April 26, 2023

What is Net Banking?

Technology is the game changer, the disruptive and transformational force to reckon with across all industries.
Pushing the envelope of traditional banking channels, internet or net banking is increasingly becoming popular among retail and domestic customers who have been swept by the swift, seamless, secure, flexible and adaptable digital product and service offerings through faceless, paperless transaction (cheques, demand drafts, passbook, pay-in-slips) and cashless transactions ( ATM, debit card, IMPS, NEFT, RTGS etc)by banks across India.
Infact, when against the backdrop of Covid-19 pandemic it had become chaĺlenging to step out of home even to visit an ATM or bank branch. One had this unsettling fear of stepping into the crowds.
Consequently, the pace of adoption of netbanking services has been on the rise in recent times.
As the scale and pace of netbanking adoption gathers momentum, Banks across India continue to invest in enhancing their digital foundation architecture which is in synchronisation with the latest technology, risk profile, and within the regulatory ambit.
Consequently, trustworthiness has and always will be the single most valued USP of the bank, besides its ability to provide personalised offerings to its customers.
Just to give you a perspective, digital banking was introduced in India in the mid-1990s with ICICI Bank being the foremost player to adopt digital technology.
Over the years, the Indian digital banking landscape evolved with all banks offering digital solutions.
The major impetus came in 2016, with the launch of UPI ( Unified Payment Interface) system which further democratised the digital banking landscape.
Today, you can make digital payments in a variety of ways such as:

Internet Banking

Netbanking or Internet Banking or e-banking or online banking is a method to carry out financial transactions using the bank's web portal.

Mobile Banking

As the name suggests,banking transactions are carried out through the bank's mobile app on your smartphone.

Unified Payments Interface (UPI)

As per the UPI system,it allows you to pay directly from your bank account, without the need to type in the card or bank details.

Mobile Wallets

Just as you carry cash in your purpose or pocket, mobile wallets allow you to keep cash in a digital format. The fund balance in your mobile wallet can be used to transfer money.

Aadhaar Enabled Payment System (AEPS)

As per AEPS facility, you can transfer money
between two Aadhaar linked Bank Accounts.

Debit/credit and prepaid card

Unstructured Supplementary Service Data(USSD)

This facility is available for those set of customers who do not have access to proper banking and internet facilities. As a USSD customer you can just *99# on your feature phone and carry out your mobile banking transaction.

PoS Terminals and Micro ATMs

Different types of netbanking transactions :

National Electronic Fund Transfer (NEFT)

As an online payment gateway, NEFT facilitates one-to-one funds transfer across NEFT enabled banks in India, for both retail and corporate customers, provided both parties have active accounts with their respective or same bank.

Real Time Gross Settlement (RTGS)

As an online payment channel, let us understand what ' Real time ' means and then ' Gross Settlement
'Real Time' means that as soon as the system receives account transfer related settlement instructions, it processes it without a time lag, implying on a real time basis.
Gross settlement implies, the settlement of funds transfer instructions occurs individually on an instruction by instruction basis, without netting.
The minimum threshold fund to be remitted through RTGS is ₹2 lakh. On the other hand, there is no maximum threshold for RTGS transactions. In addition, the transaction processing window at the bank is from 9.00 hours to 16.30 hours on weekdays and from 9.00 hours to 14:00 hours on Saturdays for settlement at the RBI end.

Electronic Clearing System (ECS)

The ECG payment gateway is typically used
for making utility-bill-payments such as credit card payments, electricity bills, insurance premiums, loan repayments and telephone bills.

Immediate Payment Service (IMPS)

IMPS payment gateway leverages the mobile phone technology ( including internet and ATM) to make fund transfers 247365.
At this juncture, it is worthy to mention that as a customer, you don't have to stress yourself to choose between traditional banking or digital banking. In Fact it is extremely crucial that you select a combination of physical and online banking channels that best suit your financial needs and your level of comfort, perhaps a combination of technology and human interface.
Having said that, the advantages of net banking are simply formidable.

Convenience and convenience and convenience

It is all about convenience, convenience and convenience.
For example, using the netbanking/online channel one can access the account to carry out the transaction 247365 anytime, anywhere. For example, going cashless by paying your utility bills online or transferring funds without visiting a bank branch.

Richer user engagement and experience

It is all about engaging with the customer through multiple channels by providing them personalised services at their choice of date time and location.
For example,by leveraging netbanking, banks can provide interactive virtual chat to resolve your queries, locating nearby ATMs, fund transfer using mobile apps, personalised financial/investment advice, e-letters to help you make smarter decisions.

Secure and safe multi-layered digital architecture

Notwithstanding the advantages of net banking - be it convenience or richer user experience, nothing compares to ' secured and safe transaction' as the foremost requirement of net banking transactions.
As a customer, what you seek the most from the bank is 'trust' , across banking channels, offline, online, mobile banking.
Banks across India and the globe have and continue to invest in their digital architecture with upgraded technology, flexible platform, best in class cyber security guidelines to provide secured and safe transactions to each user.

Advantages & Disadvantages of Net Banking -

For example:

  • Access to uninterrupted internet connection
  • Cyber crimes , frauds - phishing, Malware etc.
  • For making cash deposits, the customer cannot use the Internet banking channel. You have to visit your nearest branch to deposit money.
  • Lack of human interaction

Never miss a trading opportunity with Margin Trading Facility

Enjoy 2X leverage on over 900+ stocks

Upstox Margin Trading Facility
Apple Logo
Downloadlogo
iOS App
Google Play Logo
Downloadlogo
Android App

RELATED ARTICLES

How we can Check Deutsche Bank Balance?

