Finance Banking

Online Banking And Technology

In olden days all banking work was carried out manually but as computers came into existence banks started using computers with different banking software packages. In early days banks were using only very few computers for data entry work and not for pure banking functions also not all banks had computers.

With time computers became very cheap and affordable which allowed the banks to use them for all their work. Many software firms also developed high-end banking softwares which helped the banks to do their task in quick time through computers rather then doing it manually at slow pace. Due to computers banks got rid of books and now they maintain all their data on the hard drive with backup on their servers.

Now with core banking technology banks have become very hi-tech and are even providing online banking option to their clients. Online banking has totally changed the face of banking. Online banking and technology are like two sides of the same coin. It is only due to internet technology online banking has come into existence.

Online banking looks to be very easy to use but it has been possible only due to the platform laid by various technologies. Server technology is one of the most important parts of online banking. There are many servers which work in tandem for making online banking system work. Large number of private data is securely stored on these servers and all these servers are protected through firewalls and other intrusion detection systems.

Intrusion detection system used in online banking helps in protecting the banks network from any unauthorized intrusion from the hackers. All kinds of protection systems are provided to the banks network and it is only possible due to latest technology.

Faster algorithm is used to search the banks database in online banking and it is possible only due to software technology. Without technology online banking won’t have been possible. Online banking not only uses hardware technology it also uses software technology. Various banking software are used to get the right data from the banks server.

The technology used for online banking is fool-proof hence it is impossible for hackers to crack banks network. In online banking very high encrypted technology is used which prevents the hackers from getting access to the banks network. Even when a customer enters his data on the banks graphical user interface the data is securely transmitted and it cannot be at any point hacked or intercepted by the hackers.

Online banking uses cryptography for additional security of online bank accounts. It is impossible for the hackers to crack the cryptographic security cordon. In many countries to protect online banking accounts banks provide special hardware like USB which has to be inserted every time to authorize the online account. Due to use of such hardware it becomes impossible for hackers to crack an online account even if they get the username and password.

Tips and comments:

We all know that online banking has been possible due to internet technology but there are also many software and hardware technologies associated with the functioning of online banking and without which it would be impossible to implement online banking system. Technology has played major role in smooth and secure functioning of online banking system.

By HANIF QAZI, published at 07/17/2011
   Rating: 4/5 (11 votes)
Online Banking And Technology. 4 of 5 based on 11 votes.

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