Bankers’ Challenges in E-Banking Adaptation: With Reference to Private Sector Banks in Mysore City

Abstract

India’s banking system has several outstanding achievements and the banks are the main participants of the financial system in India. The banking sector offers various facilities and opportunities to their customers. The introduction of E-banking in banking services has made very structural changes in service quality, managerial decisions, operational performance, and profitability and also on the productivity of the banks. E-banking is one of the emerging trends in the Indian banking and it is playing a unique role in strengthening the banking sector and improving service quality. Internet banking and other modes of e-banking have been a blessing for banking as far as speed, convenience and the cost of delivery. Internet banking is changing the banking industry, having the major effects on banking relationships. E-banking has several advantages like it can handle the payments electronically and interbank settlement faster and in large volumes. There is an increase in customer satisfaction level, reduction in cost of banking operations, increased productivity and it indicates that there is a tremendous scope for Indian banks to enlarge their E-banking services which enables their competitive ability. The present study analyzes the various challenges faced by the bank in adopting E-banking activities.