Online banking (or Internet banking) allows customers to conduct financial transactions on a

secure website operated by their retail or virtual bank, credit union or building society.

Contents
• 1 Features
• 2 History
• 3 Security
• 4 See also
• 5 References
• 6 External links

[edit] Features
Online banking solutions have many features and capabilities in common, but traditionally also
have some that are application specific.
The common features fall broadly into several categories
• Transactional (e.g., performing a financial transaction such as an account to account
transfer, paying a bill, wire transfer, apply for a loan, new account, etc.)
○ Payments to third parties, including bill payments and telegraphic/wire transfers
○ Funds transfers between a customer's own transactional account and savings
accounts
○ Investment purchase or sale
○ Loan applications and transactions, such as repayments of enrollments
• Non-transactional (e.g., online statements, cheque links, cobrowsing, chat)
○ Viewing recent transactions
○ Downloading bank statements, for example in PDF format
○ Viewing images of paid cheques
• Financial Institution Administration
• Management of multiple users having varying levels of authority
• Transaction approval process
Features commonly unique to Internet banking include
• Personal financial management support, such as importing data into personal accounting
software. Some online banking platforms support account aggregation to allow the
customers to monitor all of their accounts in one place whether they are with their main
bank or with other institutions.
[edit] History
The precursor for the modern home online banking services were the distance banking services
over electronic media from the early 1980s. The term online became popular in the late '80s and
referred to the use of a terminal, keyboard and TV (or monitor) to access the banking system
using a phone line. ‘Home banking’ can also refer to the use of a numeric keypad to send tones
down a phone line with instructions to the bank. Online services started in New York in 1981
when four of the city’s major banks (Citibank, Chase Manhattan, Chemical and Manufacturers
Hanover) offered home banking services[1] using the videotex system. Because of the commercial
failure of videotex these banking services never became popular except in France where the use
of videotex (Minitel) was subsidised by the telecom provider and the UK, where the Prestel
system was used.
The UK's first home online banking services[2] was set up by Bank of Scotland for customers of
the Nottingham Building Society (NBS) in 1983[3]. The system used was based on the UK's
Prestel system and used a computer, such as the BBC Micro, or keyboard (Tandata Td1400)
connected to the telephone system and television set. The system (known as 'Homelink') allowed
on-line viewing of statements, bank transfers and bill payments. In order to make bank transfers
and bill payments, a written instruction giving details of the intended recipient had to be sent to
the NBS who set the details up on the Homelink system. Typical recipients were gas, electricity
and telephone companies and accounts with other banks. Details of payments to be made were
input into the NBS system by the account holder via Prestel. A cheque was then sent by NBS to
the payee and an advice giving details of the payment was sent to the account holder. BACS was
later used to transfer the payment directly.
Stanford Federal Credit Union was the first financial institution to offer online internet banking
services to all of its members in October 1994.[citation needed]
Today, many banks are internet only banks. Unlike their predecessors, these internet only banks
do not maintain brick and mortar bank branches. Instead, they typically differentiate themselves
by offering better interest rates and online banking features.
[edit] Security

