Monday, September 14, 2015
Impact of E-Banking on Traditional Banking Services
The Internet has revolutionized communications, to the extent that it is now our preferred medium of everyday communication and even more. In almost everything we do, we use the Internet. Ordering a pizza, buying a mobile or a book, sharing a thought or picture with friends.
The Internet itself has been evolving. In its early days—it was a static network designed to shuttle a small freight of bytes or a short message between two terminals; it was a repository of information where content was published and maintained only by expert coders. Today, however, immense quantities of information are uploaded and downloaded.
The impact of internet over social media and many other applications is already there on this blog, I would like to mention the reforms it has carried over the banking services.
In the pre-web era, banking services were tied down to a particular bank branch which was for most of the people nearest branch to their home or workplace. Before traveling, one had to see the bank schedules, manage time off their schedules and withdraw and carry the money. For any longer duration one had to get some travelers check, arrive at destination and deposit. All this procedure is still very much applicable to the person who would not use ATM cards or internet banking.
With the internet banking, the delivery of banking services have transformed so much that, sitting in USA, I am operating my bank accounts in India, paying my utility bills, transferring money to anywhere in world. I need not worry about bank schedules as I can withdraw money any time as long as I have money in my account, or better still I can pay with my credit card.
On last weekend I traveled to Montreal for two days, and believe me I driven around there, had dinner, visited places, paid parking charges, stayed in Hotel, got gas for vehicle, shopping and what not, without even touching any Canadian currency.
The ease and convenience the electronic payments and internet banking has provided to the consumers is immense. Because of Internet the world of banking as become almost seamless and omnipresent without any geographical boundaries and I find it difficult to visualize my may dealing the banks in pre-web era.