internet banking project documentation

ACKNOWLEDGEMENT

We feel deeply in indebted towards people who have guided us in this project. It would have not have been possible to make such an extensive report without the help, guidance and inputs from them. Most of my information source has been from professional books of banking sector

Project Guide-

Prof: GOURI KUNDU

We would firstly like to express my gratitude towards our college”MURSHIDABAD COLLEGE OF ENGINEERING AND TECHNOLOGY”which has given us an opportunity to do a project on”ONLINE BANKING SYSTEM” & guide PROF:GOURI KUNDU for having shown so much of flexibility & guiding in such a way that we were really learning the subject all the time. She helped us in deciding the project topic. She showed a lot of openness in her approach and I would like to thank her for her support in a way that has lead to proper & effective learning.

Secondly we would like to thank Mr.Amar Mandal the senior officer of SBI. For spending his precious time for my project and giving me ample of good ideas about the project.

Last but not least we are grateful to all ours family members & friends for being our side always. Without

their help and Motivation it would have been impossible to complete this project.

Executive Summary

“E-banking”- The execution of financial services via internet, reducing cost and increase in convenience for the customer to access the transaction. e- banking is an umbrella term for the process by which a customer may perform banking transactions electronically without visiting a brick-and-mortar institution. The following terms all refer to one form or another of electronic banking: personal computer (PC) banking, Internet banking, virtual banking, online banking, home banking, remote electronic banking, and phone banking. PC banking and Internet or online banking are the most frequently used designations. It should be noted, however, that the terms used to describe the various types of electronicbanking are often used interchangeably. The ever increasing speed of internet enabled phones & personal assistant, made the transformation of banking application to mobile devices, this creative a new subset of electronic banking i.e. mobile banking. In 1999 & 2000 mobile banking as an established channels, still seems to be a distant prospect.The internet is revolutionizing the way the financial industry conducts business online, has created new players who offer personalize services through the web portals. This increase to find new ways and increase customer loyalty to add the value to this product and services. Banks also enables customers lifestyle needs by changing and increasing preference for speed and convenience are eroding the traditional affinity between customer and branch offices as a new technology disinter mediates traditional channels, delivering the value proposition hinges on owing or earning the customer interface and bringing the customer a complete solution which satisfies their needs. Smart card is a new trend which provides the opportunity to build an incremental revenue stream by providing an ideal platform for extended application and services. Banks are well positioned to play central role unit in future M-commerce market. Banks have strong relationships with corporate and business customers and

a wide experience in providing them with corporate banking services. Bank provides a multimedia of small and large retailers with acquiring functionality in credit card transactions. Customers have trusted relationships with banks and a lower propensity to switch banking providers.

Table of Content

Introduction

Types of E-Banking

Project scope

Objectives of the proposed system

Feasibility study

Software requirement specification (SRS)

Entity Relationship Diagram

Data Flow Diagram

Database Table overview

System Specification

Pros N Cons

Conclusion

Bibliography

Securities of E-Banking

Conclusion

Bibliography

INTRODUCTION

E-banking is the wave of the future. It provides enormous benefits to

consumers in terms of ease and cost of transactions, either through Internet,

telephone or other electronic delivery. Electronic finance (Efinance) has

become one of the most essential technological changes in the financial

industry. E-finance as the provision of financial services and markets using

electronic communication and computation. In practice, e-finance includes

e-payment, e-trading, and e-banking.

According to the definitions from the Bank for International Settlement

(BIS-EBG, 2003b), e-payment creates considerable efficiencies and is

superior to traditional paper based solution. E-trading is referred to as a wide

variety of systems that provide electronic order routing, automated trade

execution, and electronic dissemination of pre-trade and post-trade

information. With the help of the e-trading systems, the transactions can be

executed at a remote server and information can be conveyed to a remote

location. And e-banking means the provision of retail and small value

banking products and services through electronic channels and large value

electronic payments and other wholesale banking services delivered

electronically. Although clients have enjoyed great convenience of e-

banking and bankers have improved cost efficiency of banks (Lin and Lin,

2006, 2007), e-banking may lead to unstable financial environments. In

other words, e-banking could make the financial markets less manageable by

the regulators. Internet banking refers to the deployment over the Internet of

retail and wholesale banking services. It involves individual and corporate

clients, and includes bank transfers, payments and settlements, documentary

collections and credits, corporate and household lending, card business and

some others.Since its inception Internet banking has experienced strong and

sustained growth. According to Jupiter Media, Internet traffic for all United

States banks which grew by 77.6 per cent between July 2000 and July 2001,

compared with overall World Wide Web traffic growth of 19.8 per cent over

the same period. Another source estimated that the share of United States

households using Internet banking will increase from 20 per cent in 2001 to

33 per cent in 2005, and that by 2010 there might be 55 million users.

