Internet Banking

A successful Internet banking solution offers:

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.
Quality customer service with personal attention.
Internet banking is a cost-effective delivery channel for financial institutions. Customers are embracing the many benefits of Internet banking. Access to one's accounts at anytime and from any location via the World Wide Web is a convenience unknown a short time ago. The six primary drivers of Internet banking are:

Improve customer access
Facilitate the offering of more services
Increase customer loyalty
Attract new customers
Provide services offered by competitors
Reduce customer attrition
Indian banks on web
The banking industry in India is facing unprecedented competition from non-traditional banking institutions, which now offer banking and financial services over the Internet. The deregulation of the banking industry coupled with the emergence of new technologies, are enabling new competitors to enter the financial services market quickly and efficiently. Indian banks are going for the retail banking in a big way.

Emerging challenges
Demand side pressure due to increasing access to low cost electronic services.
Emergence of open standards for banking functionality.
Growing customer awareness and need of transparency.
Global players in the fray
Close integration of bank services with web based E-commerce or even disinter mediation of services through direct electronic payments (E- Cash).
More convenient international transactions due to the fact that the Internet along with general deregulation trends, eliminate geographic boundaries.
Move from one stop shopping to 'Banking Portfolio' i.e. unbundled product purchases.
Certainly some existing brick and mortar banks will go out of business. But that's because they fail to respond to the challenge of the Internet. The Internet and it's underlying technologies will change and transform not just banking, but all aspects of finance and commerce.

Main Concerns in Internet Banking

In a survey conducted by the Online Banking Association, member institutions rated security as the most important issue of online banking. There is a dual requirement to protect customers' privacy and protect against fraud.

Banking Securely:

Online Banking via the World Wide Web provides an overview of Internet commerce and how one company handles secure banking for its financial institution clients and their customers. A multi-layered security architecture comprising firewalls, filtering routers, encryption and digital certification ensures that your account information is protected from unauthorised access:

Firewalls and filtering routers ensure that only the legitimate Internet users are allowed to access the system.
Encryption techniques used by the bank (including the sophisticated public key encryption) would ensure that privacy of data flowing between the browser and the Infinity system is protected.
Digital certification procedures provide the assurance that the data you receive is from the Infinity system.
Net Banking has come of age in India. The security and safety systems help the customer confident about using it.