Security token devices

Protection through single password authentication, as is the case in most secure Internet
shopping sites, is not considered secure enough for personal online banking applications in some
countries. Basically there exist two different security methods for online banking.
• The PIN/TAN system where the PIN represents a password, used for the login and TANs
representing one-time passwords to authenticate transactions. TANs can be distributed in
different ways, the most popular one is to send a list of TANs to the online banking user
by postal letter. The most secure way of using TANs is to generate them by need using a
security token. These token generated TANs depend on the time and a unique secret,
stored in the security token (this is called two-factor authentication or 2FA). Usually
online banking with PIN/TAN is done via a web browser using SSL secured connections,
so that there is no additional encryption needed.
Another way to provide TANs to an online banking user, is to send the TAN of the current bank
transaction to the user's (GSM) mobile phone via SMS. The SMS text usually quotes the
transaction amount and details, the TAN is only valid for a short period of time. Especially in
Germany and Austria, many banks have adapted this "SMS TAN" service as it is considered as
very secure.
 • Signature based online banking where all transactions are signed and encrypted digitally.
The Keys for the signature generation and encryption can be stored on smartcards or any
memory medium, depending on the concrete implementation.
Attacks
Most of the attacks on online banking used today are based on deceiving the user to steal login
data and valid TANs. Two well known examples for those attacks are phishing and pharming.
Cross-site scripting and keylogger/Trojan horses can also be used to steal login information.
A method to attack signature based online banking methods is to manipulate the used software in
a way, that correct transactions are shown on the screen and faked transactions are signed in the
background.
A recent FDIC Technology Incident Report, compiled from suspicious activity reports banks file
quarterly, lists 536 cases of computer intrusion, with an average loss per incident of $30,000.
That adds up to a nearly $16-million loss in the second quarter of 2007. Computer intrusions
increased by 150 percent between the first quarter of 2007 and the second. In 80 percent of the
cases, the source of the intrusion is unknown but it occurred during online banking, the report
states.[4]
The most recent kind of attack is the so-called Man in the Browser attack, where a Trojan horses
permits a remote attacker to modify the destination account number and also the amount.
Countermeasures
There exist several countermeasures which try to avoid attacks. Digital certificates are used
against phishing and pharming, the use of class-3 card readers is a measure to avoid
manipulation of transactions by the software in signature based online banking variants. To
protect their systems against Trojan horses, users should use virus scanners and be careful with
downloaded software or e-mail attachments. Within the change in the time the rise of the new
internet era has contributed a lot in the life style of the people living on the earth. Internet is
bringing so much changing in peoples life that they can get whatever they think by sitting at
home and without making any efforts. This is the benefit of using internet. As we can see
everything from home accessories to beauty products, brands, services, consultants, gaming to
online selling are done through internet. You only need to type the key word which you require
and get the results at glance. Same is the case with banking.
Almost all the banks in the world are providing the online facility that includes from day to day
transactions to account opening, issuing credit cards paying and getting the loans and debts and
providing customers facilities to shop online. Some banks are also providing the facilities to
draw cash from their bank accounts online and they can pay their bills online. Now this is what I
call the revolution because the online banking is the best part about using the internet. With the
use of online banks, you feel secure and by sitting at home you can do your monetary
transactions and you do not need to go to bank time after time. Just log in to the website of your
bank and enter your account number and that is it. You can get access to all the offers provided
by banks to you and you can perform your desire task about your bank account.
The offer remains the same as they are for physical customers and sometimes banks offer more
to people who deal online with their accounts. Sometimes the customer has problem to get access
to their account instantly and they can not afford to go to their bank. At that time the online
banking facility seems best to them for performing their monetary action that they require. All
the international banks like RBS, Barclays, Standard Chartered, and State bank of America, JSB
bank and many other famous and local banks have the online websites that provides facilities for
customers to get connected with the banks from their homes, offices or even outside the country.
This service also provides you with facility to open a new account online. You can get online
forms and you have to fill the form and submit them. When you will have an online account with
banks, they deal with your other matters and you are free of worries to go bank to solve your
money problems.
So online service solves your all problems and you do not have to go out for consultancy. You
just have to login from home that is why it is encouraged day by day and more people are using
their online banking services because it is easy to access and you do not have to face the worries
of waiting in queues and waiting rooms for your turns. In fact, you can have the instant and
fastest transactions by simply clicking the buttons. That is why the concept of online banking is
getting better and better day by day.

In 2001 the FFIEC issued guidance for multifactor authentication (MFA) and then required to be
in place by the end of 2006.[5]
[edit] See also
• Current account
• Enhanced Telephone
• Guide to E-payments
• Mobile banking
• On-line and off-line
• SMS Banking

Telephone bankHow Mobile Banking Works

by William Harris
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Inside this Article
1. Introduction to How Mobile Banking Works
2. Mobile Banking Background
3. Basic Mobile Banking Technologies
4. Advanced Mobile Banking Technologies
5. Current Mobile Banking Providers
6. Lots More Information
7. See more »
7. See all Online Banking articles
Jan Chipcase on Why We Love Cell Phones

• More Money Videos »

Mobile Banking Background

Peter Ruck/BIPs/Getty Images

A woman counts her cash after a withdrawal from the first cashpoint machine in
London, in 1967.

For 30 years, financial institutions have been on a quest to satisfy their customers’ need for more
convenience. First came the automated teller machine (ATM), which New York’s Chemical
Bank introduced to the American public in 1969. It did little more than dispense cash at first, but
the ATM evolved over time to become a true bank-away-from-bank, providing a full suite of
financial transactions.
Then came Internet banking in the mid-1990s, which enabled consumers to access their financial
accounts using a home computer with an Internet connection. Despite its promise of ultimate
convenience, online banking saw slow and tentative growth as banks worked out technology
issues and built consumer trust. Today, Internet banking has reached a critical mass, with about
35 percent of U.S. households conducting bank transactions online [source: Information Week].
Yet banking at the living room computer still has some serious limitations. First, only 62 percent
of American households have a computer, according to a 2003 study conducted by the U.S.
Census Bureau. And only 28 percent of Americans have broadband Internet access, which is
essential to efficient, convenient service [source: GAO]. The biggest issue, however, is mobility.
Even with a laptop, it’s almost impossible to stay connected in virtually any location on the
planet.
Not so with mobile phones. They can be carried anywhere and are -- by an enormous number of
people. More than 238 million people in the U.S. have mobile phones. That’s a whopping 78
percent of the population. And worldwide there are more than 3.25 billion mobile phone
subscribers, with penetration topping 100 percent in Europe [source: ZDNet].
If mobile phones only delivered voice data, then their use as a vehicle to deliver banking services
would be limited. Most phones, however, also provide text-messaging capabilities, and a
growing number are Web-enabled. That makes the mobile phone an ideal medium through which
banks can deliver a wide variety of services.
Banks classify these services based on how information flows. A pull transaction is one in which
a mobile phone user actively requests a service or information from the bank. For example,
inquiring about an account balance is a pull transaction. So is transferring funds, paying a bill or
requesting a transaction history. Because banks must respond or take some action based on the
user request, pull transactions are considered two-way exchanges.
A push transaction, on the other hand, is one in which the bank sends information based on a set
of rules. A minimum balance alert is a good example of a push transaction. The customer defines
the rule -- "Tell me when my balance gets below $100" -- and the bank generates an automatic
message any time that rule applies. Similar alerts can be sent whenever there is a debit
transaction or a bill payment. As these examples illustrate, push transactions are generally one
way, from the bank to the customer.
You can also classify mobile banking based on the nature of the service. Transaction-based
services, such as a funds transfer or a bill payment, involve movement of funds from one source
to another. Inquiry-based services don’t. They simply require a response to a user query. The
chart below summarizes these various types of mobile banking services.
Push Pull

