Customer Attitude Towards Using Internet Banking

Due to technological innovations and competition among banks customers have a wider choice of banking products and services through electronic distribution channel referred to as E-Banking. E-Banking has a global acceptance due to the convenience it is providing, many of the services can be availed at the click of a mouse. Innovations in banking processes have reduced possibilities of human error. Banking has become more customers friendly and flexible.Every coin has two sides so does E-Banking with its various advantages has disadvantages too. The study is an investigation on the advantages, security problem of E-Banking and perception of customer towards E-Banking.

The threats and opportunities in the e-banking line are increased due to the introduction of internet. The threat of e-banks and the point of equality concept are very highly used by the current competitors. There are rivals such as CIMB clicks, Hong Leong online banking and many more which cause Maybank2u.com unable to monopolize the market. As a consequence, the customers can exchange brands easily. Moreover, the customer of Maybank are likely to concern with the safety matter of online banking. They prefers to do transaction in the classic ways more than online banking due to their lacking of confidence toward security and safety matter of online banking. They are scared of hacker that might intercept their information. But other than that, the bank may significantly affected by the present macroeconomic situation across the global and adjustment in economic policies in South East Asian countries. This happened because Maybank’s goal is to widen Islamic business in markets such as Singapore and Indonesia as part of their target on the ASEAN

(Federal Financial Institutions Examination Council,2003). The usual E-banking services provided by banks are account management; bill payment and presentment; new account opening; consumer wire transfers; investment/brokerage services; loan application and approval; account aggregation; cash management ; small business loan applications, approvals, or advances; commercial wire transfers; business-to-business payments; employee benefits/pension administration etc. Online banking or E-banking has spread around the world and has become common these days. In general, banking services have changed over the past three decades to meet the consumers’ needs (McKinsey & Company, 2012); at that time, when the consumer needed money for purchases or to make a transaction, he needed to go to the bank by himself during the bank hours and perhaps waited in a long line to meet a human teller to implement his transaction. Nowadays, due to the E-channels that surfaced with the development of technology and the Internet, the processes of banking have changed. The consumer can make a transaction from one account to another while sitting in his couch anytime and anywhere.

Internet banking renders location and time irrelevant, and empowers customers with greater control of their accounts. Banks achieve cost and efficiency gains in a large number of operational areas. This paper addresses the aspects of reliability and accessibility from a banking enterprise point of view and puts forth present day solutions to problems involving these issues. An Indian perspective of Internet banking is also looked at in order to gaining a better perspective regarding the situation.

Aijaz ,Shaikh & Karjaluoto (2014) carried out a literature review on mobile banking adoption. In their research report journal they acknowledged that e-commerce continues to play a significant role in the international business environment. They further stated that technologies and applications now focus more on mobile commerce, mobile computing among others. Consequently, mobile banking has been considered an instrumental channel of distribution and therefore research focus on its adoption. By the year 2017 there is a prediction that over 1 Billion people will be using mobile banking globally which is a representation of 15% of the overall number of mobile users. Statistics also indicate that around half of the overall number of mobile subscribers is unbanked. This therefore indicates growth opportunities for the banks and a current slow trend in adoption of the mobile banking application.

The use, acceptance, adoption and application of internet technology to businesses to boast their performances are not something new. Saffu et al., (2008), states that there has been a significant increase in the use and application of e-commerce in businesses in the past decade. E-commerce has benefits such as reduction in costs, increased business opportunities, reduced lead time and providing more personalized service to the customers (Turban et al., 2008). Internet banking or e-banking is one of the many tools of e-commerce adopted by the banking industry. Tools of information technology such as internet banking have significantly improved the quality of services offered by the banking

The process of globalization and liberalization has virtually transformed the way of running business across the globe. Technology has entered into every sphere of the human life and the financial sector is no exception to it. E-banking, a product of the research conducted in the field of banking and financial services over the last century, is being used in India for some time now in the form of digital data in computers, Automated Teller Machines, credit and debit cards, mobile banking and net banking. Internet or e-banking means that 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. E-banking services can be availed for payment of bill, fund transfer,

Characteristics in the Banking Environment: Positive and Negative Impact of Information Technology in Banking: Trends in Banking: How Sectors can affect Banking and Technology: Works Cited:

The second section reviews studies which have examined the importance of perceived ease of use in explaining customers ' acceptance on online banking. Perceived usefulness and perceived ease of use are the original constructs proposed by Davis (1989) in his model TAM. This model is used as a point of reference to study the factors influencing Internet banking acceptance in Kota Kinabalu, Northern Borneo, Malaysia. Two original constructs of TAM, perceived usefulness and perceived ease of use, as noted earlier will be employed. The third section explains about the importance of perceived credibility - security and privacy in assessing the customers ' plan to use online banking in the future. The fourth section reviews the importance of perceived enjoyment that may affect the customers ' acceptance on online banking. Finally, the last section pertains to social norm as investigated previously by Nysveen et al. (2005); and Venkatesh and Morris (2000). Their studies suggest the importance of social norm in explaining its effect for the technology adoption.

Banks are competing intensely in a highly competitive environment to offer quality oriented services according to customers’ expectations. Various important parts of banking sector like operations, service quality, employee satisfaction, customer satisfaction, financing products, efficiency, financial performance are being studied by many researchers to better understand and serve the community at large (Arokiasamy, 2013).

In most empirical Banking Systems it experiences some degree of inefficiency in their business operations and performance, especially with regard to managing the quality of bank- customer relationships and product and service marketing strategies. Many studies have gathered that these arise for the following major reasons: the service is very complex and competitive in present days where the transaction process is customized; the external environment is

Literature review Data Analysis and interpretation o Online banking o iMobile o PAYBACK o Privilege Banking o ATM Banking

In view of the deductions from the findings in chapter 4, it can be seen that even though most customer are aware of the e-banking channels they do not have confidence in the channels. Based on our theoretical framework from SERVQUAL model five dimensions analysis covered E- service quality dimensions such as tangibility, reliability, empathy, customization, security and responsiveness, the questionnaire covered the four online service quality dimensions can be used to measure service delivery in e-banking. Under tangibles, the respondents said the enlightenment campaign has been carried out by the bank. Most of the respondents do not feel the e-banking channels are reliable. For responsiveness, the respondents do not feel the bank responds promptly to their request/ queries and they also do not believe that the bank empathizes with them. The bank thus needs to focus on improving on services on its e-channels so as to enable customers build confidence on the e channel

Technology is revolutionizing every field of human endeavor and activity. One of them is introduction of information technology into capital market. The internet banking is changing the banking industry and is having the major effects on banking relationship. Web is more important for retail financial services than for many other industries.

Over the last few decades information technology has played an important role in Indian economy. It has affected all the industries especially the banking industry and has provided a way for the banks to differentiate their products and services. The traditional way of financial services delivered to customers called the branch based operations which had been used by the banks for more than 200 years, has been replaced by the advent of multiple technologies and application. For instance, Automated Teller Machine (ATM) displaced cashier tellers, telephone represented by call centers replaced the bank branch, the internet replaced mail, credit cards and electronic cash replaced bank transactions. The reason was the numerous key advantages that banks could gain by providing electronic banking services. In this way they had lower transactions cost, 24 hour trading, more extended business territory and also increased efficiency in daily banking process. The Banking Sector is also facing very stiff competition. In order to succeed such competition, they must offer a wide array of products with the latest technology. At present many banks and financial institutions are actively developing new electronic banking products for their customers throughout the world (Alagheband 2006) . The key players of banking industry are its customers and all the efforts made by the banks are to satisfy the desirable needs of