NEW TECHNOLOGY IN BANKING:
The IT (Information Technology) has changed the Indian structure of Indian Banking. Technology has been identified by banks as an important element in their strategy to improve productivity and render sufficient customer service. In banking computerization has taken place all over the world. The purpose is to bring technology to the counter and to enable Employees to have information at their fingertips. The New technologies that are being used in banks are:-
1. Electronic Fund Transfer (EFT): It is easy transfer of funds from one place to another. It enables the beneficiary to receive money on same day or next day. The customer can transfer money instantly from one bank to another, from one bank account to another or from one branch to other or a different bank not only within the country but also anywhere else in t5hre world through electronic message.
2. Credit Card: Credit Card (post Card) is a convenient medium of exchange. With the help of credit card a customer can purchase goods and services from authorized outlets without making immediate cash payments but, within the prescribed limit.
3. Debit Card: Debit Card is a prepaid card and it allows customers anytime anywhere access to his saving or current account. For using debit card a PIN (Personal Identification Number) is issued to customers. Any transaction taking place is directly debited to the customer’s bank account.
4. Phone banking: In phone banking a customer can do entire non-cash related banking services on telephone, anywhere at any time. He can talk to a phone banking officer for transacting a banking business.
5. Telebanking: Telebanking is a 24 hour banking facility based on the voice processing facility available on bank computers. Here banking services or products are rendered through telephone to its customers.
6. Internet Banking: Internet banking is on-line banking. It is a product of E–commerce. Internet banking enables customers to open accounts, paybills, know account balances, view and print copies of cheques, stop payments etc.
7. Mobile Banking: Everybody with a mobile phone can access banking services, irrespective of their location. It is an extension of Internet banking. It provides services like account balance, mobile alerts about credit card or debit card transactions, mini account statement etc.
8. Door Step Banking : Here, there is no need for customer to visit the branch for getting services or products from the bank. This means banking services and products are made available to a customer at his place of residence or work.
9. Point Of Sale (POS) : In an online environment the POS terminal is a machine that facilities transactions through swipe of a card.
10. ATMs: ATMs are emerging as the most useful tool to ensure ‘any time banking’ and ‘anywhere banking’ or ‘anytime money’. ATMs are self service vendor machines that help the banks to provide round the clock banking services to their customers at convenient places without visiting bank premises. The customers are provided with ATM card.
11. Virtual Banking: It means rendering banking and its related services through use of IT. Some of the most important types of virtual banking are :-ATMs, electronic fund transfer phone – banking, credit card, debit card, internet banking etc.
12. Electronic Clearing Services (ECS) : It is non – paper based movement of funds. It consists of Electronic Credit Clearing and Electronic Debit Clearing.
CONCLUSION : As banks are expanding in to virtual banking, supervision and audit will have to be strengthened. Banks will have to pay greater attention to fool proof security arrangements and systems to safeguard against frauds.