Internet banking operations currently represent between 5 per cent and 10

per cent of the total volumeof retail banking transactions both in the United

States and in Europe. This is less than the share of Internet securities trading,

estimated at between 20 and 25 per cent of the total, but much more than .

toverall business to-consumer (B2C) e-commerce, which represent leaa then

total 2 % of the retail trade

TYPES OF E-BANKING

The common assumption is that Internet banking is the only method of on-line banking. However,this is not strictly the case, as several types of service are currently available:

PC Banking - The forerunner to Internet banking has been around since the late 1980's and is still widely used today. Individual banks provide software which is loaded on to an SME's office computer. The SME can then access their bank account via a modem and telephone link to the bank. Access is not necessarily via the Internet.

Internet Banking - Using a Web browser, a user can access their account, once the bank's application server has validated the user's identity.

Digital TV Banking- Using the standard digital reception equipment (set top box and remote control), users can access their bank account. Abbey National and HSBC services are available via Digital TV providers. One of its main selling points is that no account details are transmitted via the World Wide Web;

Text Phone Banking - HSBC have introduced this service to allow customers with text phones to check their balance, pay bills and transfer money.

Internet banking can be split into two distinct groups:

Traditional banks and building societies use the Internet as an add-on service with which to give businesses access to their accounts.

New Internet-only banks have no bricks and mortar presence on the High Street. Therefore, they have lower overheads and can offer higher rates of interest and lower charges.

PROJECT SCOPE

The project’s aim is to automate the system,pre-checking the inclusion of all

required material and automatically process the transactions used in a

banking. The criterions which include over here is to creation of an account

and its all respective perspectives. The data used by the system is stored in a

database that will be the centre of all information held about the customer

and the base for the remainder of the process after initial signing up been

made. This enables things to be simplified and considerably

quickened ,making the jobs of the involved people easier. It supports the

current process but centralizes it and makes it possible for decisions to be

made earlier and easier way.

The main goal of the system is to automate the process carried out in the

bank with improved performance an realize the vision of paperless banking.

some of the goals of the system are listed below:-

Manage large number of customer details with ease.

Manage all details of the student who are registered with the bank and send

appropriate details about latest policy of the bank to each of its customer.

Create customer account and maintain its data efficiently and effectively.

View all the details of the customer.

Create a statistical report to facilitate the finance department work.

Activities like updating, modification, deletion of records should be easier.

OBJECTIVES OF THE PROPOSED SYSTEM

The aim of the proposed system is to address the limitations of the current system .The requirements for the system has been gathered from the defects recorded in the past and also based on the feedback users of the previous metrics tools.

Manual Process

Inquires for an existing service or some specific information

Customer physically visits the bank

The incharge clerk checks the specification and answers the query

Associated and integrates the information as needed

Leaves the bank

Raises a request for new checkbook by filling in the prescribed form

Customer physically visits the bank

The incharge clerk accepts the request and prepares the cheque book with respect to given specification

The cheque book is sent for manages initials

Customer makes a counter sign and receives the checkbook

The development of the new system contains the following activities which try to automate the entire process keeping in view of the database integration approach. Following are the Objectives of the proposed system:

1. The administrators have grates accessibility in collecting the consistent

information that is very much necessary for the system to exist and coordinate.

2. The system at any point of time can give the customers information related to

their

Accounts and accounts status

The balance enquiry

The fund transfer standards

The cheque book request

3. The system can provide information related to the different types of accounts that

are existing within the bank.

4. The system can provide the bank administration with information on the number of

customers who are existing in the system.

5. The system at any point of time can provide the information related to the executed

transactions by the customer.