• Funds transfer
Transaction
• Bill payment
• Share trade
• Check order

• Minimum balance • Account balance inquiry

Inquiry alert • Account statement
• Credit/debit alert inquiry
• Bill payment alert • Check status inquiry
• Transaction history

Clearly, push transactions are not as complex as their pull counterparts. Mobile banking
solutions also vary in their degree of complexity, and some only offer a fraction of the services
you would find in a bricks-and-mortar branch. In this respect, mobile banking isn't always full-
service banking. The factors that affect this are the type of phone being used, the service plan of
the mobile subscriber and the technology framework of the bank. We’ll look at these
technologies next.
Advanced Mobile Banking Technologies

David Paul Morris/Getty Images

Smartphones, like Apple's iPhone, have functions that make more advanced mobile
banking possible.

The next generation of mobile banking is the most similar to the Internet banking paradigm. It
requires an application -- either a browser or a standalone application -- and a more advanced
smartphone to run it. Smartphones are more like real PCs, with an identifiable operating system
and advanced functionality, such as enhanced data processing and connectivity. There are two
approaches to setting up this type of mobile banking.
Wireless Application Protocol (WAP)
WAP is the technology architecture that makes accessing Internet pages possible from a mobile
phone. Because it includes the concepts of browsers, servers, URLs and gateways,
WAP provides a user experience that echoes Internet banking conducted on a home computer.
This is an attractive feature to many banks, who also appreciate the fact that customers don’t
have to download any proprietary software to enjoy robust access to a full line of services and
transactions.
WAP banking does have its disadvantages:
• The browsers that run on mobile phones must work on a very small screen.
As a result, banks must create "mobile-friendly" sites that work more
efficiently in cramped quarters. Even with such accommodations, the number
of clicks required to complete a task can be prohibitive.
• WAP banking requires a smart phone or a PDA, but such devices represent
less than 10 percent of the phones in use. Even if a customer has a WAP-
 enabled phone, he or she can elect not to sign up for the more costly data
plans required for Internet access.
• Mobile phones lack the level of anti-virus and personal firewall protection now
considered standard on PCs.
• Two-way communication isn't possible. Customers can initiate a dialog, but
banks can’t.
Standalone Mobile Application
Some banks are now providing a downloadable client that mobile subscribers can use to access
bank services. These mobile applications offer a reliable channel and enable users to conduct
even complex transactions. They also allow banks to customize the interface and brand it
accordingly.
Although this solution likely represents the future of mobile banking, there are some issues.
First, users are forced to download, install and learn a proprietary application. Not only that, the
application must be customized to each mobile phone on which it will reside, greatly increasing
development costs. And just like the mobile browsers used in WAP banking, these standalone
applications are vulnerable to attacks, have limited availability and can only accommodate
customer-initiated communication.
As a financial institution prepares for the mobile banking revolution, it must weigh the
advantages and disadvantages of these various solutions to decide which one best meets the
needs of its customers and its own technology infrastructure. In the next section, we’ll look at the
specific mobile banking solutions of two leading banks.

Background Check on Hacking in Online Banking

By Madeline Pedder
Article Word Count: 529 [View Summary] Comments (0)

