How technology has changed banking over the years

 

E-banking, online banking, net banking, etc. have completely changed the way banking is done today.

From many years, banks have become central to everyone’s daily lives. A place to keep money safe, advise on investing hard-earned cash and provide loans when looking to make a big purchase. They have also facilitated travel by lending consumers currency for destinations around the world and have worked to make big businesses even bigger. As time goes, technology evolved and changed the way banks interacted with their client.The tellers were the mainstay for people to get their money out of deposit accounts, and cheques were ubiquitous when making payments. This changed when the first cash Machine was made and allowing people to skip the queue and get money in an instant.

Technology has been the great level for many industries, none more so than banks. As the internet took hold, and households gained access to the World Wide Web, banks began to take advantage. In fact, ‘internet banking’ was already ahead of the curve, with the Bank of Scotland offering a service that connected television and telephone which allowed users to send transfers and pay bills. This was the staring of online Banking and till today all are using it.

ICICI Bank introduced internet banking to its customers

Online banking is also known as internet banking and Web banking. It is an electronic payment system that enables customers of a bank or other financial institution to conduct a range of financial transactions through the financial institution's website. The online banking system will typically connect to or be part of the core banking system operated by a bank and is in contrast to branch banking which was the traditional way customers accessed banking services.Some banks operate as a virtual bank where they rely completely on internet banking.

Internet banking software provides personal and corporate banking services offering features such as viewing account balances, obtaining statements, checking recent transactions, transferring money between accounts, and making payments.

A bank customer can perform non-transactional tasks through online banking, including:

Viewing account balances,

Viewing recent transactions,

Downloading bank statements, for example in PDF format,

Viewing images of paid cheques,

Ordering cheque books,

Download periodic account statements,

Downloading applications for M-banking, E-banking etc.

After the smartphone came along, it provided banks another way to offer products to customers. Indeed it paved the way for an entire new industry which offers consumers more services and a better customer experience than traditional banks.Traditional banks have been limited by regulations and stakeholders, unable to capitalise on the flexibility of the app ecosystem in the same way of companies. But if they don’t embrace industry-wide disruption and start offering connectivity and user experience consumers have come to expect.

The way we avoid stagnation is by progressing our thinking, developing IP to stay ahead of the curve and using technology to keep us progressive. So, the technology has changed our banking system at a great change over the years.