A PROJECT REPORT

ON

E- BANKING SYSYTEM

Submitted in partial fulfillment of requirement

for the award of the Degree of Bachelor of Commerce 2021-2022

Under the guidance of: Submitted by:

Mr. SINGRAY MARANDI HITESH KUMAR BEHERA
Assist. Professor Roll No. – 19COM038
Department of commerce
Government Autonomous college

Government Autonomous College,

BHAWANIPATNA
 DECLARATION

I do here by declare that the project report entitled ‘’

submitted by me to department of commerce,
Government Autonomous college, Bhawanipatna for the
partial fulfillment of the requirement for the award of the
degree of bachelor of commerce of sambalpur university
is an original piece of work.

Mr. Hitesh Kumar Behera

Roll no- 19COM038
Session- 2021-2022

2
 GUIDE CERTIFICATE

This is to certify that Mr Hitesh Kumar Behera, a student of

B.COM of Government Autonomous College, Bhawanipatna
has completed his project report on the topic ‘E- Banking
System’ with successfully under my guidance.

He was very sincere towards his project work and also

showed utmost interest in his project assignment.

I wish him a flourishing future.

Mr. Singray Marandi

Asst. Professor
Department of commerce,
Bhawanipatna

3
 ACKNOWLEDGEMENT
With an Overwhelming sense of gratitude, I acknowledge
that the valuable guidance and consistent encouragement
extended to me by our knowledgeable faculty members
with whose guidance, I’m able to accomplish this
endeavor. Their technical acumen and years of experience
has provided me with crucial inputs at a critical stage.

I am specially thankful and grateful to my project guide

Mr. Singray Marandi who motivated and helped me in
completing my project.

HITESH KUMAR BEHERA

Roll No: 19COM038

Session: 2021-2022

4
 TABLE OF CONTENTS
SL. Page
NO. CHAPTERS no.

1. INTRODUCTION TO BANKING 5

2. BANKING SYSTEM IN INDIA 10

3. WHAT IS E-BANKING? 13

4. TYPES OF E-BANKING 18

5. FEATURES OF E-BANKING 19

6. BENEFITS OF E-BANKING 20

7. ADVANTAGES OF E-BANKING 22

8. HOW E-BANKING CAN EASE OUR LIFE 24

DATA ANALYSIS & INTERPRITAION OF

9. CUSTOMERS REVIEW ABOUT E-BANKING
26

10. CONCLUSION 44

11. RECOMMENDATIONS AND SUGGESTIONS 46

APPENDIX & QUESTIONNAIRES 47

REFERANCE 51

5
 Chapter 1
INTRODUCTION to BANKING
While walking in the streets of any town or city you might
have seen some signboards on buildings with names – Canara Bank,
Punjab National Bank, State Bank of India, United Commercial Bank, etc.
What do these names stand for? Did you ever try to know about them? If
you enter any such building you will find some kind of a business office.
You will find that some are depositing money at one counter while some
are receiving money at another counter. Behind the counters, in the
office, you will see tables and chairs occupied by officers. On one side of
the office, you will also see a chamber (small partitioned room) where the
manager is sitting with papers on his table. This is the office of a ‘Bank’.
Let us know in detail about banks and their activities.
Banking is defined as the business activity of accepting
and safeguarding money owned by other individuals and entities, and
then lending out this money in order to conduct economic activities such
as making profit or simply covering operating expenses.
A bank is a financial institution licensed
to receive deposits and make loans. Two
of the most common types of banks are
commercial/retail and investment
banks. Depending on type, a bank may
also provide various financial services
ranging from providing safe deposit
boxes and currency exchange to
retirement and wealth management.

What is banking?
Basic Definition: A system of trading money which:
provides a safe place to save excess cash, known as deposits. supplies
liquidity to the economy by loaning this money out to help businesses
grow and to allow consumers to purchase consumer products, homes,

6
cars etc. Section 5 (b) of the Banking Regulation Act 1949 defines
“Banking” as “Accepting for the purpose of lending and investment,
deposits of money from the public repayable on demand or otherwise and
withdraw able by cheque, draft, order or otherwise” No definition of
banking can be comprehensive enough in the present context.

Banking is an industry that handles cash, credit, and

other financial transactions. Banks provide a safe place to store extra cash
and credit. They offer savings accounts, certificates of deposit, and
checking accounts. Banks use these deposits to make loans. These loans
include home mortgages, business loans, and car loans.

Banking is one of the key drivers of the U.S. economy.

Why? It provides the liquidity needed for families and businesses to invest
for the future. Bank loans and credit mean families don't have to save up
before going to college or buying a house. Companies use loans to start
hiring immediately to build for future demand and expansion.

The banking industry handles finances in a country

including cash and credit. Banks are the institutional bodies that accept
deposits and grant credit to the entities and play a major role in
maintaining the economic stature of a country. Given their importance in
the economy, banks are kept under strict regulation in most of the
countries. In India, the Reserve Bank of India (RBI) is the apex banking
institution that regulates the monetary policy in the country.
Banks are classified into classified into four categories –
i. Commercial Banks
ii. Small Finance Banks
iii. Payments Banks
iv. Co-operative Banks

7
History of Banking In India
For the growth and development of modern banking, Indo-Pak
Subcontinent has a positive role. With the gradual
evolution of ages, banking activities have got momentum. We shall study it
in the below sections:

The Ancient Era

Many Economists and Experts have expressed their

opinion that banking business has been going on since ancient
era. Many pieces of evidence are found with the archaeological symbols of
Harappa and Mohenjodaro. From different religious scriptures, we find a
lot of information regarding modern banking activities.

