Internet banking, which is also termed online banking, or e-banking is a provision offered by financial institutions and banks. A major benefit of this facility is that it would enable individuals to execute banking transactions through the internet. This helps save a considerable amount of time rather than visiting the bank’s branch office. Not all account holders can access it unless they register for the previously mentioned facility at the time of opening a bank account. Individuals are required to input customer ID and password to gain access to an internet banking account.
Salient features of Internet banking
- Keeping track of bank account statement through online
- Open a fixed deposit account
- Payment of utility bills such as electricity bill and telephone bills
- Cover merchant payments
- Transfer of funds
- Apply for a checkbook
- Purchase of general insurance
- Recharging mobile phones/DTH
Activation of Net Banking for Your Bank Account
The usage of laptops and mobile phones to execute banking transactions is increasing at an alarming rate. Considering this, net banking facilitates day-to-day routine banking transactions online with the help of the internet. Listed below are some of the key facilities, which could be availed using net banking.
- Checking the bank account balance
- Option to download banking transaction history for the past five years.
- Including beneficiary and transfer of funds through RTGS, NEFT, or IMPS.
Steps to Activate Net-Banking for Various Banks:-
State Bank of India: Whenever you access the State Bank of India portal, you will be asked whether you are a new user or an existing user.
- If in case you are a new user, you may click the register as a new user button and follow systematic instructions.
- If you have been provided with an Internet Banking Prepaid Kit (PPK), you may skip the steps since you have a login ID and password.
- Input details such as account number, CIF number, branch code, and choose the designated country.
- Now you could enter additional details like phone number along with the type of facility (‘Full’, ‘limited transaction rights’, ‘view rights’)
- You will be assigned a captcha code. Enter the code and strike the ‘submit’ button.
Punjab National Bank:
Apart from PNV mobile app, the bank provides a net banking facility to its customers:
Follow the below mentioned process:
First, log in to the official portal of Punjab National Bank.
- Now choose the option ‘Retail’, followed by ‘user’, and click ‘new user’.
- Select Internet banking or Mobile banking
- Enter your account number and choose “view only” or “view and transaction”
- Then enter the details of your debit card and ATM pin to complete the identification process.
- Finally, enter a new password for login and banking transactions.
HDFC Bank:
Systematic instructions for registering yourself to avail net banking facility are discussed below:
Enter your customer ID
- Complete the verification process of the registered mobile number
- Now HDFC will send an OTP (One time password) to your registered mobile number. Use this one-time password to proceed further in the registration procedure.
- Finally, set up a new PIN of your choice
Some of the potential benefits of Internet banking are as follows:
- 24/7 service facility:
Individuals could avail themselves of banking services round the clock in a year. There is no specific time to avail of the services such as viewing your bank balance, transfer of funds, etc.
- Facilitate banking operations:
Services rendered by online banking are smooth and simple. Today, most people find it a lot easier to carry out online transactions rather than visiting the bank branch.
- Convenient:
There is no need to spend a long time in the queue at the bank branch. Individuals could complete their transactions at any point of time regardless of place. They will be able to pay utility bills including electricity bills, telephone bills, and recurring deposits on an installment basis.
- Saves a considerable amount of time:
Individuals could complete a transaction within just a few minutes. Money can be transferred to all accounts within a country or activate a fixed deposit account without time restrictions.
- Tracking banking transactions:
Whenever you carry out a banking transaction at a nearby bank branch, you will receive an acknowledgment receipt and the possibilities of losing it are high. On the other hand, each banking transaction executed in the past will be recorded in the bank’s internet banking portal. You could submit it as proof of transaction. Several details including bank account number, payee details, the total amount paid, date and time of payment along with remarks will be recorded as well.
Dis-advantages of Net banking
- Internet connection:
An uninterrupted internet connection is a must to leverage internet banking service. Those individuals who do not have access to the internet will not be able to use the above-mentioned service. Likewise, if the primary server of a concerned bank is being shut down owing to a technical glitch, you cannot access the internet banking facility.
- Security concerns:
It does not matter how many safety precautions are being taken by a bank to ensure a safe and secured network, online banking transactions are vulnerable to cyber threats. Regardless of highly advanced encryption techniques being implemented to safeguard data, the chances of it being compromised are high.
- Complicated for novice users:
Quite a few people are ignorant about the internet. It is extremely difficult for them to be acquainted with the process of internet banking and figure it out by themselves.
- Secured password:
Internet banking requires a password to be entered for accessing net banking services. As a result, passwords play a crucial role in maintaining morality. If the case password is disclosed to a third party, they might leverage the revealed information to commit fraudulent actions. Moreover, the selected password should be met with the rules mentioned by the bank. People must change the password at regular intervals to avert password theft.
Conclusion:
Net banking is a powerful online tool that assists individuals in carrying out banking transactions in a hassle-free manner rather than visiting a bank branch. This would help them in saving a considerable amount of time as well.
