WHAT IS E-BANKING ? WHAT ARE ITS ADVANTAGES AND LIMITATIONS
Ans :- E-banking is one of the e-commerce segments. The private sector banks have introduced in the banking system. The concept of E-banking enables a customer to trans- act with his bank from anywhere. Such as from home, office, or from any place and time that would be use of wifi. We may transact beyond bank's working hours by E-banking facility.
E-banking is a system of banking which is carried out with the use of electronic tools and facilitated through electronic delivery channels. Most of the banks offer E-banking through efficient services at low costs and without any geographical barriers.
Advantages of E-Banking:
1) A higher degree of personalization.
2) Round the clock services will be available to the customer for all 7 days a week i.e.24 x 7
3) Fastness and flexibility in the transactions.
4) Lower operating cost for banks.
5) Increased speed and accuracy of information exchange.
6) Bank account can be easily accessed from anywhere and at anytime.
7) Leads to greater customer satisfaction.
8) NRIs can monitor their bank account in the banks in India from wherever they are stationed. They can operate their account from any where in the world.
9) Internet banking help banks in reducing the workload of their branches, such as generation of statement, balance enquiry etc.
Read more :- EXPLAIN THE DIFFERENT TYPES OF BANK PAYMENTS
1) Non-availability of internet connection, with highspeed band width in the rural areas.
2) Imparting training to banking staff is a bigger challenge.
3) Problems may crop up regarding security and reliability.
4)Resistance to paperless transaction by the customer, as they may prefer evidence for the transactions on paper.
5.) Although the technology is advancing, our legal environment is not in a position to keep pace with the technology.
6.) High illiteracy rate in India, is a Hindrance to e-Banking.