The Mughal Era

The banking system has been extensively developed during

the Mughal Era. During that time government treasury was formed. The
Govt. introduced gold and silver coins of different denominations named
“Ashrafi”. Thus banking system has been developed. During that period
“Seth Family” was world famous. They used to conduct business
through agency house. Among the local bankers Marwari, Multani,
Kabuliwala, Sharaf, Chetti etc. are worth a mention. In the seventeenth
century, English Tradesmen were involved with them. In 1700, The
Hindustan Bank was established as a joint venture bank.

The British Era

The expansion program of the modern bank started

when the English took the power of India. In 1784 the Bengal Bank
introduced paper currency notes and gold coins of different denominations.
Later, in 1787 General Bank of India, in 1806 Bank of Bengal, in 1840 Bank
of Bombay and in 1843 Bank of Madras were set up. With the merging of
three banks, the Imperial Bank of India was established in 1920 and in 1935
the Reserve Bank of India came into being.

8
The Pakistan Era

In 1947 during the separation of India, 639 branches of

different banks were the parts of Pakistan. Besides, Head Offices of Habib
Bank Limited and Muslim Commercial Bank Limited were transferred to
Karachi. In 1948 the State Bank of Pakistan was established.

The Bangladesh Era

Bangladesh came into being in 1971. Since then a branch

of state bank of Pakistan stationed at Dhaka was declared
Central Bank of Bangladesh named as Bangladesh Bank under Special Act.
Excepting other banks, Head Offices of two banks e.g. Eastern Mercantile
Bank Limited (1959) and Eastern Banking Corporation Limited (1965) were
at Dhaka. They were renamed as Pubali Bank Limited and Uttara Bank
Limited respectively. In this country of 14 crores people about 57 banks (
Govt. bank 4; Local private 30; Foreign 12; specialized 7 and others 4) with
about 5500 branches and about 1,10,000 officers/staff; are functioning for
socio-economic development.

With two banks as above many branches of more than 10 banks were
located in Bangladesh. When the Non- Bengali owners had left the country
the disastrous condition of banks in Bangladesh knew no bounds. The fact
remains that most of the bankers and staff were Non-Bengalis.
Consequently, the management and control of all such banks were reposed
on Bangladesh Government. In 1972 Government, pursuant to President’s
Order 26, had nationalized all banks. The banking system of Bangladesh
came to a standstill.

For the past three decades, India’s banking system had several
outstanding achievements to its credit. The most striking is its extensive
reach. It is no longer confined to only metropolitan or cosmopolitan in
India. In fact, Indian banking system has reached even to the remote
corners of the country. This is one of the main reason of India’s growth
process. The government’s regular policy for Indian bank since 1969 has
paid rich dividends with the nationalization of 14 major private banks of
India. Not long ago, an account holder had to wait for hours at the bank
9
counters for getting a draft or for withdrawing his own money. Today, he
has a choice. Gone are days when the most efficient banks transferred
money from one branch to other branch in two days. Now a days it is
simple as instant messaging or dial a pizza. Money have become the other
of the day. The first bank in India, through conservative, was established in
1786. From 1786 until today, the journey of Indian banking system can be
segregated into three distinct phases. They are as mentioned below:
Early phase from 1786 to 1969 of Indian banks.

Origin of Banking in India

Banking in India is indeed as old as the Himalayas. But, the banking

functions became an effective force only after the first decade of 20th
century. Banking is an ancient business in India with some of oldest
references in the writings of Manu. Bankers played an important role during
the Mogul period. During the early part of East India Company
era, agency houses were involved in banking. Modern banking (i.e. in the
form of joint-stock companies) may be said to have had its beginnings in
India as far back as in 1786, with the establishment of the General Bank of
India.

10
 Chapter 2
Banking System in INDIA
The structure of banking system differs from country to country
depending upon their economic conditions, political structure, and financial
system. Banks can be classified on the basis of the volume of
operations, business pattern and areas of operations. They are termed as a
system of banking. The commonly identified systems are:

Unit Banking

Unit banking is originated and developed in the U.S.A. In this

system, small independent banks are functioning in a limited area or in a
single town. It has its own board of directors and stockholders. It is also
called as “localized Banking”.

Branch Banking

The Banking system of England originally offered an example of

the branch banking system, where each commercial bank has a network of
branches spread throughout the country.

Correspondent Banking

The correspondent banking system is developed to remove the

difficulties in the unit banking system. The smaller banks deposit their cash
reserve with bigger banks.

Therefore, correspondent banks are intermediaries through

which all unit banks are linked with bigger banks in financial centres.
Through correspondent banking, a bank can carry-out business transactions
in another place where it does not have a branch.

11
Group Banking

Group Banking is the system in which two or more independently

incorporated banks are brought under the control of a holding company.
The holding company may or may not be a banking company. Under group
banking, the individual banks may be unit banks, or banks operating
branches or a combination of the two.