Cyber crimes have been growing rampant nowadays from prostitution to identity thievery. Even
as we search criminal records, there are notable persons who have done hacking on personal
accounts from emails accounts to even bank accounts.
Internet Crime Complaint Center releases a background check report stating that about $559
million were lost by Americans to Internet thieves last year. This was twice than the 2008 figure
where $268 million were stolen.
Bankrate.com gave advice regarding cyber crime especially on how to secure the consumer's
interest. They first take note on the most dangerous account taker.
The biggest threat to banking accounts would be Banking Trojan, a malicious code designed for
banking fraud. These are invisible and can steal multiple data which includes the consumer's
passwords. Advance types of this virus can even make illicit transactions like money transfers
that can drain one's account completely.
For those who wish to have a secure bank account online passwords and other so called "layers"
before entering the account are very important. The more codes that are needed to be given
before you can log in the better are the security of that account. There are even banking sites that
ask for users to use a username for logging in. the key to a safer account is to have a password
composed of letters and numbers as well.
In the case that your account has been hacked remember to the general rule of consumers
checking the savings: the bank is liable for most of the damage. This rule however is limited only
to those who report the illicit transfer in a timely manner. In the case that a user has multiple
accounts from credit to business, liability to the bank is only when the customer has he has a
reasonable conducted with respect to security. The court will therefore determine who more at
fault of the breach was.
Business accounts are also more prone to hackers especially and is least protected by the law.
Court records have listed such cases of theft that if we search criminal records there are
definitely hundreds of such listed per year.
The Uniform commercial Code or UCC regulates the Business Accounts. They require banks to
maintain a commercial reasonable authentication security procedure in any wire transfer. This is
a background check whether breaches are caused by the consumer or the bank. In case the
consumer is at fault the bank is not liable for the loss.
To protect accounts, as shown in background check on hacked accounts, it is best know the
safety procedures first before undergoing online transactions. Firstly opening it should only be
accessed on one's personal computer and not that which is shared; this also goes the same on the
network used by the computer (the network should not be in public). Computers should also have
an updated anti-virus, anti spyware, and firewall protection. Do background check of statements
to see if there is an irregularity that is needs to be reported immediately. Lastly passwords should
be strong (using combination of numbers and letters) and should not be the same for multiple
accounts. Logging off after every session is a must as well.
Madeline is a psychology graduate presently working as a freelance writer and at times handle
background check service for a women's magazines. she is also a ghostwriter for a local
newspaper and does background check on records search for her uncle's law firm which also
helps her with her writing stint.
Article Source: http://EzineArticles.com/?expert=Madeline_Pedder

Online Banking
BBT 3105: RESEARCH METHODOLOGY

Faculty of Information Technology

Jilani Thomas Mwangolo
BBIT3: 049834

TABLE OF CONTENTS
1. INTRODUCTION 3
1.1. Background Information 3
1.2. Research Problem 3
1.3. Objectives 4
1.3.1 Project Objectives 4
1.3.2 System Objectives 4
1.4. Significance of the Study 5
2. LITERATURE REVIEW 6
2.1. Online Banking 6
2.2. History of Online Banking 6
2.3. General Statistics 7

1. INTRODUCTION
1.1. Background Information

Jumuia Bank is a renowned bank in Kenya which has over 46 branches nationwide in
Kenya. Its headquarters is located in Nairobi in Hurlingham, Lenana Road, Jumuia
house, third floor. In each province, there at least 5 branches, so its network is quite
large and well spread. As at the close of 2008, Jumuia Bank had a staff
establishment of 2,000 employees. Started in 2006, the financial institution has
been certified by the Central Bank of Kenya (CBK), and it provides quite a number of
services, inclusive of:
 Banking

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services
 Loan grants
 Mortgage services
 Small Micro Enterprise services
 Corporate activities
 Financial advice
 Issuance of bankers cheques
 Insurance services(Latest Implementation)
 Mobile Banking
 Foreign Exchange services
 ATM services, etc

1.2. Research Problem

Over the recent years, Jumuia Bank has grown to be a well known and respected
financial institution, having spread its wings nationwide from a figure of 3 million
registered customers in 2007 to a figure of 6.9 million in 2009, quite a rapid growth.
The number is so big and after research on the company, and most financial
institutions, I realized that the company could actually double this number of
clientele by implementing an online account registration. The system is not only
meant to widen the number of targeted customers, but to enhance bank activities
with relation to services provided to the customers.
1.3. Objectives
1.3.1 Project Objectives

The projects main objectives

CHECKING Select Action

Current Balance $8,404.67

XXXXXXXXX1234 Available Balance $8,249.67

Last Statement Date 3/18/2011

Balance Last Statement $8,544.27

Interest YTD $0.00

Interest Rate 0.00%

CREDIT CARD Select Action

Outstanding Balance $345.88

XXXX4621 Available Credit* $450.00

Next Payment Due Date 4/07/2011

Minimum Payment Due $10.00

Last Payment Posted $289.14

Last Payment Date 3/04/2011

Last Statement Date 2/25/2011

Last Statement Balance $345.88

Cash Advance Limit $500.00

Cash Advance Balance $0.00

Pending Charges $0.00

Total Credit Limit* $1,000.00

BROKERAGE Select Action

Account Equity $79,325.28

XXXXX0900 Market Value as of 3/25/2011

Long Market Value $58,064.25

Money Market Funds $21,261.03

Margin Debt $0.00

Funds Due $0.00

 Services:

Select Action
Bill Payment Pay Bills Online

View Pending and Other Payments Pay Bills

Pay a Bill for the First Time Set Up an Automatic Payment

Pay Online Select Action

Pay Your Credit Card Bill

Transfer a Balance Select Action

Pay Off High Rate Cards

Free Alerts Select Action

Manage Free Alerts Online

What Are the Different Types of Online

Banking?

