ijcrb.webs.com
APRIL 2013
INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS
VOL 4, NO 12
The Effect of Using Electronic Banking on Profitability of Bank
Bahram Meihami
Department of Accounting, Ghorveh Branch, Islamic Azad University, Ghorveh, Iran
Zeinab Varmaghani
BA Student of Primary Education, Ghorveh Branch, Islamic Azad University, Ghorveh, Iran
Hussein Meihami
BA Student of English Teaching, Imam Khomeini International University, Qazvin, Iran
Abstract:
Electronic banking is the use of electronic means to transfer funds directly from one account to another, rather than by check or cash. Through reducing bank costs, electronic banking can increase bank incomes. In this research the role of electronic banking (i.e.
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In the developed banks, the different channels and systems of banking are managed to gather so information and communication management improve and cause to decrease in bank costs and increase in bank income and also makes clients satisfy.
2. Problem statement:
The most important goals of for-profit entities managers is to maximize shareholders ' wealth and company profit. Increasing number of private banks and privatization of governmental banks was due to consideration of increasing private banks income and increasing share profit.
Besides, giving different services made the banks famous, and caused attract more clients and more profit. However, all of those achievements could be attained by using new technology.
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ijcrb.webs.com
APRIL 2013
INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS
VOL 4, NO 12
From among new technologies which were very popular at present, some had been mentioned:
Information and Communication technology which were helpful in:
Giving different services
Satisfying clients
Quality improvement of services
Facilitating official issues
Better human resource management
Information and communication technology contributed to different
E-services: giving faster
services, decrease in services costs and also management costs, decrease in number of clients’ reference to banks.
The electronic banking has various advantages than the traditional banking system which is simple and convenient for the users. The advantages are-
I would like to express my special thanks of gratitude to my supervisor, Dr. Domician Mate, as well as the entire school who gave me the golden opportunity to do this wonderful project on the topic (E-banking services) which also helped me in doing Research and I came to know about so many new things. I am really thankful to them.
Subsequently, Internet banking is the remarkable step get by banking system to make it smoother in case of banking activities. In Sri Lanka, majority of the banks provide internet banking facilities to make
The change and advancement in technology are a significant factor in the banking business. Technology has led to tremendous improvements in this industry. Since the commencement of this millennium, people have shown great love for their mobile phones (Ozaki 1992). It necessitated the invention of mobile applications (APPs). From the introduction of the mobile banking, APP people rarely go to the banks. All their transactions get done simply by the stroke of a finger. Businesses face a challenge of adapting to changes in the technology sector. Mobile banking either through actual investing or any other means is on the rise.
This research project, THE IMPACT OF INFORMATION TECHNOLOGY ON BANKING SERVICES (CASE STUDY OF ZENITH BANK PLC), written, researched and submitted by EBHOHON OLUWASEUN I was carried out under my supervision and it is adequate in scope as a project it meets the requirement and regulations governing the award of Bachelor of Science in Banking & Finance,
Since the 1980’s, online banking has made the lives of everyday people more convenient. With the new innovations and creations to computers, online banking has grown to become the most used form of banking in the US (5). From the first ATM to mobile banking technology has helped shape One of the first computerized innovations to online banking, the credit card, revolutionized how cash was money was used in society.
With the advance technology, banking has become a 24 hours a day and seven days a week ability. Not too long ago banks were only open from 9:00am to 3:00pm, workers and businesses rushing to get to the bank before they close. Paychecks were handed out personally not direct deposit, cashing or depositing a paycheck entailed a trip to the bank. Now most companies have direct deposit and the printed paycheck is becoming a thing of the past, this is only one example of how technology in banking has changed in society. The electronic banking (e-banking) can be described as the automated method of new and traditional banking services which reduce cost, and simplify front and backend process satisfying customers.
The history of electronic fund transfer and electronic banking are to a large extent ,closely interrelated with that of the automated banking systems and also the growth of the consumer financial service market now widely offered by banks.
With the advance technology, banking has become a 24 hours a day and seven days a week ability. Not too long ago banks were only open from 9:00am to 3:00pm, workers and businesses rushing to get to the bank before they close. Paychecks were handed out personally not direct deposit, cashing or depositing a paycheck entailed a trip to the bank. Now most companies have direct deposit and the printed paycheck is becoming a thing of the past, this is only one example of how technology in banking has changed in society. The electronic banking (e-banking) can be described as the automated method of new and traditional banking services which reduce cost, and simplify front and backend process satisfying customers.
Nigerian banking industry has become highly ICT-based and is reaping the benefits of technological revolution as evidenced by its application in most of its operations. The objective of this paper was to determine if the Nigerian banks have failed or succeeded in the adoption and use of ICT (see table 2.1). An evaluation of the adoption and use of ICT infrastructures from the periods between years 2000 to 2008 indicated steady growth. It is presumed that as of today, the Nigerian banks may have attained their ICT potentials in their operations, though with some
Internet banking has made bank transaction easy and convenient in the sense that people can do the transactions from anywhere they, desire to i.e in the home, offices, and schools. It has helped to avoid unnecessary trips to the bank.
Internet Banking (Internet banking): Computerized service that allows a bank’s customers to get Internet with the bank via internet or telephone lines to view the status of their account(s) and transaction history. It usually also allows them to transfer funds, pay bills, request check books and so on (Business dictionary., 2011)
The positive impacts of the evolution of IT on the management of international finance include greater efficiency, increased transaction volume and improved customer convenience. The internet is an example of technology that has brought about increased transaction volume. According to the research that was conducted, 42 percent of the organisations that participated strongly agree, while 18 percent agree and 40 percent are indifferent that increased transaction volume was a result of the internet. Greater
The focal point of this research study is intended to cover one deposit money bank in Nigeria ( First Bank of Nigeria plc in Enugu State) . These deposit money bank hold major shares in the banking business in Nigeria and were considered as good representatives of all commercial banks operating in Nigeria.
(Mantel, 2000) In such a situation, the consideration of the risk factor will let some consumers to avoid using pre-authorized electronic bill payment.