Pure Banking and Mixed Banking

On the basis of lending operations of the bank, banking is classified into:

(a) Pure Banking
(b) Mixed Banking

(a) Pure Banking: Under pure Banking, the commercial banks give only
short-term loans to industry, trade, and commerce. They specialize in short-
term finance only. This type of banking is popular in U.K.
(b) Mixed Banking: Mixed banking is that system of banking under which
the commercial ban s performs the dual function of commercial banking
and investment banking. Commercial banks usually offer both short-term
as well as medium-term loans. The German banking system is the best
example of mixed Banking.
Relationship Banking
It refers to the efforts of a bank to promote personal contacts and
to keep continuous touch with customers who are very valuable to the
bank. In order to retain such profitable accounts with the bank or to attract
new accounts, it is necessary for the bank to serve their needs by
maintaining a close relationship with such customers.

Narrow Banking

A bank may be concentrating only on the collection of deposits and

lend or invest the money within a particular region or certain chosen activity
like investing the funds only in Government Securities. This type of
restricted minimum banking activity is referred to as ‘Narrow Banking’.

12
Universal Banking

As Narrow Banking refers to restricted and limited banking activity

Universal Banking refers to broad-based and comprehensive banking
activities.

Regional Banking

In order to provide adequate and timely credits to small borrowers

in rural and semi-urban areas, Central Government set up Regional Banks,
known as Regional Rural Banks all over India jointly with State Governments
and some Commercial Banks.

Local Area Banks

With a view to bringing about a competitive environment and to

overcome the deficiencies of Regional Banks, Government has permitted
the establishment of one type of regional banks in rural and semi-urban
centres under private sector known as “Local Area Banks”.

Wholesale Banking

Wholesale or corporate banking refers to dealing with limited

large-sized customers. Instead of maintaining thousands of small accounts
and incurring huge transaction costs, under wholesale banking, the banks
deal with large customers and keep only large accounts. These are mainly
corporate customer.

Private Banking

Private or Personal Banking is banking with people — rich

individuals instead of banking with corporate clients. It attends to the need
of individual customers, their preferences and the products or services
needed by them. This may include all-around personal services like
maintaining accounts, loans, foreign currency requirements, investment
guidance, etc.

13
 Chapter 3
WHAT IS E-BANKING?
E-banking is defined as the automated delivery of new and
traditional banking products and services directly to customers through
electronic, interactive communication channels. E-banking includes the
systems that enable financial institution customers, individuals or
businesses, to access accounts, transact business, or obtain information
on financial products and services through a public or private network,
including the Internet.
Customers access e-banking services using an intelligent electronic
device, such as a personal computer (PC), personal digital assistant (PDA),
automated teller machine (ATM), kiosk, or Touch Tone telephone. While
the risks and controls are similar for the various e-banking access
channels, this booklet focuses specifically on Internet- based services due
to the Internet widely accessible public network. Accordingly,
this booklet begins with a discussion of the two primary types of Internet
websites: informational and Transactional E-banking can be offered in
two main ways. First, an existing bank with physical offices can also
establish an online site and offer e-banking services to its customers in
addition to the regular channel.
For example, Citibank is a leader in e-banking, offering walk-in,
face-to-face banking at its branches throughout many parts of the world
as well as e-banking services through the World Wide Web. Citibank
customers can access their bank accounts through the Internet, and in
addition to the core e-banking services such as account balance inquiry,
funds transfer, and electronic bill payment, Citibank also provides
premium services including financial calculators, online stock quotes,
brokerage services, and insurance.

14
HISTORY OF E- BANKING
On October 1, 2000, the electronic signatures bill took effect, recognizing
documents signed online as legal. Some banks plan to begin using
electronic checks as soon as they can work out various security measures.
The range of e-banking services is likely to increase in the future. Some
banks plan to introduce electronic money and electronic checks.
Electronic money can be stored in computers or smart cards and
consumers can use the electronic money to purchase small value items
over the Internet.
Electronic checks will look similar to paper checks, but they can
be sent from buyers to sellers over the Internet, electronically endorsed
by the seller, and forwarded to the seller's bank for electronic collection
from the buyer's bank.
NEED FOR E-BANKING
One has to approach the branch in person, to withdraw cash
or deposit a cheque or request a statement of accounts. In true Internet
banking, any inquiry or transaction is processed online without any
reference to the branch (anywhere banking) at any time.
Providing Internet banking’s increasingly becoming a "need
to have" than a "nice to have" service. The net banking, thus, now is more
of a norm rather than an exception in many developed countries due to
the fact that it is the cheapest way of providing banking services. Banks
have traditionally been in the reform of harnessing technology to improve
their products, services and efficiency.
1. Pay your own bills-
You can use online banking to pay your bills. This will eliminate the need
for stamps and protect yourself from the check being lost in the mail.
Most banks will have a section in which you set up payees. You will need
to fill out the information once, and then you can simply choose that
profile every time you pay a bill online. If your bank will not pay bills online
you may consider paying online through the company.

