IT advantage. Today, IT and computerization has been adopted for front-office operations where interaction with customers takes place, back-office operations such as internal accounting and book balancing and settlement of transactions with other branches and banks/institutions. Electronic banking has opened new banking channels like phone banking, internet banking, Credit Cards, ATM etc. In this background, modern banks look quite different from the traditional ‘brick and mortar’ branch banking. VMost importantly, Information Technology has brought about ‘anywhere and any time bank’ and contributed to the speed, accuracy and confidentiality of customers’ transactions, while enhancing customers’ convenience. The funds transfer and cheques clearing and collection of bills of exchange are also done electronically with accuracy, speed and safety. Internal house keeping is done accurately and much faster. The new banking channels have ensured that the customer need not necessarily go to the branches for cash withdrawal, deposit of cheques, obtaining account statement etc. but has access to other channels such as ATM, Card or internet.