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Why internet banking is the future for cashless banking?

The world is rapidly moving towards the age of digitalization. It has taken over almost over all our fields in our lives, right from shopping, education, banking, groceries or even bill payments. It is also easily accessible, with your smartphone, laptop or even your desktop.

But one of the most progressive features of this digitalization is internet banking. More and more individuals are preferring to use digital cash payment methods as opposed to carrying hard cash around. But is it beneficial enough to become a cashless banking option? Here are a few factors that support this causation:

Can be used to make online purchases: When it comes to traditional purchases, you would first view the product, analyse it and then make the decision to purchase it. However, the product for purchase would be restricted by limited options and limitation in quality. For intangible products, such as services, you would have to ask around, by word of mouth, before you can get the service and then make the required purchase. But now, you can easily go online and make any purchase you want. You can even review the different available options, their prices and their qualities before making a decision. Once your choice is made, you can easily use your Net Banking facility or any of the banking cards to finalise the online purchase. This is an ideal choice for those who want to make retail purchases or even purchase services such as hiring transport.

Can be used to make online transfers: Money transfers have always been a requirement for individuals who have travelled and settled abroad. But while sending cash in the form of cheques, drafts or even physical cash, would be a risk as well as time-consuming, online money transfers have now made this process easy. Through the internet banking process, individuals can now make real-time money transfers as required without the need to withdraw funds or draw DD’s or cheques to send back home. Additionally, you can even track the transfer, which is especially beneficial for those who are living in the rural areas.

Can be used to make online termed deposit applications: Plenty of individuals are now finding themselves in a situation where their income is lower than their financial demands. In this case, they would opt for a loan to satisfy their financial requirements. But through the traditional means to apply for the loan, one would be required to submit a set of documents in order to apply for the loan. However, in recent times, as a part of the account opening process, you will need to submit a set of documents, which come under the ‘know your customer scheme’ (KYC). These documents are also the same for the loan. But through the Net Banking facility, you can easily opt for a loan, especially if you want to open a recurring or fixed deposit. Through this process, the funds from your account will be easily transferred to the required deposit without you even having to move your seat from home.

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