15
 Be careful since some of these companies may
charge a convenience fee. Some places will charge a fee for a debit card,
but not if you set up a direct debit. Many banks even allow you to take
photos of your checks to deposit them now. This means that you can
handle all of your banking without ever going to the bank.
❖ Pay bills online through your bank or directly through the website of
your service provider.
❖ Set up automatic bill payments for bills that do not change.
❖ Watch out for convenience fees associated with online bill pay.
1. View Your Transactions –
Online banking allows you to access your account history and
transactions from anywhere. This is the quickest way to check and see if
a transaction has cleared your account. This can help you to find out the
amount of a transaction after you have lost your receipt.
It also allows you to find out about unauthorized transactions
more quickly. This can help you to resolve the issues more quickly. Some
banks will show you pending transactions. These are transactions that you
made that day. If you spot something you did not authorized you can
contact your bank and the vendor in order to reverse the charges.
The sooner you catch a problem like this, the more quickly you
can resolve it. Pending transactions may not be for the exact amount of
the purchase. For example, if you leave a tip this will not show on the
pending transaction. Be sure to keep that in mind as you balance your
account.
• Check your cleared debits daily to balance your account.
• Keep track of pending transactions.
• Catch errors quickly for easier correction.
2. Transfer Money Between Accounts –
Online banking also allows you to transfer money between accounts
much more quickly. It is more convenient than using the automated
phone service, and can save you a trip to the bank. When you apply or
set up your online banking, be sure that all of the accounts you have at
the bank are listed.

16
 This will make it easier to transfer money and make loan
payments online. You also have the option of transferring money between
different banks online. This will not happen as quickly since the money
still needs to go between financial institutions, but it is much more
convenient than running to the bank.
Depending on the type of account, your bank may limit the
number of online transfers. You need to make sure that you do not go
over the number of allowed transfers.
• Make transfers without leaving home.
• Check on availability of funds before you spend the money. Be sure to
stick to the allowed number of transfers.
3. Mobile Banking –
Most banks will have a mobile app that allows you to take advantage of
online banking on your phone. This makes online banking even more
convenient and allows you to quickly check up on your account when you
are out shopping.
However, you need to be sure you are accessing this information
on a secure network and avoid using public WiFi while completing these
transactions. Mobile banking makes online banking even easier.
❖ Check your balance while you are shopping or on the go.
❖ Transfer money to cover purchases you are currently making.
5. Syncing with Your Money Applications –
Many money apps will automatically sync with your online banking
information. This makes sticking to your budget much easier. Many apps
will work both on your home computer and your mobile device so you can
stay up-to-date while you are on the go.
It is also easier to track your spending for your budget if you
are using one of these apps. Many people no longer receive paper
statements, but it is still important to balance your account to your bank
each month to prevent you from overdrawing your account. If your bank

17
is small, it may not offer the syncing function, but you can still update your
accounts each day by logging on and entering your accounts manually.
• Online budgeting apps make managing your money easier.
• Budget while you are shopping so that you can stop spending when you
reach your limit.
• Sync spending in real time so your partner and you do not overspend at
different stores without realizing it.
6. Protect Yourself Online –
It is important to be careful when banking online. You do not want your
safety or privacy to be breached. It is important to clear your cookies after
each banking session if you are at a public computer. Additionally, you
need to make sure that your password is long enough to prevent it from
easily being hacked. Never give your online account information to
someone who is not an authorized signer on your account. Check your
credit report regularly. These steps should protect you from identify theft.
You should make sure to protect your password especially if you have
roommates. Take the time to make the necessary precautions.
• Monitor your account regularly for fraudulent charges.
• Avoid using public WiFi when accessing your accounts.
•Follow the password guidelines, and consider changing your password
on a regular basis.

18
 Chapter 4
TYPES OF E-BANKING
The common assumption is that Internet banking is the
only method of on-line banking. However, this is not strictly the case, as
several types of service are currently available: PC Banking - The
forerunner to Internet banking has been around since the late 1980's and
is still widely used today.
Individual banks provide software which is loaded on to an
SME's office computer. The SME can then access their bank account via a
modem and telephone link to the bank. Access is not necessarily via the
Internet.
❖ Internet Banking - Using a Web browser, a user can access their
account, once the bank's application server has validated the user's
identity.
❖ Digital TV Banking - Using the standard digital reception equipment
(set top box and remote control), users can access their bank account.
Abbey National and HSBC services are available via Digital TV
providers. One of its main selling points is that no account details are
transmitted via the World Wide Web.
❖ Text Phone Banking - HSBC have introduced this service to allow
customers with text phones to check their balance, pay bills and
transfer money.
Internet banking can be split into two distinct groups:
❖ Traditional banks and building societies use the Internet as an add-on
service with which to give businesses access to their accounts.
❖ New Internet-only banks have no bricks and mortar presence on the
High Street. Therefore, they have lower overheads and can offer
higher rates of interest and lower charges.

19
 Chapter 5
FEATUERS OF E-BANKING
 E-Banking provide exceptional rates on Savings, CDs, and IRAs.
 Checking with no monthly fee, free bill payment and rebates on
ATM surcharges.
 credit cards with low rates.
 Easy online applications for all accounts, including personal loans
and mortgages.
 24-hour account access.
 It provides Quality customer service with personal attention.
 It provides the quick services to their customers.
 Enables transfer of funds from one place to another (banks).
 Exchange of statistical information among banks.
 Enables foreign exchange operations.
 Inter-bank applications like settlement of funds between banks.
 Provides facilities like demat operation, ATM operation, online
banking.

