E-banking is electronic banking, which may also be called digital banking, net banking, and mobile banking. Sometimes virtual banking as well. In this banking method, the telecommunication network, computers, and smartphone devices are used.
Customers need not go to the bank physically. They can do all the banking from their smartphone or laptops. Also, it does not require human interaction because Artificial Intelligence enabled robotics and chatbots can do the job. A customer can do the jobs like electronic funds transfer, automatic payroll deposits, and bill payments.
Importance of E-Banking
- No need to go to a bank even for account opening.
- Customers can access both financial as well as non-financial banking services.
- Quick and secure facility.
- 24 X 7 availability. No specific banking hours are needed.
- Accurate and error-free environment.
- Improvised security.
- The customer has their username and password so no one can access others’ accounts.
- Customers can set up automatic payments.
- Everything is online, so all records are saved.
A customer can do the following in E-Banking
- Account Balance Check
- View Bank Statements
- NEFT & RTGS Fund Transfer
- IMPS Fund Transfer
- Utility Bill Payment
- Start a Deposit
- Open/Close a Fixed Deposit
- Make Merchant Payments
- Get the Cheque Book issued
- Start Investments
- Buy General Insurance
- Recharge Prepaid Mobile/DTH
- Check Mortgages, Loans
- Set-up/Cancel Automatic Payments
- Manage/Change Account Details
- Book Online Tickets
- Buy/Sell on E-Commerce Platforms
- Invest and Conduct Trade
How to register for E-Banking:
- A customer can visit their bank or call a bank executive at their place and tell them to do so.
- If the customer wants to do it by themselves, then follow the steps:
- Download the App form from your bank’s official website.
- Fill in the details.
- Submit the application.
- After verification, the customer will receive a unique user ID and password.
- With these user IDs and passwords, login to the E-banking.
- Change the password.
- Enjoy E-banking.
Popular Types of E-banking Services in India
It enables customers to perform several financial and non-financial transactions via the internet. The customers can transfer funds even to another bank account, check balance, view bank statements, pay utility bills, issue cards, cheque-book, etc. All operations are performed on the official website of the Bank.
Similar to Internet banking, but in this, a mobile app is downloaded on the smartphone. With this, all the operations are performed.
Automated Teller Machines or ATMs allow customers to withdraw funds, deposit money, change debit card PIN, etc. It can be done with or without an ATM card. The customer must have a password. This service is chargeable. Plus, if customers use another bank’s ATM, then for each transaction, minimal fees are charged.
This is a complimentary service. Bank gives their customers a card, which is connected to their bank account. Customers can use it for cashless or card-based transactions. Customers can use these cards for all types of transactions.
Direct Deposit and Withdraws:
Customers can issue a checkbook and use it for fund transfers. The customer gives the bank the authority to deduct funds from their account to pay bills, installments of any kind, insurance payments, and many more.
Point-of-Sale Transfer Terminals:
Instead of cash, customers can use their debit or credit cards.
E-banking is an online platform for doing all banking activities. We need not go to the Bank, which is an excellent option. It is secure and more accurate. It saves a lot of time.