Evolution in Banking
I can still recall the banking services changing in the last few decades. In early seventies people didn’t have much trust in these institutes for anything. However, with the revolution in the small business industry in the Mid Eighties the need for capital increased so substantially that gave birth to financial institution boom.
In its initial days people had to wait in long queues and had to go through long verification processes in order to get any services from the banks. There weren’t many counters and lack of staff and resources on part of the bank lead to inconvenience and wastage of time for the customers.
With the boom of the banking sector came in competition. This competition amongst banks and other financials institution had to give birth to better quality of service to ensure that they retain existing customer and gain new ones.
The reputation of the bank now is the biggest asset for any Bank. Now the competition is about provisioning of quality of services. Having said that the latest innovation of the Banks “Internet Banking” comes to mind. In the past 5 years the Internet Banking has really taken the world by storm, is becoming more and more popular with each passing day.
Now most of the banks are offering almost all the services online for which you needed to visit the bank. This will definatly help the customer save a lot of time, effort and money. Most common banking features are; you can transfer money between accounts, pay money in/out. Apply for a loan or overdraft/credit buffer, or order a cheque book or a new credit/debit card and these are just some of the features.
Firstly they had to get out of their house and start a car and drive through over crowded roads and after that exercise when reached the bank have to look for the Parking Space which in itself could be a great trouble especially near the Banks. If you are able to find parking space then starts the next exercise of waiting in long queue for your turn and when the waiting game is over then you get to the counter and deposit one lousy payment or a Cheque.
With the Internet Banking you can stay back in your home and order any sort of service that you wanted from the comfort of your home and save your time, money and energy.
This service is mutually beneficial for the Banks and the Customers too. I have already discussed some of the benefits which the customer will get if he goes for Internet Banking. Now lets see what sort of benefits the Bank could get if they are offering the Internet Banking.
The most important factor for the bank is that the customer’s satisfaction. The customer will be more satisfied as the bank has provided a service that has eliminated many hassles which he/she might have to face. The next most vital benefit for the Bank is they will be getting less Walk-in-Customers. That means less work load for the counter staff and less waiting for the customer in queue. As the Internet Banking becomes more popular it will reduce number of physical visits by the customers and that means that the Bank doesn’t have to hire more counter staff. This will save money for the bank.
Overall the Internet banking has more benefits and very few problems too which I would be covering in my next article.