20
 Chapter 6
BENEFITS OF E-BANKING
For Banks:

Price- In the long run a bank can save on money by not paying for
tellers or for managing branches. Plus, it's cheaper to make
transactions over the Internet.
Customer Base- the Internet allows banks to reach a whole new
market- and a well off one too, because there are no geographic
boundaries with the Internet. The Internet also provides a level
playing field for small banks who want to add to their customer base.
Efficiency- Banks can become more efficient than they already are
by providing Internet access for their customers. The Internet
provides the bank with an almost paper less system.
Customer Service and Satisfaction- Banking on the Internet not only
allow the customer to have a full range of services available to them
but it also allows them some services not offered at any of the
branches. The person does not have to go to a branch where that
service may or may not be offer.
A person can print of information, forms, and applications
via the Internet and be able to search for information efficiently
instead of waiting in line and asking a teller. With more better and
faster options a bank will surely be able to create better customer
relations and satisfaction.
Image- A bank seems more state of the art to a customer if they
offer Internet access. A person may not want to use Internet banking
but having the service available gives a person the feeling that their
bank is on the cutting image.

For Customers:
Pay Bill: Bill Pay is a service offered through Internet banking that allows
the customer to set up bill payments to just about anyone. Customer can
select the person or company whom he wants to make a payment and
21
Bill Pay will withdraw the money from his account and send the payee a
paper check or an electronic payment.
Other Important Facilities: E- banking gives customer the control over
nearly every aspect of managing his bank accounts. Besides the
Customers can, Buy and Sell Securities, Check Stock Market Information,
Check Currency Rates, Check Balances, See which checks are cleared,
Transfer Money, View Transaction History and avoid going to an actual
bank. The best benefit is that Internet banking is free. At many banks the
customer doesn't have to maintain a required minimum balance. The
second big benefit is better interest rates for the customer.

22
 Chapter 7
ADVANTAGES OF E-BANKING
a) Convenience – They’re available 24 hours a day, seven days a week,
and they’re only a mouse click away. With pressures on time and longer
travelling periods, more and more people find it tiresome waiting in
queues. People want flexibility, and Internet banking offers just that.
b) Ubiquity – If you’re out of state or even out of the country when a
money problem arises, you can log on instantly to your online bank and
take care of business, 24*7.
c) Transaction speed - Online bank sites generally execute and confirm
transactions at or quicker than ATM processing speeds.
d) Efficiency- You can access and manage all of your bank accounts,
including IRA’s, CDs, even securities, from one secure site.
e) Effectiveness- Many online banking sites now offer sophisticated tools,
including account aggregation, stock quotes, rate alert and portfolio
managing program to help you manage all of your assets more effectively.
f) Cheaper alternative - With increasing competition, it seems to be the
cost factor that is driving banks to offer the facility. The Internet is still a
very cheap alternative to opening a physical branch, and most of the push
seems to be coming from the supply side. The costs of a banking service
through the Internet form a fraction of costs through conventional
methods.
g) From snob value to necessity- A couple of years ago, there was a
belief even among bankers that customers opening new accounts
wanted the online banking facility, just to "feel good" and very few of
them actually used the services. Today, bankers believe that the trend
from `nice to have' is changing to `need to have'. The "snob value" of
banking with an organization that could offer service on the Internet

23
has given way to a genuine necessity, he feels. "It all depends on how
busy a person is."

24
 Chapter 8
HOW E-BANKING CAN EASE YOUR LIFE
Indian banks are trying to make your life easier. Not just bill
payment, you can make investments, shop or buy tickets and plan a
holiday at your fingertips. In fact, source s from ICICI Bank tell us, "Our
Internet banking base has been growing a t an exponential pace over the
last few years.
Currently around 78 percent of the bank's customer base is
registered for Internet banking." To get started, all you need is a computer
with a modem or other dial- up device, a checking account with a bank
that offers online service and the patience to complete about a one-page
application-- which can usually be done online. You can avail the following
services.
a) Bill payment service: Each bank has tie-ups with various utility
companies, service providers and insurance companies, across the
country. It facilitates the payment of electricity and telephone bills,
mobile phone, credit card and insurance premium bills. To pay bills, a
simple one-time registration for each biller is to be completed. Standing
instructions can be set, online to pay recurring bills, automatically. One-
time standing instruction will ensure that bill payments do not get delayed
due to lack of time. Most interestingly, the bank does not charge
customers for online bill payment.
b) Fund transfer: Any amount can be transferred from one account to
another of the same or any another bank. Customers can send money
anywhere in India. Payee’s account number, his bank and the branch is
needed to be mentioned after logging in the account. The transfer will
take place in a day or so, whereas in a traditional method, it takes about
three working days. ICICI Bank says that online bill payment service and
fund transfer facility have been their most popular online services.
c) Credit card customers: Credit card users have a lot in store. With
Internet banking, customers can not only pay their credit card bills online
25
but also get a loan on their cards. Not just this, they can also apply for an
additional card, request a credit line increase and God forbid if you lose
your credit card, you can report lost card online.
d) Railway pass: This is something that would interest all the aam janta.
Indian Railways has tie d up with ICICI bank and you can now make your
railway pass for local trains online. The pass will be delivered to you at
your doorstep. But the facility is limited to Mumbai, Thane, Nasik, Surat
and Pune. The bank would just charge Rs. 10 + 12.24 percent of service
tax.
e) Investing through Internet banking: Opening a fixed deposit account
cannot get easier than this. An FD can be opened online through funds
transfer. Online banking ca n also be a great friend for lazy investors. Now
investors with interlinked demat account and bank account can easily
trade in the stock market and the amount will be automatically debited
from their respective bank accounts and the shares will be credited in
their demat account.
f) Recharging your prepaid phone: Now there is no need to rush to the
vendor to recharge the prepaid phone, every time the talk time runs out.
Just top-up the prepaid mobile cards by logging in to Internet banking. By
just selecting the operator's name, entering the mobile number and the
amount for re charge, the phone is again back in action within few
minutes.
g) Shopping at your fingertips: Leading banks have tie ups with various
shopping websites. With a range of all kind of products, one can shop
online and the payment is also made conveniently through the account.
One can also buy railway and air tickets through Internet banking.