It all begins with ' i need to know' and then the 'search' for 'how do i get to know' be it your shopping to home buying to banking. As access to information becomes empowering in helping you make refined choices, the option of using digital options across industries has become a new normal. Banks in India as well as across the globe continue to offer innovative smart, safe and secure ways to go about your banking transaction at your convenience, anytime, anywhere. Let us take a simple example: As a customer of Deutsche Bank India, if you wanted to know your account balance, you had to fill out a form and submit it to your branch or ATM. However, you can now view your account balance online by registering with Deutsche Bank balance check service on your mobile phone without going to the branch or ATM. Let me explain 'how' in detail after I give you a brief on Deutsche Bank. Deutsche Bank AG, founded in 1870 in Berlin is one of the world's premier financial institutions with a total asset base of over EUR1326 billion ( September 30, 2021). As a full service bank its services portfolio comprises investment banking, corporate and retail banking, and asset and wealth management solutions and has footprints in EMEA, the Americas, and the Asia-Pacific. The bank established its Indian operations, Deutsche Bank India in 1980 and over the years spread its branches across 16 cities within India. Headquartered in Mumbai, Deutsche Bank's key focus area has been investment banking, corporate and transaction banking, treasury and derivatives operations, institutional equities broking, retail banking, private wealth management and business processes outsourcing. It launched its retail-banking services in 2005. Deutsche Bank India has a total asset base of ₹129,430 crore and (as on March 31, 2021). Let us now delve deep into the ' how is the online balance enquiry done' at Deutsche Bank India. - To begin with you must have an existing account with Deutsche Bank India. - Secondly, you need to activate your Deutsche Bank balance check service online on your registered mobile number by downloading Cointab app for Android or iPhone Install app. - Select Deutsche Bank for bank account registration and subsequently all your Deutsche Bank accounts will be registered and activated for mobile banking. - You now have to enter your debit card number to generate a secure banking PIN and select the Balance Check option. - Finally by entering your banking PIN, your account balance will be displayed on the screen - Deutsche Bank India does not charge any additional fee for this service. - You don't have to call any toll-free number or send an SMS or give any missed calls. - Besides, you can check your account balance anytime, anywhere, even on Saturday and Sunday and Bank holidays. - You can access your Deutsche Bank balance enquiry service any number of times , free of charge. Besides, mobile banking method which has been discussed in the above details, customers can also do their Deutsche Bank Balance Enquiry through other mediums such as: - Net banking - Phone banking - ATM - Passbook

Bandhan Bank-Gruh Finance merger

In January 2019, Bandhan Bank, one of India's leading private sector banks, announced the acquisition of Gruh Finance, a subsidiary of the erstwhile Housing Development Finance Corporation Ltd. (HDFC). The merger brought together two companies with complementary strengths and expertise. In this article, we will look at the history of both the companies and the reasons behind the merger. The merger was seen as a strategic move for Bandhan Bank, which sought to diversify its loan portfolio and expand into new markets. By acquiring Gruh Finance, Bandhan Bank gained access to a well-established network of branches and customers in the affordable housing finance segment, a key growth area in India's banking sector. The merger was completed in October 2019, with Gruh Finance becoming a wholly-owned subsidiary of Bandhan Bank. As part of the deal, HDFC Ltd. received a 15% stake in Bandhan Bank's Gruh finance, making it one of the largest shareholders in the bank.

IDBI Bank Corporate Net banking: How to Apply & Activate

Founded in 1964, under the aegis of Government of India, IDBI's core purpose was to serve as a development finance institution to India's industrial sector. Over the years, the institution evolved into a full service public sector bank, after merging with its commercial division and later acquiring United Western Bank. Currently, IDBI Bank Limited is a subsidiary of Life Insurance Corporation of India (LIC) and is owned jointly by Life Insurance Corporation and the Ministry of Finance, Government of India. With an asset base of ₹300,713 crore( FY21) and pan-India network of 1890 branches, the bank offers a comprehensive bouquet of services, to both retail and corporate customers through multiple banking channels, online and offline. As an IDBI net banking corporate customer, you can access an exhaustive portfolio of services ranging from: - Checking your account balance and account statements, transaction tracking and history, cheque status, passbook and much more. - Making fund transfers via [NEFT](https://upstox.com/banking/what-is-neft-meaning-timings-full-form-charges-and-how-to-transfer-money/), [RTGS](https://upstox.com/banking/what-is-rtgs-meaning-full-form-timings-charges-and-transfer-limit/) and third-party funds. - You can also access your [ demat account](https://upstox.com/open-demat-account/) information anytime, anywhere. - Receive and disburse payments from and to your ecosystem participants such as vendors, employees etc.

Andhra Bank Balance Enquiry Phone Number & How to Check it Online

Balance enquiry is one of the most frequently used banking services. To provide simple and convenient banking services to customers by leveraging technology, Andhra Bank launched a missed call facility on the Andhra Bank balance enquiry number. This facility is available 24X7 and is free of cost. However, there are other ways with which you can check the account balance. For more details, read on.