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IMPACT OF TECHNOLOGY IN RETAIL BANKING Banks, in particular,represent one of the most common and often most important business

ss relationships in a typical customers life. For most customers, banking relationships reach much deeper than the execution of routine financial transactions. A customers commitment to a financial institution can be driven more by feelings of trust and confidence than practical issues such as account fees or the convenience of branch locations. As a result, banks are constantly challenged to engage their customers on both an emotional and a rational level. Recent advances in technology provide banks with new tools that can help meet that challenge, but the way in which banks manage and leverage those tools will determine whether they succeed. Never before have retail banks offered their customers so many different ways to interact. Fifty years ago, most banks provided only two interaction points: customers could either visit a branch in person or call their bank on the telephone. Not until the 1970s did retail banks begin the large-scale introduction of ATMs, which provided customers with a third way to access their banks services.

Some Products and services ATM An electronic banking outlet, which allows customers to complete basic transactions without the aid of a branch representative or teller.

There are two primary types of automated teller machines, or ATMs. The basic units allow the customer to only withdraw cash and receive a report of the account's balance. The more complex machines will accept deposits, facilitate

credit card payments and report account information. To access the advanced features of the complex units, you will usually need to be a member of the bank that operates the machine.

Anyone with a debit or credit card will be able to access most ATMs. Using a machine operated by your bank is usually free, but accessing funds through a unit owned by a competing bank will usually incur a small fee.


MOBILE BANKING Mobile banking (also known as M-Banking, mbanking, SMS Banking) is a term used for performing balance checks, account transactions, payments, credit applications and other banking transactions through a mobile device such as a mobile phone or Personal Digital Assistant (PDA). The earliest mobile banking services were offered over SMS. With the introduction of the first primitive smart phones with WAP support enabling the use of the mobile web in 1999, the first European banks started to offer mobile banking on this platform to their customers[1]. Mobile banking has until recently (2010) most often been performed via SMS or the Mobile Web. INTERNET BANKING

Internet banking (or E-banking) means any user with a personal computer and a browser can get connected to his bank -s website to perform any of the virtual banking functions. In internet banking system the bank has a centralized database that is web-enabled. All the services that the bank has permitted on the internet are displayed in menu. Any service can be selected and further interaction is dictated by the nature of service. The traditional branch model of bank is now giving place to an alternative delivery channels with ATM network. Once the branch offices of bank are interconnected through terrestrial or satellite links, there would be no physical identity for any branch. It would a borderless entity permitting anytime, anywhere and anyhow banking.

The network which connects the various locations and gives connectivity to the central office within the organization is called intranet. These networks are limited to organizations for which they are set up. SWIFT is a live example of intranet application.

WEBSITE WITH ALL INFORMATION Most retail banks now have a Web site that gives customers the ability to perform common tasks such as checking account balances,transferring funds, and paying bills over the Internet.

A simple comparison of customer engagement levels among Web site users and non-users does not account for the fact that some banks do an excellent job of providing engaging online experiences, while other banks offer Web sites that are difficult to use and lack important features. This is a critical distinction. According to the results of our survey, a customers satisfaction with a banks Web site is strongly connected to his or her overall engagement with the bank. Customers who

use their banks Web site and are extremely satisfied with the features they use tend to be strongly engaged with their bank. More specifically, extremely satisfied Web site users are seven times more likely to be engaged with their bank when compared to less satisfied Web site users. And extremely satisfied Web site users are five times more likely to be engaged with their bank when compared to customers who do not use their banks Web site.

TRNSFER OF FUNDS BY RTGS The acronym 'RTGS' stands for Real Time Gross Settlement, which can be defined as the continuous (real-time) settlement of funds transfers individually on an order by order basis (without netting). 'Real Time' means the processing of instructions at the time they are received rather than at some later time.'Gross Settlement' means the settlement of funds transfer instructions occurs individually (on an instruction by instruction basis). Considering that the funds settlement takes place in the books of the Reserve Bank of India, the payments are final and irrevocable.

And some more like

electronic payments of utility bills homer service,that is banking at door step of a customer etc.