Karen Y Larkin
Over 100 of Karen Y Larkin's articles have been published by Demand Studios. She
holds a BA in English literature and has had a long and varied career in marketing,
working for such heavyweights as U.S. Bank, Target and The American Heart
Association. Karen has been writing professionally since 1990.

By Karen Y Larkin, eHow Contributor

 What Are the Different Types of Online Banking?

Since the introduction of online banking in the 1990s, consumers have embraced it in ever-
increasing numbers. By 2009 almost 35 percent of all banking transactions, everything from
shopping for a mortgage to paying the electric bill, were performed online. Consumers enjoy the
convenience and the 24-hour access to their accounts. Banks appreciate the low cost of
transactions and the fact that online customers tend to be long-term customers.

1. View Accounts
○ The most basic level of online banking is to simply view your accounts. To set up online
banking access you will need your account number and secret code, and you will be asked
to designate a user name. To access the accounts after the initial set up, you will need to log
in with your user name and secret code or password. This allows you to view your account(s)
online and know instantly whether a check or deposit has been posted. Internet banking also
makes proof of payment a breeze. By clicking an individual transaction you may view and
print front and back images of the check or deposit slip.

Pay Bills
○ With Internet bill pay services you may log into your account and authorize payments without
having to write or mail checks. You will need to enter the account number and remittance
address one time for each vendor, but successive payments will require only the date and
amount. Bill pay services allow you to set up recurring payments, which are the same
amount each month. This is particularly helpful for expenses like mortgages and car
payments. By never missing a due date you avoid costly fees and boost your credit rating.
Just be careful to make sure you keep adequate funds in your account.

Transfer Money
○ David Bach, author of "The Automatic Millionaire," stresses the importance of paying yourself
first and automatically. With online banking and savings accounts at the same bank you may
schedule automatic recurring transfers to build your savings.

Communications
○ Some banks use your online account as a means of communicating special offers to you.
They attach an inbox to your online account and a periodically offer things like a discounted
loan rate or a free box of checks. They also offer the ability to set up email alerts. Examples
 include the bank sending an email or text message if your balance falls below a certain level
or when your certificate of deposit matures.

Maintenance
○ Online banking allows you to update personal information, such as address changes, without
visiting a branch. You may also have the ability to order checks online or contact customer
service via secure email.

Loans and New Accounts

○ Consumers may apply for loans, credit cards and mortgages, as well as open and fund
checking and savings accounts online. Federal law, however, requires business accounts to
be opened in person.

References
• The Automatic Millionaire; David Bach; 2009
• Comptroller of the Currency, Administrator of National Banks
• Dawn Media Group

Read more: What Are the Different Types of Online Banking? | eHow.com
http://www.ehow.com/about_5340363_different-types-online-banking.html#ixzz1HgqMNG5B

1. Online

○ 1
Visit your bank's website and click "apply online" or equivalent on the homepage.

○ 2
Select the type of account you want to open. Banks differ in their online application
processes, but you will need to enter your full legal name, Social Security number, current
address, phone number and email address. You will also need to submit an opening deposit
with a debit card.

○ 3
Sign your application electronically when prompted. Your new account information will be
emailed to you. Save the email for your records.
Types of Online Banking

1.

○ Online banking. Hands typing on computer keyboard image by Christopher

Meder from Fotolia.com
Online banking offers you a quick and convenient way to manage your money. In fact,
though it varies from bank to bank, there are generally few types of transactions or other
management actions that cannot be done online with an established account. Because this
type of process deals directly with people's money, security measures must be robust, and
most banks have layers of security at work. Overall, online services are a type of banking
that opens access to an efficient way to manage your money.

2. Account Management
○ Online banking systems allow you to log in through their website and view your account
information. There may be several passwords or log-in codes you have to input to gain
access to your account. You can check your current balance and balance history, initiate
transfers between accounts, and view account activity. You can also order checks and view
check images with this type of banking service.

Deposits and Payments

○ Direct deposit is a type of banking that allows you to provide a routing number so money can
be transferred into your account automatically. For example, employers often use direct
deposit to automatically deposit paychecks. This is an electronic deposit done online. It is
also possible to set up automatic payments so that you can pay bills and have the amount
withdrawn electronically from your account. This type of banking is an easy way to pay
recurring bills like utility payments and insurance premiums.

Debit Cards
○ Debit cards work like credit cards except that they automatically withdraw money from your
bank account, and are one of the most common types of online banking transactions. When
you use a debit card, information about the purchase is put into a computer system and then
transmitted online to your bank, where the transaction is processed within your account.

