By admin | November 3, 2009
Internet banking has come a long way in the last 20 years.
It started as a simple concept — let people access and interact with their bank statement online, or over the Internet. Originally, online banking referred to “distance banking” or “remote banking” provided via services such as France’s (very cool) Minitel system in the 1980s. Using a very simple menu driven or command line system, the Minitel allowed people to perform rudimentary tasks over a closed network.
The systems evolved as security, networks, and computing power increased.
Now, online banking is performed from handheld devices (including apps such as those offered by USAA on the iPhone), and allows a huge range of functions.
One of the hot new areas of online banking is the ability to scan, upload and deposit checks from a handheld device (including the iPhone!). Other hot areas include Virtual Checkbooks for prepaid cards (which can be accessed over the Internet), loading funds onto debit cards using the Internet, Branchless Banking, etc.
Advances in computing are making brick and mortar banks less and less relevant. What’s next? (hopefully flying cars, I’ve been waiting for those!).
A recent study of banking customers shows that many people have a difficult time opening a bank account online. Sure, online account opening is a fantastic idea for everyone involved. In theory, banks benefit by enjoying reduced account opening costs (thanks to reduced overhead and costs). Customers benefit from increased efficiency and convenience.
A recent Javelin study shows that online account opening procedures still suffer from problems. For example, 1 out of every 3 customers who tried to open a bank account online was forced to complete the account opening process by either calling a customer service representative or by physically visiting a brick and mortar bank location.
Here’s how one publication put it:
It’s as if financial institutions are welcoming customers to their online “branch” but applicants must heave their shoulders against a jammed automatic door in order to get in.
Clearly, there is some work to be done in improving internet banking procedures (particularly with respect to account opening procedures).
By admin | April 22, 2009
Not all people working in a bank can be called a banker. Simply put, a banker is a person working in a bank that carries all transactions related to financing. According to the English Common Law, a banker typically controls all the current accounts of his clients, pays cheques and collects cheques for his clients. But a person can be a banker too even if he is not employed nor is associated in any banking institution. A banker can also work in an individual firm as a finance consultant or be a professor of banking and finance in colleges and universities.
But the bankers that most of us know and deal more often are the ones that take charge of our cheques and personal accounts. Money is something that’s difficult to manage and so, we allow banks, specifically, bankers, to handle all our savings on our behalf. In commonsense terms, it’s not the “banks” that take care of our personal accounts but the bankers that make the said institution fully functioning. Actually, without bankers, all countries around the world would be suffering from recession and inflation and of course, the honor, “the strongest economy in the world” wouldn’t exist at all.
It goes without saying that bankers play an important role not only in our lives but in the economy of our country as well. And so, when the usage of this breakthrough invention called the internet was introduced, bankers, because of their importance, earned more reachable counterparts — internet bankers. Online bankers aren’t at all different from our friendly bankers in banks. Actually, they have the same tasks, only, the internet banker handles those banking transactions done online, obviously.
