What is Internet Banking? Features & Advantages

Did the internet turn the world around? You would mostly know the answer to this – it is a big yes. How? Well, there were days when we were pacing library and post floors trying to find an answer – now you can just look up a blog. For instance, you can just read about the internet on the internet – isn’t that cool? Of course, it is.

So, here we are – at a post that is going to be telling you about internet banking (internet combined with the banking system.)

What is The Meaning of Internet Banking?

Net banking, commonly known as internet banking, is a bank-managed electronic system that allows consumers to access financial and non-financial banking products online. Formerly, people had to visit banks even for minor services. However, since the introduction of internet banking, practically all services and products may now be accessed online, from financial transfers to obtaining demand drafts, net-banking services, and all other banking needs. It is not only convenient but also a safe way to the bank.

So, if you hold an account with the Bank of Baroda – just know for a fact that there is also the existence of IBOB net banking.

Features of Internet Banking

Some of the aspects of net banking that make this electronic system so popular are as follows:

• Online banking provides easy access to a wide range of banking services.
• Account balances and transaction history are easily accessible to customers.
• Net banking provides a safe environment in which to execute banking activities.
• Clients’ accounts have a unique login ID and password.
• Customers can use net banking to apply for loans or insurance online.
• Internet bill payments and fund transfers are quick and easy.
• Users can use internet banking to manage their debit/credit cards and alter their addresses.
• Net banking makes it simple to block a card or alter primary and secondary addresses.

Perks of Internet Banking in 2023

The following are the benefits of internet banking:

• Availability: Banking services are available 24 hours a day, 365 days a year. The majority of the services provided are not time-limited; you can check your account balance and transfer funds at any time without having to wait for the bank to open.
• Simple to Use: Utilizing the services provided by internet banking is simple and straightforward. Many people feel that transacting online is much easier than going to the branch.
• Timely: Internet banking allows you to finish any transaction in a matter of minutes. Netbanking allows you to transfer funds to any account in the country or open a fixed deposit account in no time.
• Convenience: You don’t have to abandon your tasks to stand in line at the bank. You can complete your transactions from anywhere. Online banking can be used to pay utility bills, recurring deposit account payments, and other bills.
• Tracking Activity: When you complete a transaction at a bank branch, you will be given an acknowledgment receipt. There is a chance you will lose it. In contrast, all transactions made through a bank’s internet banking platform are tracked. If necessary, you can provide this as proof of the transaction. Information such as the payee’s name, bank account number, the amount paid, date and time of payment, and any remarks will also be noted.

Everything Has its Drawbacks – So Does Internet Banking.

The following are the drawbacks of internet banking:

• Internet Requirement: To use internet banking services, you must have an active internet connection. You cannot use any online services if you do not have access to the internet. Similarly, if the bank’s servers are unavailable due to technical reasons, you would be unable to use net banking services.
• Challenging for Beginners: There are people in India who have lived their entire lives away from the internet’s web. Understanding how internet banking works may appear to be a foreign concept to them. Worse, if there is no one who can explain how internet banking works and how to go about it, inexperienced beginners will have a difficult time figuring things out on their own.
• Transaction Security: Regardless of how many safeguards banks put in place to create a secure network, online banking transactions are still vulnerable to hackers. Regardless of the strong encryption measures used to protect customer data, there have been instances where transaction data has been compromised. This could pose a significant risk, such as utilizing the data illegally for the hacker’s gain.
• Password Protection: Each internet banking account requires a password to be supplied in order to access the services. As a result, the password is critical to ensuring integrity. If the password is disclosed to others, they may use the information to commit fraud. Also, the password used must adhere to the bank’s standards. People must update their passwords on a regular basis to avoid password theft, which might be difficult for the account holder to remember.

Haven’t Registered for Internet Banking Yet? Here’s How to Do It!

The steps to register for online net banking are as follows:

1. Go to your bank’s official net banking website.
2. Hit the ‘New user/Register here’ link or the log-in button.
3. Enter your net banking credentials and login if you already have them. If you are not yet a registered member, fill out the self-registration form with your account number, registered cellphone number, CIF number, debit card details, and any other information that is required.
4. Enter the OTP that was issued to your registered mobile number to complete the transaction.
5. To log in, enter your temporary customer identification number and password.
6. Having logged in, you can change your password to something more secure for future use.

Conclusion

If you walk to someone and ask them for bank timings, they would mostly think for a while. This was never the case a few years ago. Everyone knew just the right answer. This is what internet banking has done to us, and most importantly, it has given us the long-sought conveniences that we need.