E-statements
E-statements, or electronic statements, are your regular bank statements made available online.
According to GSA Federal Credit Union, e-statements are guarded by electronic safeguards, and are
actually less likely to obtained by identity thieves than a paper statement sent through the mail.
Many banks and credit unions recommend this type of online banking for security reasonsScribd

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CHAPTER 1
1.0 INTRODUCTION

The main purpose that banks have been serving since their inception is keeping our money safe
for us. While keeping our money safe, they also let us earn a certain amount of interest on the
money deposited with them. Traditional banks have been doing this, and internet banks
continue the same function. The only difference is in the way the transactions are made.
We all know about internet banking and most of us use it quite often as well, but few of us
actually understand about the history of internet banking and how it all came out. Knowing the
history of internet banking can be incredibly useful, especially since it will allow us to have more
respect for the little things that we take for granted.
Computers themselves have really come an enormous way since their initial establishment, as
the earliest electronic computers were so large that they would take up the entire area of a
room, while today some are so small that they can hardly be seen at all.
In today's world, computers play an incredibly large role in the way the world exists in general,
and the majority of tasks could actually not be completed if not for the use of computers.
Although there are certainly some areas and jobs that cannot yet be completed solely by
computers and which thus still require actual manpower, for the most part, computers have
helped to make life significantly easier, productive, and more convenient for us all.
Internet banking has been around for quite a few years now, but has really only become
prominent over the past year or so in particular. Internet banking offers an array of different
advantages to the user, including:
1

account balances and history including year-to-date information, the ability to transfer money
from one account to another and to payees for bill payments, check history, reorders, and stop
payments, check credit card balances and statements, complete online loan applications,
secure interactive messaging with staff, and much more.
Internet banking basically allows you to be able to do everything that you can in your regular
banking institution, only with the benefit that you can do it all right from the convenience of your
own home. Not only is this great because you can be comfortable and have peace of mind
knowing that you can keep track yourself of all your banking issues, but as well it allows for
more ease because you never have to worry about rushing out and making it to the bank.
1.1

STATEMENT OF THE PROBLEM

With the problems and limitations associated with manual banking procedures as witnessed in
most parastatals today, complied with the problems associated with the existing application
programs even much more in the presence of serious technological advances aimed at
improving information system. This is activities aimed at shedding light upon the need for
improvement in accounting activities and the means of achieving its efficiency, effectiveness,
reliability and success promising future through computer intervention.
Internet banking identifies a particular set of technological solutions for the development and the
distribution of financial services, which rely upon the open architecture of the Internet. With the
implementation of an Internet banking system, the banks maintain a direct relationship with the
end users via the web and are able to provide a personal characterization to the interface, by
offering additional customised services.
2

1.2

PURPOSE OF THE STUDY

The aim of this project is to develop a secured online banking system with

the following objectives:

•

Create a banking system that is easily accessible by customers from

the comfort of their homes, offices etc.

•

Reduce the flow of human traffic and long queues at banks

•

Reduce the time wasted in going to banks to stay on queues.

•

Promote efficient and effective banking for the banks by focusing on

those services that still require physical presence at the banking hall.

1.3

IMPORTANCE OF THE STUDY

This will cover the benefits derived in using internet banking and it’s

fundamental.

1.3.1 ONLINE BANKING – HOW IS IT DIFFERENT?

Many consumers today are turning to the ease and convenience of Internet banking to take care
of their financial needs. With the new levels of access made possible by the Internet, people can
now check the status of their finances with the click of a button.
The history of Internet banking has evolved from simply allowing customers to check balances
online, to now being able to trade stocks and bonds from the comfort of their own home!
1.3.2 WHY USE ONLINE BANKING?

Online banking services have grown from simply allowing customers to check balances, to
trading assets. Today, banks like ING Direct are functioning entirely online, with no brick and
mortar building. With the costs saved by requiring fewer employees and the lack of facility
expenses, these virtual banks can often offer higher interest rates than their traditional
counterparts. Internet banking gives you the power to control your finances completely. You are
no longer tied down to managing your money during the hours the bank is open. If you want to
transfer a balance after business hours, you can! If you have access to the Internet and have a
number of recurring monthly bills, then you should use Internet banking to make your life easier.
1.3.3

FEATURES OF ONLINE BANKING

Today, online banking services are quite varied. One of the best features of
online banking is putting the user in control. The user controls all bill paying,
transfers, and investments from home.
There are other features, though of online banking. One of these is increased
accessibility to your account information. Users of online banking services
can access their account information from anywhere in the world! This is
particularly helpful for businesses. Internet business banking is becoming
increasingly popular, as businesses are becoming more global in their reach.
Now business people can access their accounts, even when on overseas
business trips. Business Internet banking is extremely popular for this
reason.
A particularly popular aspect of online banking services is the ability to make
bill payments electronically. With a minimum degree of set-up, customers
can enter the amounts of their paper bills (or opt to receive electronic bills)
and process all their payments at one time, from one screen
1.4 SCOPE OF THE STUDY
4

The scope of this project is limited to the activities of the operations unit of the banking system
which include opening of Account, Deposit of funds, Withdrawal of funds and transfer.
1.5

METHODOLOGY

This project employs the object oriented approach of software engineering using appropriate
(UML TOOLS) an object oriented approach. Some of the steps to be taken are:
•

Feasibility study – understanding and identifying of existing system and

associated study.
•

Analysis – proper analysis and suggested solution to tackle such

problems will be considered.

