Question

explain the electronic banking and state its three benefits​

Answer 1

Answer:

Electronic funds transfer means computer systems are used to perform financial transactions electronically. The EFT is used for electronic payments and customer initiated transactions where the cardholder pays using credit or debit card.

The transaction types are, Withdrawal,deposit,interaccount transfer ,inquiry, administrative transactions that covers non financial transactions including PIN change. Electronic Fund Transfer transactions needs authorisation and a means to match the card and card holder.EFT transactions require the cardholder’s PIN to sent online in encrypted form for validation by the issuer of the card.Other information may include the card holders address or the CVV2 security value printed on the card.

Explanation:

E banking provides many benefits for banks and customer’s .e-banking has made life much easier and banking much faster for both customers and banks.

Main benefits are as follows.

• It provides convenience in terms of capital, labour, time all the resources needed to make a transaction.
• Taking advantage of integrated banking services, banks may compete in new markets, can get new customers and grow their market share.
• It provides some security and privacy to customers, by using state-of-the-art encryption and security technologies