A Study on the Role of Information Technology in Banking Sector: A Study on Regional Rural Banks in Karnataka

Dr. Jayaprasad.D; Dr. M. Kumaraswamy

Volume : V, Issue : XII, December - 2016

A Study on the Role of Information Technology in Banking Sector: A Study on Regional Rural Banks in Karnataka

Dr. Jayaprasad. D, Dr. M. Kumaraswamy

Abstract :

In the era of globalization Commercial banks and most of the rural banks in India have aligned IT with their business processes. ?e study evaluates the types of technological facilities used by bank customers, the benefit of technology and its challenges to customers. ?e results indicate that IT facilities used most by customers are ATM, Internet banking, and Electronic Fund Transfer at Point of Sale. ATM, direct deposit, withdrawal services and anch networking were the facilities that were highly used and offered by all the banks. ?e introduction of IT services by the banks has positively impacted the rate at which customers‘ visits banking halls and services received. How much knowledge customers had about the services affected the number of times they would use the service as well as the number of times they visited the banking halls. Some of the challenges encountered by customers are: low knowledge in using technology facilities, Internet connectivity problems, challenges posed by internet fraud and IT avoids personal interaction, making it difficult to get instant solutions to problems. ?e study recommends that there should be periodic educational campaigns about the technological facilities and their usage by the banks to promote customer patronage. ?e ATM machine should be monitored always to make sure it has the capacity to provide its 24/7 service as expected of it Ever since the nationalization of banks in India, this sector has been growing without Leaps and bounces and catering to the needs of various segments of the society. In recent times, the Banking Sector has been making rapid straights by using information technology as a platform and endeavoring to scale higher heights