JOURNAL ARTICLE: TOPIC: Beyond PFM Software: Internet Banking On The WWW
The article is dived in to four parts:
1 - Personal Financial Management Software-based Home
Banking
2 - WWW Browser-based Online Internet Banking
3 - Current Internet Banking Developments On The WWW
4 - Case Study: Security First Network Bank
--------------------------------------------------------------------------------
In the last two years, on-line banking has emerged as a key strategy for banks to attract and retain customers. Today, customers demand new levels of convenience and flexibility in banking services, and much more powerful, easy to use financial management tools - capabilities not available with traditional branch banking.
1 - Personal Financial Management Software-based Home
Banking
they are PC software packages that allow consumers to monitor their finances with analytical computing tools and graphical displays. these PFMs now permit consumers to balance their check books instantly, analyse their account activity in depth and even track their investment portfolios.
2 - WWW Browser-based Online Internet Banking
The potential of this server-based approach has been highlighted by the astonishing growth of the Internet. By one estimate, the number of Internet users in the U.S. tripled to 14 million in 1995, and is growing monthly at rates between 10 and 20 per cent. Such a growth rate also parallels that of the situation in Singapore.
The World Wide Web, the Internet's popular multimedia channel, promises to multiply the interactive powers of PFM software packages. Banks would be able to fully customise their web sites and instantly update them without shipping new software to customers. Web servers would also have the ability to track each customer's on-line transactions and use search engines to analyse customer behaviour and profitability. On the WWW, banks can now reach their customers directly, with no intermediaries.
Banks have not yet exploited the real business opportunities presented by the WWW. A bank's web site can give customers information - product descriptions, interest rates, branch and ATM locations, etc.- that is useful, but drives little or no revenue or profit improvement for the bank.
3 - Current Internet Banking Developments On The WWW
Payment alliances rumoured between parties such as Visa and Microsoft, MasterCard and IBM recently disappointed some bankers, who see 'potential branded third party switches' like the Quicken Financial Network and Visa Interactive as Trojan horses that threaten the retail franchise of commercial banks. Determined to banish non-bank intermediaries from the next generation of home banking, banks such as the United States' Huntington Bank has joined a consortium of banks to launch the Security First Network Bank, the first stand-alone US Internet bank, and the only institution which has a totally unique business model on the WWW and is now processing all transactions on the WWW. Other banks listed below have certainly not trailed far behind in terms of the banking facilities offered to customers on the WWW.
4 - Case Study: Security First Network Bank
Based on an HP-UX Trusted Operating System, SFNB is the first on-line bank to receive Federal approval, assuring their customers a secure on-line banking solution. Bank customers seldom visit the lobby of a bank anymore. For years now, most members of the baby boom generation and generation X have relied upon the ATM machine to give them access to whatever banking services they require. Now, Security First Network Bank (SFNB) has taken bank automation a giant step further.
|
|
|  | | |
NEWS PAPER ARTICLE:
TOPIC: Internet banking takes off Commonwealth Bank,
parent of internet-savvy ASB, leads the charge among
large Australian banks with its web-based traffic.
This article talks about the growth of common
wealth nations who have grown over time in internet
banking. In July 2001, they attracted a record 1.2
million customers to its web site.
The article talks about close ties between ANZ and
westpack bank.National Australia Bank, parent of
Bank of New Zealand, with about 700,000 online
visits, lagged the other three major banks.
Among the smaller banks, St George Bank was next with
almost 400,000 visits, while Citibank (155,000),
BankWest (129,000) and Macquarie Bank (93,000) also
achieved significant numbers.
The survey found that banking Web sites are widely
used at work. "This is partly because of share trading
while the market is open, but also because more people
can get the benefit of high-speed broadband
connections at work,"
5/09/01 |
|
|
