Information Technology In Banking Industry

TECHNOLOGICAL ADVANCEMENT

After the industry revolution Information revolution is the most successful revolution that happens in India. Due to the invention of microprocessor, personal computer, software there is a huge development occurs in the field of information technology.

Today financial institution such as Banks and insurance companies are using Information technology to achieve objectives such as:

• Handling of large business with optimal level of efficiency.

• Maximize the profit.

• Due to technology advancement now banks and others financial institutions can enhance their reach. In this ongoing decade Indian banks are using IT in the process of collections, storage, back office operations,

TELEPHONE BANKING

Today most of the banks are providing this facility to their customers. Any banks which are having computerized operation are providing this facilities to their customers. Telephone banking provides service like:

• Transfers of funds

• Balance enquiry

• Account opening forms

• Request for statement of account

4. HOME BANKING

This service is almost similar to telephone banking . In this service of banking an individual can access his account in the home itself. Here an individual all needs is just Computer and internet modem so that they can access the banking site.

5. CREDIT CARD

Today all majors banks are providing the facilities of credt to banks holders by proper verifications of account holders. Here banks have tie-up with Visa or Master card. The main reason for this tie –up is that because they are providing data in large numbers. Banks are also providing business credit but they have separate strategic units for this purpose.

6. PERSONAL LOANS

Today banks are also providing loans to their good customers, loans such as housing loans, cars loans etc so that they can use it personal purpose. Since its transaction part is fully automated with software but most of the attention has to be paid for their marketing and service

INTERNET BANKING

Today in this modern era most of the people were familiar with internet and their uses. The main reasons for the internet is its cost effectiveness. Today who are having internet can connect with banks whenever they wants because internet has 24 hour availability. Internet banking has no time horizon.

CONCLUSION

So all in all new technologies are giving edge to the banking sectors. New technologies are giving banks to launch new products and updates software. Apart from this technologies are also helping banks in reducing their works especially paper works, Because in past people who are working in banks have to do all their work in papers which is very difficult task because they have to take care of all the papers. However the rate of success of new software will depend on how the banks are using these facilities and they are familiar with the product. If a bank is having proper security of their computers and software, their audit plan it will surely help in long term success of banks.