Impact of Privacy, Security and Bank Employee' Performance on Internet banking

  • Naaz Gorowara


E-banking in India is a fairly new concept. The Indian Administrative system together with the
Reserve Bank of India have taken a number of initiatives to assist in the smooth progress and
development of E-banking in India. It was in the year 2000 when the Government of India passed the
IT Act. The Act came into effect from 17 October,2000 and has given lawful acknowledgement to each
and every transaction related electronic commerce, The Central Bank of the Country is continually
reviewing the progress of E- banking in India. Several mechanisms have been initiated in the
beginning of year 2000 in context of E-banking. The World Wide Web has led to the development of
Internet banking. This innovative way of conducting business was first of all tested in the New York
city of America during 1981. Major banks of the New York city that is Chase Manhattan, Citi bank,
Chemical Manufacturers Hanover allowed its customers access to “ home banking Internet banking
is cost effective as the cost per transaction is low and the revenue earned per customer is high in
comparison to any other e- banking channel. Through Internet banking the banks could offer their
products and services online(via internet) to its customers. But Security is a major concern and need
to be addressed carefully. The Issue of Security and Privacy is a major factor that restrains customers
from E-banking as customers fear loss of confidential information and unethical hacking.The paper
intends to analyse the impact of certain critical factors such as Privacy, Security and Bank Employee
Performance on Internet Banking