26
 Chapter 9
DATA ANALYSIS & INTERPRITAION OF
CUSTOMERS REVIEW
❖ Gender
Male 34
Female 16
Total 50
Gender

Male Female

INTERPRETATION
The result shows that majority of respondents i.e. 64% are males who
are using the E-banking services and 32% are the female who are using
E-banking services. Female are not using this service because they have
less knowledge about the internet and they trust face to face interaction
more. So, it shows that E-banking is more famous among male.

❖ Age
Below 20 15
20 to 39 20
40 to 59 13
60 and above 2
Total 50

27
INTERPRETATION
The result shows that majority of respondents i.e. 40% falls under the
category of 20-39 years and 30% falls under below 20 years it shows that
E-banking is mainly famous among the age group of 20 to 39 as they are
the major users of E-banking and least 4% comes under above 40 years.

Q.1 Do you think that banking service is necessary in present scenario?

YES 43

NO 7

TOTAL 50

Option

14%

86%

YES NO

28
INTERPRETATION
The results show that to make work easiest e-banking facility are very
useful and necessary in present scenario which is being proved from the
above chart which states that 86% of people says that e-banking services
is necessary in present scenario.

Q2. Are you availing E-BANKING service?

YES 40

NO 10

TOTAL 50

OPTIONS

20%

80%

YES NO

29
Interpretation
The results show that 80% respondents who are aware of E-
banking they are availing E-banking services and 20 % are not availing E-
banking services yet they are aware of E-banking the reason is that they
still have faith in traditional banking.

Q.3 What do you prefer while choosing E-BANKING service?

GOOD SERVICE 27

COST CHARGE 23

TOTAL 50

OPTIONS

GOOD SERVICE COST CHARGES

30
Interpretation
The results show that 54% people are prefer Good services and 46% cost
charges Its means that most of the people are want good services in the
comparison of cost charges. Means in present people are not much care
about service cost.

Q.4. What is the reason to select particular bank?

GOOD BRAND 17

GOOD SERVICES 33

TOTAL 50

Sales

GOOD SERVICES GOOD BRAND

31
Interpretation
The results show that 66% people need good service and 34% people need
good brand. It seems that people 1st preference is good service while
selecting their banks.

Q.5 Which type of E-BANKING service you want to use?

ONLINE FUND TRANSFER 12

ONLINE PURCHASE AND
18
PAYMENTS
REGULAR CHECKING OF
12
BANK STATEMENT
CHEQUE BOOK SERVICES 8

TOTAL 50

OPTIONS

ONLINE FUND TRANSFER ONLINE PURCHASE AND PAYMENTS

REGULAR CHECKING OF BANK STATEMENT CHEQUE BOOK SERVICES

32
Interpretation
The results show that the Online purchase and payment is the most
option selected by the respondents i.e. 36% as they want to perform in
their e-banking services, and in second online fund transfer and regular
checking of bank statement i.e. 20% and 24% cheque book services.

Q.6 Which type of problems are you facing while using E-BANKING
service?

TIME SAVING 7

SLOW SPEED 23

CRITICAL PROCESS 12
NOT EASY FOR
8
UNEDUCATED
TOTAL 50

OPTIONS

TIME SAVING SLOW SPEED CRITICAL PROCESS NOT EASY FOR UNEDUCATED

33
Interpretation
The results show that Slow speed in working option are choose by the
most of people and critical process is next most option choose and then
not easy for uneducated ppl. because in India every person have an
account but they are not well educated. So, that’s why this kind of
problems are held by the most of people.

Q.7. In which bank do you have account?

HDFC 2

ICICI 4

SBI 18

BANK OF BARODA 12

CANARA BANK 6
ANDHRA BANK 8

TOTAL 50

OPTIONS

HDFC ICICI SBI BANK OF BARODA CANARA BANK ANDHRA BANK

34
Interpretation
According to this study majority of respondents i.e. 36% have their
accounts in SBI bank and 20% respondents have their account in BANK OF
BARODA Bank and 16% have their account in ANDHRA BANK, 12% have
their account in CANARA BANK, 4% in HDFC and 8% in ICICI bank. So, it
means a large no. of respondents have Experience of SBI bank.
Q8. ARE YOU SATISFIED WITH E-BANKING SERVICE?

YES 45

NO 5

TOTAL 50

OPTIONS

YES NO

35
Interpretation
The results show that the 90% people are satisfied with E-BANKING
service while 10% people are not.
Q.9. Giving rate to your E-BANKING service?

