Banking channels

The time period banking channel refers back to the diverse modes/approaches wherein we will do banking or the banks can render their offerings. Traditionally banking become completed in the best fashion i.e. department primarily based totally banking. Any transaction completed outdoor the department premises become now no longer taken into consideration valid. This type of banking is likewise known as brick and mortar banking because the department premises is made of bricks and mortar. However, with the development of technology, the face of banking has beneath neath long gone a sea change. The banking has converted from mono channel banking to multi-channel banking, providing the purchaser with a huge preference of alternatives thru which he can do financial institution transactions. Some of the primary channels are as beneath neath:


It is likewise known with the aid of using names which includes – Net Banking, E-banking, Online Banking, Virtual Banking. This is the maximum rising channel of banking nowadays. It gives the quickest and most inexpensive mode of banking. Here, the purchaser makes use of a net facility to get admission to the intranet of the worrying financial institution. Net Banking uses a particular purchaser ID and Password. Internet Banking has grown to be feasible due to implementations of centre banking answers presenting 24×7 offerings.


Commonly called completely automated banking. In this gadget, all of the branches of a financial institution are related to a centre laptop in order that the facts are obtainable everywhere anytime. Even on the department level, all of the running terminals/ counters computer systems are related to a centre laptop, known as SERVER. The department servers in flip is attached with the central server. This form of banking is likewise recognised as a central banking solution (CBS).


It is the unlawful copying of data/facts from the magnetic stripe of a credit score or debit card It is an extra direct model of a phishing scam.

PHISHING: Phishing (reported as “fishing”) is a form of online identity theft. It makes use of fraudulent emails and websites which are designed to scouse borrow your non-public facts or data which includes credit score card numbers, passwords, account facts, or different data.


It refers to doing real banking transactions thru cellular smartphones. A purchaser logs in to the net to get admission to the intranet of the financial institution. According to current RBI tips, there may be no monetary restriction for transactions in a day. Further, it’s miles obligatory for banks to apply a double password, one for the purchaser and one for each transaction.


Developed with the aid of using the National Payment Corporation of India (NPCI), it gives instant, 24×7 offerings to facilitate the use of molecular telephones as a channel for having access to financial institution money owed and execute interbank fund transfers in a secured way with instantaneously affirmation features. Besides, it enables coordination of diverse different retail charge structures withinside the country.


With the development in technology, the entire banking has entered right into a laptop, which in flip may be carried everywhere with the aid of using any manner of transport, giving delivery to lots of alternatives in cellular banking. Taking a leaf from this, many banks have additionally commenced mobile/motor motorcycle banking.


It refers to phone primarily based totally banking, the use of any mode of phone/cellular, in which purchaser’s queries are attended to both with the aid of using answering machines or Tele-callers. In comparison to cellular banking, no transactions are allowed in Tele-banking. Here best data may be proportion approximately diverse financial institution products/money owed. Basically, its miles name centre is primarily based totally on banking.


Lobby Banking centres provide the clients with getting admission to a web banking kiosk, smartphone banking, cheque drop facility and Automate Teller Machine (ATM), all installation in the tailored foyer like premises. Practically its manner system is primarily based totally staff-much less banking in which all transactions are placed thru diverse self-operated machines.

Automated Teller Machine (ATM):

ATMs facilitate coins withdrawal from one’s account – any time – everywhere. Of late, banks are providing a huge form of offerings thru ATMs which includes fee deposits, online charges of bills, cellular recharge, and fund transfers. Usually, ATMs are operated thru Debit Cards, despite the fact that Credit Cards also can be used. A card person has to go into his private PIN (Personal Identification Number) to set off the ATM. Interbank connectivity of ATMs is supplied thru National Financial Switch, maintained with the aid of using NPCI.

Customers are allowed most 5 withdrawals in a month from non-financial institution ATMs.

ATM FAILED TRANSACTION: Whenever there may be a mismatch among the coins acquired from ATM and the quantity debited to the account, any such transaction is known as ATM failed transaction. RBI tips stipulate that during all such cases, banks are required to refund the distinction quantity inside 7 running days of receipt of criticism, failing which financial institution will pay a quality of Rs. one hundred according to the day of postponing to the purchaser, and not using a top restriction, supplied the criticism is lodged with the aid of using the purchaser inside 30 days of the transaction.


These are ATMs licensed to the banks however serviced and maintained with the aid of using 0.33 parties. Most of the financial institution ATMs are brown label ATMs.


White label ATMs are ATMs now no longer belonging to a selected financial institution. They are certified to, own and performed with the aid of using the non-public non-banking businesses, who hire out those ATMs to different banks. Customers from any financial institution can perform transactions at those ATMs in alternate for a fee.


Also called Plastic Money, those are one of the maximum famous manners of creating bills or retreating coins. A debit card is related to a particular financial institution account and may be used to perform best that account. In comparison, a credit score card isn’t always related to any account and is sort of a mortgage restriction granted with the aid of using the financial institution. Every credit scorecard could have a particular mortgage restriction quantity and may be used to make charges etc. best as much as this restriction. The credit score cardholder receives a month-to-month invoice for the transactions completed with the aid of using him and receives a loss a while to pay the invoice, and then the hobby is payable.


These are worldwide card provider providers (Global Payment Gateways). All transactions placed thru diverse debit/credit score playing cards are coordinated and serviced with the aid of using those businesses. All card-issuing banks in India coordinate with both of those businesses earlier than issuing any card. However, now a 3rd option – RuPay Card is likewise available.

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