What Does Online Banking Offer?
Internet banking or online banking has become the latest buzzword in recent times. It is different from traditional banking in the sense that you can do your banking transactions with the help of a computer. However, the core objective of both online and traditional banking is the same that is to provide a platform for customers to carry out their financial transactions in a secured manner. In that sense, internet banking works mostly like traditional banking. The basic difference is that in online banking system, a customer can check and access his account information, make payment and receive bank statements, among others, with the help of a PC that has an internet connection.
Today online banking is gaining popularity, because an increased number of customers have become aware of its benefits. Online banking is convenient, reliable and inexpensive, round the clock and has taken banking to the next level. Let us examine the key services of online banking system.
Transactional and non transactional services
The common services offered by online banking can be classified into two broad categories:
a) Transactional
b) Non transactional
a) Transactional services - these are financial transactions such as money transfer between the customer's account to another account, loan application and repayment, electronic bill payment and some kind of investment and trade finance services etc
b) Non-transactional services - The customer can avail this service by checking his account balance, bank statements, requesting a new check book, and other services that do not require financial transaction.
Value-added services
There are a number of innovative services offered by the online banking system in a more streamlined manner with the help of latest technology making it convenient, fast and simpler. Some of these services include:
Bill Payment
This service enables you to pay your bills online from your account to the receiver's account, where you wish to make the payment. this service allows you to plan your payment before hand and also keep a record on the payment, as you can see your payment history. the best part is you can avoid long queues to the post office to buy stamps and then depend on the postal system. you can also save papers.
Money Transfer
Online banking had made the whole affair of money transfer smooth and fast. This service is not only limited to your account, but can be sent to other customer's accounts as well.
Account Reminder
Under this service, the bank sends you reminders in the form of alerts if you wish to get one. This is sent to your email ID or mobile phone. Alerts are sent to the customer regarding bill payment, monitoring your debit cards, information of daily balance etc is provided.
Emergency services
There are certain emerging services provided in the online banking system that enables customers to perform certain activities themselves. These include updating his personal details, stopping the payment from check or credit card and so on.
The best part about availing these services is that instead of visiting the bank or other institution physically, you can make your transactions only by a click on the mouse.