6. The system with respect to the necessities can identify all the history details of the

trial participants along with their outcome of the results.

7. The system with respect to the necessities can provide the status of research and

development process that is under schedule within the organization currently.

8. With proper storage of the data in a relational environment the system can

Applegate itself to cater to the standards of providing a clear and easy path for future

research standards that may arise due to organizational policies.

FEASIBILITY STUDY

A significant transformation in banking system has occurred in the world. The online system of banking and improvements has been made through recognizing difficulties encountered by the customer and the authority.Both qualitative and quantitative research, through parent/career surveys. Focus groups and staff training sessions have influenced the online process. As a result this had produced an efficient and user friendly system, that relies on an effective online form, but on the coordination between ban and its customer.A comprehensive feasibility study of social, economical and technical aspects has also been made and implemented as below:-

Social Feasibility It has simplified the banking procedure. Customers and banking authority had a huge acceptance to the

notion. It had a good social impact and no objections or problems regarding

the project is found

Economic Feasibility The project is economically Feasible since we are getting ample

economic support required for the project from banking authorities.

Technical Feasibility Minimum requirement for execution of the project is a java

supporting operating system since the connection to the database will be made using JSP and SERVLETS,minimum of 64 MB of RAM, a database software, a server and a web browser with which we were previously equipped.

DATABASE DRIVEN WEB APPLICATION

A database wb application is an appliction wizard based on WWW(WORLD WIDE WEB) and database using web browser as a client

TRADITIONAL CLIENT-SERVER(2-tier archietechture)

A client computer handles the user interface (Access forms, Oracle forms,

reports) and a database server stores the data.The actual functionality

(business logic)of the application resides on the client and/or in the

databases.

WEB BASED MULTI-TIER ARCHIETECHTURE

A client computer uses a browser to access information from two or more

servers(web servers, application servers, database servers) i.e. a web server

handles a web request, an application server handles the dynamic request

and a database server stores the data.

System Specification

SOFTWARE SPECIFICATION

Client on Internet: Web browser(any),operating system(any) Client on Intranet: Client software, Web Browser, Operating

System (any) Web server: Apache Tomcat or Glassfish, Operating System(any) Database Server: MS-access, Operating System(Microsoft

Windows<any version>) Development End: Net beans (J2EE, Java, Servlets, JSP), MS-

Access (DB tool).

HARDWARE SPECIFICATION

CLIENT SIDE :-PROCESSOR RAM DISK SPACE

INTERNET EXPLORER 6.0

PENTIUM II at 500 MHz

64 MB 500 MB

SERVER SIDE :-APACHE TOMCAT PENTIUM III at

1GHz512 MB 1GB

MS-ACCESS PENTIUM III at 1GHz

512 MB 512 MB

DATABASE TABLE OVERVIEW

The database tables which are used over here are ten in number which are

customer,administrator,account,transaction,businessloan,homeloan,

personal loan,educational loan,agricultural loan.The structures of the tables

are shown as follows:

1.customer

ATTRIBUTE NAME ATTRIBUTE TYPE ATTRIBUTE SIZE

F_NAME Text 50

L_NAME Text 50

ACC_NO Number 50

E_MAIL Text 20

BR_NAME Text 40

USER_ID Text 10

PIN Text 5

DOB Text 10

2.administrator


USER_ID Text 20

PASS_WD Text 10

2.account


ACC_NO Number 50

OPENDATE Text 10

BALANCE Number 100

2.transaction


SL_T Number

ACC_NO Number 50

DOT Text 10

DESOT Text 20

CORD Text 5

AMOUNT Number

2.businessloan


TYPEOF_BUSINESS Text 100

ANN_INC Number 100

AMT_LOAN Number 100

TENURE Number 10

SECURITY_DET Text 100

PAN_NO Text 50

BR_NAME Text 20

F_NAME Text 50

L_NAME Text 50

ADD Text 100

ACC_NO Number 50

CON_NO Number 10

2.homeloan


LOC_PRO Text 100

AR_CONS Text 100

OCC_DET Text 100

AMT_LOAN Number 100

TENURE Number 10


PAN_NO Text 50

BR_NAME Text 20

F_NAME Text 50

L_NAME Text 50

ADD Text 100

ACC_NO Number 50

CON_NO Number 10

3.personalloan


REASON_LOAN Text 100

OCC_DET Text 100

ANN_INC Number 100

AMT_LOAN Number 100

TENURE Number 10


PAN_NO Text 50

BR_NAME Text 20

F_NAME Text 50

L_NAME Text 50

ADD Text 100

ACC_NO Number 50

CON_NO Number 10

4.educationalloan


TYPEOF_COURSE Text 100

PRE_EDU_QUALIFICATION Text 100

SEC_MARKS Number 100

HIGHSEC_MARKS Number 100

GRADUATION_MARKS Number 10

ANN_INC Text 100

TENURE Number 10

PAN_NO Text 50

BR_NAME Text 20

F_NAME Text 50

L_NAME Text 50

ADD Text 100

ACC_NO Number 50

CON_NO Number 10

4.agriculturalloan

ATTRIBUTE NAME ATTRIBUTE

TYPE

ATTRIBUTE SIZE

AR_LAND Text 100

ANN_PRO Text 100

OCC_DET Number 100

ANN_INC Text 100

TENURE Number 10


PAN_NO Text 50

BR_NAME Text 20

F_NAME Text 50

L_NAME Text 50

ADD Text 100

ACC_NO Number 50

CON_NO Number 10

PROS N CONS

Features of Internet banking

The features available from an on-line bank account are similar to those

which are available via 'phone banking or visiting the local branch. On-

line banking features do differ between the banks, but usually include:

Transfer of funds between accounts; It brings efficiency in CRM(Customer relationship management) Make Payment of bills Introduces new & innovative products &services. View balance and statements. Brings door to door services. Create, view and maintain Standing Orders Have evolutionary trend at a globle scenario. Customer can View Direct Debits.

Advantages of Internet Banking

Opening & closing of accountes

Make the payments of merchandise transaction through Debit &

Credit cards.

It gives reliefs to their customer from carrying heavy cash.

Enables prompt & speedy operation to clients.

It saves lot of time to their customers &convenient to access.

Disadvantages of Internet Banking

Customer may have to face risky transaction & fraud.

Failure of power supply cause to break down of system.

Loss of heavy income at times of settlement of higher magnitude.

Cost involved in trainning staff may not be profitable specially in

times of attrition.

Development of an attitude of lethargy.

CONCLUSIONThus reaching to the conclusion of our project we observe that Traditional

banks offer many services to their customers, including accepting customer

money deposits, providing various banking services to customers, and

making loans to individuals and companies. Compared with traditional

channels of offering banking services through physical branches, e-banking

uses the Internet to deliver traditional banking services to their customers,

such as opening accounts, transferring funds, and electronic bill payment.

E-banking can be offered in two main ways. First, an existing bank with

physical offices can also establish an online site and offer e-banking services

to its customers in addition to the regular channel. For example, Citibank is

a leader in e-banking, offering walk-in, face-to-face banking at its branches

throughout many parts of the world as well as e-banking services through

the World Wide Web. Generally, e-banking is provided without extra cost to

customers. Customers are attracted by the convenience of e-banking through

the Internet, and in turn, banks can operate more efficiently when customers

perform transactions by themselves rather than going to a branch and dealing

with a branch representative.

E-banking services are delivered to customers through the Internet and the

web using Hypertext Markup Language (HTML). In order to use e-banking

services, customers need Internet access and web browser software.

Multimedia information in HTML format from online banks can be

displayed in web browsers. The heart of the e-banking application is the

computer system, which includes web servers, database management

systems, and web application programs that can generate dynamic HTML

pages.

One of the main concerns of e-banking is security. Without great confidence

in security, customers are unwilling to use a public network, such as the

Internet, to view their financial information online and conduct financial

transactions. Some of the security threats include invasion of individuals'

privacy and theft of confidential information.

On October 1, 2000, the

electronic signatures bill took effect, recognizing documents signed online

as legal. Some banks plan to begin using electronic checks as soon as they

can work out various security measures.

The range of e-banking services is likely to increase in the future. Some

banks plan to introduce electronic money and electronic checks. Electronic

money can be stored in computers or smart cards and consumers can use the

electronic money to purchase small value items over the Internet.

internet banking project documentation

Documents

Transcript of internet banking project documentation