•

Design – designing the new system will be achieved through an object

oriented software tools (UML).

•

Coding – this is implemented as a 3tier architecture model using java

language. The 3 layers of the application are as follows.

1, Java server pages / html pages – front end

2, Java server pages / servlets – middle end

3, SQL server as the back-end

1.6 MODE OF OPERATION

WEBTRUST will contain self explanatory hyperlinks that customers can click

to make any request or perform a task.

5
If a customer clicks on account opening links, he is taken to page where he fills a form and
clicks the submit button if he is through. A successful filling of the form gives a response that
confirms the customer account is open and activated. Thus such a customer can receive money
into such an account through funds transfer. Account details are sent by the bank to the
customer’s email box.
Registered customers or Account holders of the bank can now login using the account details
posted to their email box to login before they can perform financial transactions. The system is
secured such you cannot operate another mans account even if you knew his account details
because a new transaction number is always sent to a customer for each login. This transaction
number is what will be used to authenticate any transaction per time.
1.7 DESCRIPTION

WEBTRUST is built on the three tier architecture of web applications.

Front-end

Database

JSP/Servlet

(Application

logic)

Internet

intranet

www.webtrust.com

Home Services Contact

….

WEBTRUST

Server

(Web server)
Middle-tier

Back-end
When a request is made on a web page through the browser, a jsp/servlet script that is residing
on the web server (the WEBTRUST Server) processes the request. It connects to the database
to retrieve the requested information and sends its response back to the browser which displays
the output on another web page.
The advantage of this architecture is that the database is more secured as it is only accessible
by the application logic (jsp/servlet script) that resides on the web server.
1.8 SOFTWARE TOOLS USED

IDE: Net Beans 5.5

Language: Java

Web Server: Apache Tomcat 5.0

Web Technology: JSP/Servlet

Database: Ms Access / SQL Server

7

CHAPTER TWO

LITERATURE REVIEW

The emergence of electronic commerce over the past decade has radically transformed the
economic landscape. For developing countries, the digital revolution offers unprecedented
opportunities for economic growth and development, a case study of Pakistan.
2.1 DEFINING E-BANKING / ONLINE BANKING

“In the 21st century there will be a lot of banking, but there will be no banks.

“Says Bill Gates.

The term "online banking" or "internet banking" covers both computer and telephone banking.
Using computer banking, a customer either uses his computer to dials directly into its bank's
computer or gains access to the bank’s computer over the internet. Using telephone banking,
the customer can controls its bank accounts by giving the bank instructions over the telephone.
Both computer and telephone banking involve the use of passwords which give access to the
customer’s accounts.
Using these methods, banking transactions can be actioned 24 hours a day. Online banking
allows the person, for instance, to view recent transactions, print out statements and transfer
funds between accounts and make payments.
Many banks also have the facility for someone to set up, amend or cancel standing orders.
Internet banking also allows payments to be made to the customer, i.e. acceptance of credit
card donations. Most people that use
8

internet banking will also continue to use some of the elements of more

traditional methods of banking, such as a cheque book.

.2.2 E-BANKING IN DEVELOPING COUNTRIES

Just like Internet infrastructure, E-Banking in developing countries is at early

stages; however there are some exceptions where countries like:

•

Brazil have 75% of enterprises, excluding micro-enterprises using the

Internet for banking in 2005.

•

Morocco (34.9%). (United Nations Conference on Trade and

Development, 2006),

There is an increasing growth of online banking, indicating a promising

future for

online banking in these countries.

•

In China, while banks issue credit cards and while many use debit cards to draw directly from
their respective bank accounts, very few people use their credit cards for online payment. Cash-
on-delivery is still the most popular mode of e-commerce payment. Nonetheless, online
payment is gaining popularity because of the emergence of China pay and Cyber Beijing, which
offer a city-wide online payment system. (Zorayda Ruth B. Andam, 2003).
•
The Nigerian economy is largely cash-based with a lot of money residing outside the banking
system. To a greater extent, this has hindered the participation of her citizens in e-commerce
where e- payment is the acceptable means of settling transactions. (Ayo Charles. K and
Babajide Daniel O, 2006). In Nigeria, the modernization of the payment process started with the
introduction of the MICR. This
9

was followed by the establishment of ATMs for cash dispensing, account balance enquiry and
payment of utility cheques. In 1993, the Central Bank of Nigeria (CBN), introduced the use of
payment cards (smartcard) and paper-based instrument. Similarly in 2004, CBN introduced a
broad guideline on e-banking which included the introduction of ATM, e-money products such
as credit and debit cards (Salimon, 2006).
•

The Turkish banking sector has not only grown in numerical terms it has also expanded in terms
of technology and the range of new services offered to its local and foreign customers. The
sector has been viewed as the leader of technological innovations in Turkey.
Although a lot of work and progress has been made in electronic banking by these countries,
but these nations are still cash based economies largely. There needs to be a regulatory
framework and awareness among the banks and the consumers about the benefits and drivers
of such systems.
Fast adoption of electronic form of banking is the need of the day for these

developing nations to survive in today’s hypercompetitive global world.