EXCELLENT 6
VERY GOOD 9
GOOD 18
AVERAGE 12
POOR 5
TOTAL 50

OPTIONS

EXCELLENT VERY GOOD GOOD AVERAGE POOR

36
Interpretation
The results show that the People are not that happy with their banks E
banking service. 36% people are rating good then 24% people are rating
avg. Then 18% people rating very good then 12% people rating excellent
and at last 10% people are rating poor.
Q.10. Which of the following E-BANKING service is you aware of?

INTERNET BANKING 5
MOBILE BANKING 17
ONLINE BANKING 3
DEBIT/ CREDIT 24
OTHER 4
TOTAL 50

OPTIONS

INTERNET BANKING MOBILE BANKING ONLINE BANKING DEBIT/ CREDIT OTHER

37
Interpretation
The results show that the 42% people are aware of debit and credit the
34% mobile banking then 10% internet banking then 8% other and lastly
6% online banking.
Q.11. Which of the following benefits accrue to you while using E-
BANKING service?

TIME SAVING 28
LESS EXPENSIVE 7
EASY TRANSFER 10
ESAY PROCESSING 5
TOTAL 50

OPTIONS

TIME SAVING LESS EXPENSIVE EASY TRANSFER EASY PROCESSING

38
Interpretation
The results show that the 56% accrue benefit for time saving then 20%
easy fund transfer then 14% less expensive and then 10% for easy
processing.
Q.12. How did you come to know about E-BANKING?

BANK 5

ADVERTISEMENT 35

PRINT MEDIA 5

OTHER 5

TOTAL 50

OPTIONS

10% 10%
10%

70%

BANK ADVERTISEMENT PRINT MEDIA OTHER

39
Interpretation
The results show that the 70% people know because of advertisement and
rest are approx. same according to our analysis. I.e. 10%.
Q.13. To what extent is you satisfied with your banks E-BANKING
service?

HIGH 12
SATISFIED 19
NORMALLY 15
DISSATISFIED 4
TOTAL 50

OPTIONS

HIGH SATISFIED NORMALLY DISSATISFIED

40
Interpretation
From the above chart it represents that 38% of people are satisfied, while
24% of people are highly satisfied and 30% of them are neutral and the
rest are dissatisfied with their e-banking services. Which in overall, we can
say that there is a high rate of satisfaction level from the e-banking
service.
Q.14. Does the E-BANKING website is quick to access?

YES 44

NO 6

TOTAL 50

OPTIONS

YES NO

41
Interpretation
The results show that the 88% people are able to access the website
quickly. And rest are not just because no less knowledge.
Q.15. Does the privacy policy framed by banks with respect to E-
BANKING protect your interest also?

YES 38
NO 12
TOTAL 50

OPTIONS

YES NO

42
Interpretation
The results show that the 76% people trust the banks for privacy policy.
And rest are non-trustable.

Q.16. Do the banks provide immediate transaction feedback?

YES 37

NO 13

TOTAL 50

OPTIONS

YES NO

43
Interpretation
The results show that the 74% people says yes and 26% says no.

44
 CHAPTER 10
CONCLUSION

This study attempted to identify key quality attributes of

internet banking services by analysing internet banking customers & their
comments on banking experience. The findings of this study show that
despite of many advantages of online banking. People still consider it as
an alternative for analysing their bank records. Although every bank today
provides the facility of online banking but most of people use it only once
a month. This reason is that in case of internet banking interpersonal
interaction with customers is seldom possible.
Identification & measurement of customer’s expectations of
the internet banking services provide a frame of reference & their related
quality dimension. The main factors which persuade people to use online
banking are comfort & convenience & the facility which attracts them
most is quality & quantity of information. Therefore, the implementation
of quality initiatives should begin with defining customer’s need &
preferences & their related quality dimensions.
There is still a lot needed for the banking system to make
reforms and train their customers for using internet for their banking
account. Going through the survey the main problem lies that still
customer have a fear of hacking of accounts and thus do not go on for
internet banking.
Banks are trying their level best by providing the best security
options to the customers but then to there is lot of factors which betrays
a customer from opening an internet bank account.
Banks are providing free internet banking services also so that
the customers can be attracted. By asking the bank employs we came to
know that maximum numbers of internet bank account holders are youth
and business man. E-Banking is an innovative tool that is fast becoming a

45
necessity. It is a successful strategic we upon for banks to remain
profitable in a volatile and competitive marketplace of today.
If proper training should be given to customer by the bank
employs to open an account will be beneficial secondly the website
should be made friendlier from where the first-time customers can
directly make and access their accounts. In future, the availability of
technology to ensure safety and privacy of e-transactions and the RBI
guide lines on various aspects of internet banking will definitely help in
rapid growth of internet banking in India.

46
 CHAPTER 11
RECOMMENDATIONS AND SUGGESTIONS
We can see the time is changing and we the passage of time people are
accepting technology there is still a lot of perceptual blocking which
hampers the growth it’s the normal tendency of a human not to have
changes work on the old track, that’s also one of the reasons for the slow
acceptance of internet banking accounts.
➢ Banks should obey the RBI norms and provide facilities as per the
norms, which are not being followed by the banks. While the customer
must be given the prompt services and the bank officer should not have
any fear on mind to provide the facilities as per RBI norms to the units
going sick.
➢ Internet banking facility must be made available in all Banks branches.
➢ Each section of the Banks should be computerized even in rural areas
also.
➢ Personalized banking should be given a thrust as more and more banks
are achieving in usual services.
➢ Covering up the towns in rural areas with ATM’s so that the people in
those areas can also avail better services.
➢ Prompt dealing with permanent customers and speedy transactions
without harassing the customers.
➢ Fair dealing with the customers. More contributions from the
employees of the bank. The staff should be co-operative, friendly and
must be capable of understanding the problems of the customers.
➢ Give proper training to customers for using e-banking.
➢ Create a trust in mind of customers towards security of their accounts.
➢ Provide a platform from where the customers can access different
accounts at single time without extra charge.

