Problems and Solutions of Online Banking: Assignment

Running Head: PROBLEMS AND SOLUTIONS OF ONLINE BANKING
INFORMATION SYSTEM- PROBLEMS AND SOLUTIONS OF ONLINE BANKING
Name of the Student
Name of the University

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
Acknowledgement
I have gathered a great knowledge and experience by conducting this research. Conduction of the
research has helped me to improve my knowledge regarding employee motivation as well as
employee retention. I have gained great help from my supervisors while conducting this research
and therefore, I would like to thank my supervisor .................................... for guiding me
throughout the research. I would also like to thank my friends and family members for
supporting me in this difficult phase. I would also like to thank the participants of data collection
process as without their participation I might not be able to complete this research with best
outcome.
Thanks and regards
Yours Sincerely

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
Abstract
The thesis research paper entitled "Web based Banking" is a mechanized broadcast
communications device that gives the clients of a budgetary foundation with access to money
related transactions in an open space without the requirement for a human assistant or bank
employee. On most modern ATMs, the client is recognized by embeddings a plastic ATM card
with an attractive striper a plastic smartcard with a chip that contains a special card number and
some security information, for example, a termination date or CVC (CVV). Security is given by
the customer entering an individual recognizable proof number (PIN). Now a day’s Online
banking systems has been gaining popularity. The way to deal with give a chance to the clients to
have some critical exchanges to be done from where they are at exhibit without moving to bank.
In this undertaking we will bargain the current realities in the bank i.e. the exchanges which
takes put amongst client and bank.
Chapter 1: Introduction........................................................................................................6
1.1. Problem statement........................................................................................................6
1.2. Research questions........................................................................................................6
1.3. Rationale.......................................................................................................................7
1.4. Definitions....................................................................................................................7
Chapter 2: Literature review................................................................................................9
2.1. Introduction...................................................................................................................9
2.2. Concepts of the study................................................................................................9

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
2.2.1. Online banking.......................................................................................................9
2.2.2. Benefits of online banking services.....................................................................10
2.2.3. Problems in online banking.................................................................................11
2.3. Conceptual Frameworks.............................................................................................12
2.3.1. Quality of services...............................................................................................12
2.3.2. Responsiveness....................................................................................................13
2.3.3. Privacy and security.............................................................................................13
2.3.4. Assurance.............................................................................................................14
2.3.5. Reliability............................................................................................................14
2.3.6. Customer retention...............................................................................................14
2.4. Summary.....................................................................................................................15
Chapter 3: Research Methodology....................................................................................16
3.1. Introduction.................................................................................................................16
3.2. Research Design.........................................................................................................16
3.3. Research Onion...........................................................................................................17
3.4. Research Approach.....................................................................................................18
3.5. Participants.................................................................................................................18
3.6. Instrumentation...........................................................................................................19
3.7. Procedure....................................................................................................................19
3.8. Data Processing and Analysis.....................................................................................19

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
3.8.1. Data Source: Primary and Secondary..................................................................20
3.8.2. Data technique: Qualitative and Quantitative......................................................20
3.9. Limitation of the Study...............................................................................................20
3.10. Chapter Summary.....................................................................................................21
Chapter 4: Results..............................................................................................................22
Chapter 5: Discussion........................................................................................................33
Chapter 6: Conclusion.......................................................................................................34
6.1. Conclusion of the thesis..............................................................................................34
References..........................................................................................................................35
List of Tables
Table 1: Login / Sign off are not easy...............................................................................23
Table 2: Lack of security in transactions..........................................................................24
Table 3: Lack of appropriate software...............................................................................25
Table 4: Not providing information...................................................................................26
Table 5: Not being able to maintain security.....................................................................27
Table 6: Not giving fast response.....................................................................................28
Table 7: Leaving the operation unfinished.......................................................................29
Table 8: Internet banking can be tampered with by others................................................30
Table 9: Waiting for long time for conducting of transactions.........................................31

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
Table 10: Too many steps in processing transaction.........................................................32
List of Charts
Chart 1: Login / Sign off are not easy................................................................................23
Chart 2: Lack of security in transactions...........................................................................24
Chart 3: Lack of appropriate software...............................................................................25
Chart 4: Not providing information...................................................................................26
Chart 5: Not being able to maintain security.....................................................................27
Chart 6: Not giving fast response......................................................................................28
Chart 7: Leaving the operation unfinished........................................................................29
Chart 8: Internet banking can be tampered with by others................................................30
Chart 9: Waiting for long time for conducting of transactions..........................................31
Chart 10: Too many steps in processing transaction.........................................................32

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
Chapter 1: Introduction
1.1. Problem statement
This thesis discusses about the main problems associated with the online banking
methods that are being adopted by all the banks operating in the country. The various problems
in these aspects are the security issues, requirement for internet access and the faults in the
customer services. Although, the benefits of application of the online banking prospects in the
lives of the customers are life changing, the risks it poses are devastating to the lives of the
concerned people. Due to the use of online banking methods, many customers had their financial
aspects compromised leading to great devastating impacts on a global level. Thus, the
requirements for a solution to the problems in the online banking sectors are to be implemented
so that the use of their services can be continued without the presence of any concerns among the
banking sectors as well as the customers involved.
1.2. Research questions
This section of the thesis includes various research questions that are to be included for
the survey conduction:
 To identify the online banking systems
 To analyze the associated problems of the online banking prospects
 To identify and analyze the various problems associated with the users of the online
banking services
 To recommend various suggestions for the online banking systems

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PROBLEMS AND SOLUTIONS OF ONLINE BANKING
1.3. Rationale
The thesis mainly discusses about the problems and the solutions of the online banking
aspects. Due to the increased use of these aspects by the customers of all the banks, the security
protocols are to be enhanced (Pikkarainen et al., 2004). The various risks like the faulty
securities in the system and the lack of proper knowledge of the customers lead to various
devastations leading to grave financial depths for the user as well as the banking sector. This in
turn leads to the increase of problems faced by the banking sectors including the loss of business
due to which the loss of customer engagement on the online parameters is evident. This thesis
thus discusses about these problems in the online banking sectors and their various mitigation
solutions that are to be applied to address such problems.
1.4. Definitions
The online banking is used to provide the transactional benefits to the users by the
comfort of their home. This neglects the need of coming down to the bank for transactional
purposes (Pervaiz). The use of an internet connection and their identification is to be provided
for addressing such benefits.
The services provided to the users in these aspects include the transactional benefits as
well as the monitoring of the funds in their respective accounts. In addition, the provisions for
loans or any other benefits can also be addressed by these online aspects (Hole, Moen &
Tjostheim, 2006). Likewise, the users using such services can enjoy the advantages of paying
their utility bills along with the aforementioned benefits.