In the global market, the applied scientific discipline is becoming the driving forcefulness for bringing inward the operational efficiency inward banking industry. Several blogspot.com//search?q=functions-of-reserve-bank-of-india-rbi">RBI committees on computerisation, inward the recent past times accept recommended for adopting such technologies merged with the faster communication applied scientific discipline for the growth, evolution too profitability. Some of these electronic services inward banking, which accept come upwards up recently, are described below.
Electronic Funds Transfer (EFT)
Electronic Funds Transfer (EFT) is a paperless remittance service across the blogspot.com//search?q=functions-of-reserve-bank-of-india-rbi">banks, too is a major footstep towards an efficient payment system. EFT facilitates transfer of funds past times an trouble organisation human relationship holder from whatever bank, whatever branch, whatever centre to or too thence other trouble organisation human relationship holder of same or or too thence other branch, of same or or too thence other bank, at the same or or too thence other centre through electronic means. The communication network used for sending the messages from i centre to the other centre is BANKNET. Presently, this facility is available inward metros too other of import centres simply sooner volition hold upwards made available to other major cities. For the EFTs at the same centre, the remittances are effected through the Net Clear alongside the participating banks.
Electronic Clearing Service (ECS)
1. ECS Credit
The 'Electronic Clearing Service (ECS) - Credit' is or too thence other of import production inward pursuit of electronic substitute of banking concern check clearing. ECS - Credit tin hold upwards used for payment of Interest Warrants, Dividend Warrants, Refund Orders, etc. The corporate clients, companies, etc., who accept to brand such periodic payments to a large set out of beneficiaries, tin submit the information for such instruments / payments on a magnetic storage media to the clearing house. The Clearing House passes on the credit instructions to the fellow member banks where the beneficiaries hold their accounts. Besides saving time, stationery too costs inward a real large way, ECS - Credit likewise makes it possible to avoid the endangerment of these instruments beingness intercepted inward transit too encashments past times unscrupulous persons. Now many large companies, banks too fiscal institutions similar UTI, ICICI, etc. are offering this facility to their shareholder too unit of measurement holders.
2. ECS Debit
'Electronic Clearing Service (ECS) - Debit' is similar to the higher upwards system, simply is used for pre-authorised debit transactions. These are used by too large for payments due for utility services to the companies or corporations, similar band bills due to MTNL or BSNL, H2O charges bills due to Municipal Corporations, electricity bills to Electricity Boards, etc. The arrangement facilitates the customers / subscribers, maintaining the trouble organisation human relationship with the banks at the centres having this facility, to brand prompt payments of the bills on due dates without causing delays too inconvenience to accomplish the collection centres inward fourth dimension for making such payments.