47
 APPENDIX
Dear Respondent,
I am pursuing B.com in P.N. (auto.) college, Khordha and
conducting a research study of e-Banking in Khordha. I will appreciate
your cooperation in this regard by filling up the questionnaire carefully. I
assure you that the information provided by you will be kept confidential
and will be used for academic purpose only.

Research scholar

QUESTIONNAIRES ON “SATISFACTION FROM E- BANKING

SERVICES”
Please put a tick (✓) in appropriate brackets

A) PERSONAL DATA
NAME: - ………………………………………………………………………………………..
ADDRESS: -…………………………………………………………………………………….
MOBILE NO: -…………………………………………………………………………………

GENDER: - O MALE O FEMALE

AGE: -……………

B) GENERAL DATA
1. DO YOU THINK THAT E-BANKING SERVICES ARE NECESSARY IN
PRESENT SCENARIO?
(A) YES
(B) NO
2. ARE YOU AVAILING E BANKING SERVICES?
(A) YES

48
(B) NO
3. WHAT DO YOU PREFER WHILE CHOOSING E- BANKING SERVICES?
(A)GOOD SERVICE
(B)COST CHARGES
4. WHAT ARE THE REASONS FOR SELECTING THIS PARTICULAR BANK?
(A)GOOD BRAND
(B)GOOD SERVICE
5. WHICH TYPE OF E-BANKING SERVICE YOU WANT TO USE?
(A)TRANSFER FUNDS ONLINE
(B)ONLINE PURCHASE AND PAYMENT
(C)REGULAR CHECKING OF BANK STATEMENT
(D)CHEQUE BOOK SERVICE
6. WHICH TYPE OF PROBLEMS ARE YOU FACING WHILE USING E-
BANKING SERVICES?
(A)TIME TAKING IN FUND TRANSFER
(B)SLOW SPEED IN WORKING
(C)CRITICAL PROCESS
(D)NOT EASY FOR UNEDUCATED PEOPLE
7. IN WHICH BANK DO YOU HAVE ACCOUNT?
(A)HDFC
(B)ICICI
(C)SBI
(D)Bank of Baroda
(E)Canara Bank
(F)Andhra bank

49
8. ARE YOU SATISFIED WITH E-BANKING SERVICE?
(A) YES
(B) NO
9. GIVE RATING TO YOUR E-BANKING SERVICE.
(A)EXCELLENT
(B)VERY GOOD
(C)GOOD
(D)AVERAGE
(E)POOR
10. WHICH OF THE FOLLOWING E-BANKING SERVICES ARE YOU AWARE
OF?
(A)INTERNET BANKING
(B)MOBILE BANKING
(C)ONLINE BANKING
(D)DEBIT/CREDIT
(E)OTHER
11. WHICH OF THE FOLLOWING BENEFITS ACCRUE TO YOU WHILE
USING E-BANKING SERVICES?
(A)TIME SAVING
(B)LESS EXPENSIVE
(C)EASY FUND TRANSFER
(D)EASY PROCESSING
12. HOW DID YOU COME TO KNOW ABOUT E-BANKING?
(A)BANK

50
(B)ADVERTISMENTS
(C)PRINT MEDIA
(D)OTHER
13. TO WHAT EXTENT IS YOU SATISFIED WITH YOUR BANKS E BANKING
SERVICE?
(A)HIGHLY SATISFIED
(B)SATISFIED
(C)NORMALLY SATISFIED
(D)DISSATISFIED
14. DOES THE E-BANKING WEBSITE IS QUICK TO ACCESS?
(A) YES
(B) NO
15. DOES THE PRIVACY POLICY FRAMED BY BANKS WITH RESPECT TO E-
BANKING PROTECTS YOUR INTEREST ALSO?
(A) YES
(B) NO
16. DOES THE BANK PROVIDES IMMEDIATE TRANSACTION FEEDBACK?
(A) YES
(B) NO

SIGNATURE with DATE

51
THANK YOU VERY MUCH FOR YOUR KIND SUPPORT
AND CO-OPERATION

REFERENCES

➢ https://bankingjournal.aba.com/2017/06/nine-young-bankers-
who-changed-america-thomas-sudman/
➢ https://books.google.com/?id=l94FEs-
lMu4C&pg=PA41&lpg=PA41&dq=pronto+home+banking#PPA41,M1
➢ http://findarticles.com/p/articles/mi_m0CMN/is_n10_v21/ai_5866
01/pg_6?tag=artBody;col1
➢ https://www.federalreserve.gov/boarddocs/supmanual/cch/efta.p
df
➢ http://www.solidpass.com/solutions/online-banking-security.html
➢ https://www.goodreturns.com
➢ https://www.indiainfoline.com

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