Literature review on internet banking PDF

Running head: LITERATURE REVIEW ON INTERNET BANKING
Literature review on Internet Banking
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1LITERATURE REVIEW ON INTERNET BANKING
Table of Contents
1. Overview of internet banking..........................................................................................3
2. Benefits of internet banking.............................................................................................4
3. Drawbacks of internet banking........................................................................................5
4. Developing customer loyalty...........................................................................................5
5. Applications of online banking........................................................................................7
6. Security in internet banking.............................................................................................8
7. Summary..........................................................................................................................9
References..........................................................................................................................11

2LITERATURE REVIEW ON INTERNET BANKING
1. Overview of internet banking
Martins, Oliveira and Popovic (2014) stated that internet banking is one of the electronic
payment systems. It enables the users of other financial institution conducting multiple financial
transactions by website or online applications. The software of internet banking can provide
personal as well as corporate banking service offering various features like viewing balances of
accounts, checking statements of recent transactions as well as making payments. On the other
hand, access is generally through a secured web site using username as well as password.
However, security is the major consideration in internet banking. Therefore, it is required to take
effective steps to secure the process.
Apart from these, banks deliver latest products as well as services over internet. It is
performed with the help of a system that is able to connect the site of banking via internet.
Banking becomes no more limited in going as well as visiting the bank for several purposes such
as depositing as well as withdrawal of money. In addition, requesting statement of account and
stop transaction can be achieve by internet banking (Laukkanen, 2016). The online services are
different from a bank to another. In order to understand about the online services, it is required to
go through the welcome kit during opening an account. The general online services are
transactional activities and non-transactional activities.
2. Benefits of internet banking
Online banking has several benefits such as on-demand access to the internet. There is no
need to switch the banks when it is required to move. Sending a secured by online banking need
more security compared to standard email. There are several applications that will sync with the

3LITERATURE REVIEW ON INTERNET BANKING
online banking information. It makes the process sticking to the budget easier. Online
applications are managing transactions easier. It is vital to be careful when doing online
transactions. In addition, it is required to ensure that password is strong so that others cannot
crack it easily. Monitoring accounts regularly for the fraudulent charges as well as avoid using
the public Wi-Fi during accessing the accounts is not safe for the users. Internet banking has
various advantages overall conventional channel of banking. It also allows conducting several
transactions using the website of bank as well as offers multiple benefits. The benefits of internet
banking can be listed as followed.
 Online banking is convenient to pay bills online and transfer funds between the
accounts.
 Internet banking is available 24*7 (Hanafizadeh, Keating & Khedmatgozar,
2014).
 Online transactions are fast as well as efficient. The funds are transferred from an
account to another fast. It helps to manage multiple accounts easily.
 It plays a great medium for the banks for endorsing the products as well as
service. It includes loans, options for investment and others.
 Online banking charges lower mortgage as well as loan rates.
 Online banking consists of mobile capabilities. There are new applications that
are created for expanding as well as enhancing the capability on smart phones as
well as different mobile devices (Bratawisnu, Giri & Rinaldi, 2017).
There is several retail banks that provide promotions for the mortgages, credit cards a
well as auto loans to the existing customers. The ability of visiting local bank as well as gaining
financial advice would be helpful for the process. There are several retail banks that offer own