E - BANKING

Introduced By

Priyanka shindeNeelima NikaljePushpendra VermaAmit Doshi

WHAT IS E BANKING?

Internet banking (or E-banking) means any user with a personal computer and a browser can get connected to his bank’s website to perform any of the virtual banking functions.

The term "electronic banking" or "e-banking" covers both computer and telephone banking.

In other words it is said that it is updated 'on-line, real time'. The system is updated immediately after every transaction automatically.

WHY E BANKING?

Differentiation of products from the others.

A combination of regulatory and competitive reasons

Stress on branchless banking. Increasing volumes of banking

transactions. Providing customers with cost effective

services

HOW ATM WORKS

There are mainly two types of ATM’s

Leased-line ATM

Dial-up ATM machines

Bank Computer

Host Computer

ATM

Telephone Network

Telephone Network

How Do ATM Works?

A LEASED-LINE MACHINES

Machine has 4 wire point to point dedicated telephone line

which helps in connecting it with the host processor

preferred in places where the user volume is high

considered high end and the operating costs of this type of a machine is very high.

DIAL-UP ATM MACHINES

has a normal phone line with a modem and a toll free number

initial installation cost is very less operating costs only become a fraction

of that of a leased-line ATM.

Parts of an ATM machine

PARTS OF ATM MACHINE

The input devices are Card Reader Keypad

The Output Devices Speaker Display Screen Receipt Printer Cash Dispenser

FUNCTIONS OF THE CASH DISPENSER

Highly Efficient Main duty is to count each bill and give the

required amount If the money is worn, or even folded, they will be

moved to another section called the reject bin A complete record of each transaction made by a

particular ATM machine is recorded each day and is kept as a journal.

transaction is kept by the authorities for a period of 2 years

ATM NETWORKING

ATM Security

An ATM card is secured as long as the PIN number is kept as a secret.

PIN number from your card as it is encrypted by strong software’s like Triple Data Encryption Standard. To keep your PIN number secure, there are a number of ways.

Select your own PIN number. Select a PIN number which is easy to remember.

It should not be anything that is associated to your birth date, phone number or anything personal.

Do not write down the PIN number on the back of your ATM card.

MOBILE BANKING

Current Mobile Banking Applications:

SMS Banking WAP Banking STK (Sim Toolkit) Banking

SMS BANKING

Basic banking inquiry transactions(balance inquiry, funds, exchange rate inquiry…) are performed by the cooperation of bank and the GSM operator

Security is the main problem

Leased lineGSM

Network

GSM Operator

Application Server

Bank SMS

Gateway

Bank

SMS DB

Bank Host

GSM Operator SMS

DB

WAP BANKING

Wireless application protocol (WAP) is an application environment and set of communication protocols for wireless devices designed to enable manufacturer-, vendor-, and technology-independent access to the Internet and advanced telephony services.

WAP is a global standard and is not controlled by any single company

Various banking transactions offered in WAP environment by banks.

Similar architecture with SMS banking

SIM TOOLKIT

SIM card enables to keep and load different applications. SIM Application Toolkit has been agreed as a GSM standard SIM Application Toolkit is independent of phone

manufacturers and designs. SIM Application Toolkit allows the flexibility to update the SIM to alter

the services and download new services over the air SIM Application Toolkit is designed as a client-server

application. On the server side, SimCard platform and the client side, phone that supports the SIM Application Toolkit

In the near future, banks will start to offer banking transactions in this platform.

E-SECURITY

To improve the e-business, all the users should feel secure to perform the transaction this environment

The main concepts in e-security are: PKI (public key infrastructure) enables users of a basically

unsecure public network such as the Internet to securely and privately exchange data and money through the use of a public and a private cryptographic key pair that is obtained and shared through a trusted authority.

Public key is a value provided by some designated authority as a key that, combined with a private key derived from the public key, can be used to effectively encryption messages and digital signature.

Private or secret key is an encryption/decryption key known only to the party or parties that exchange secret messages. Public key is used together with a private key