2.3 E-BANKING IN PAKISTAN

Just like many other developing countries, electronic banking initiatives are being worked on in
Pakistan to exploit the technological benefits that can be reaped along with many other e-
readiness initiatives being taken.
10

Pakistan has been among the late entrants into e-banking. The first ATM switch was setup in
1999 and in2000 Internet Banking was introduced. (Ali Ahmad, 2006)
When the government started an information-technology (IT) and e- commerce initiative in early
2000, the banks were expected to lead the way into e-commerce. However, although the
banking sector is the leading spender on information communications technology, the most
progress in e- commerce has been in “e-government”. Some business-to-business (B2B)
portals are available, but they are designed more for Information than transactions. (The
Economist Intelligent Unit, 2006)
Since the de-regulation of the banking sector in Pakistan in 2002 many foreign and private
banks have established strong consumer base by adopting e-Commerce techniques, thus
exploiting the first mover advantage myth. However, for such initiatives to be successful
Government needs to play an active role in creating awareness among the consumers and a
regulatory infrastructure and legislation.
Pakistani government has already started working towards forming an information society to
create awareness among the people but the process is relatively slow.
The Ministry of Science & Technology has been taking number of measures to promote E-
Commerce and E-Banking in Pakistan, Technology helps to catalyze efficiency in the provision
of financial services and ultimately in determining the winners in the intensely competitive
financial markets of the future.
11

The use of ATMs and e-banking products is gaining currency and almost all banks have
established networking of their ATMs with the interconnectivity of switches. Better outreach
offered by ATMs will enhance the customer base and offer more alternatives and choices to
customers. Further development on e-banking and internet banking will open up new avenues
like on-line banking. Among others, the relatively smaller size banks will be able to compete with
the large banks and retain their market presence by using technology more effectively.
Technology tends to have a high degree of obsolescence. Thus, the financial institutions will
have to invest heavily in the development of their IT systems, which might initially burden their
resources.
Half of the country’s 7,000 commercial-bank branches, including 90% of the branches in urban
areas, had been computerised by August 2006. Many banks and exchange companies offer
online funds transfers from overseas, such as for workers remittances.
A few of banks offer mobile-phone banking, where customers can pay utility bills using their
mobile phones. The National Institutional Facilitation Technologies (NIFT), an
automated check-clearing house was operating in 14 cities in August 2006, and it processed
60m checks per year in 2005/06. NIFT is a public-private company owned 51% by banks (The
Economist Intelligence Unit, 2006)
In recent years, Automated Teller Machines (ATM), Tele Banking, Internet Banking, Credit and
Debit Cards, etc. have emerged as effective delivery channels for traditional banking products in
Pakistan. Foreign banks took the
12

lead by re-introducing credit cards to the Pakistani mass market in mid-

1990s. (State Bank of Pakistan, 2003)

This was followed by the domestic banks, which introduced ATM facility in late 1990s. However,
this delayed entry in e-banking may be largely explainable by regulatory hurdles, higher start-up
costs, 38 ongoing banking sector reforms, and lack of technical skills.
At present, a number of commercial banks have set up their own standalone ATM networks,
issuing credit and debit cards, offering round the clock phone banking, and maintain
comprehensive websites providing detailed information on their conventional and e-banking
products. Furthermore, all banks have joined one of the two operating ATM Switch Networks
(MNet and ATM Switch Network) and these two switches are in process of linkage with each
other. Haven linked these two switches, customers will have access to over four hundreds
ATMs throughout Pakistan.39 However, other e-banking activities are yet to establish. In
Pakistan, the ATMs generally allow cash withdrawals, balance information, PIN change, and to
print mini-statement. A few banks also provide fund transfers, check book request, and utility bill
payment facilities through their ATM networks.
2.4 METHODOLOGY

This is an exploratory research that evaluated different factors that why consumers in Pakistan
are reluctant to adopt e-banking. Data collection methods are an integral part of research
design. Both primary and secondary data are used in this research. Three research methods;
surveys, case studies and research articles had been used for this paper.
13
A questionnaire was developed to gather data from the banking consumers, which consisted of
two sections to which there were 145 respondents forming a “Non Probability Sample”. The
sample data consisted of 34 Online Banking users while 111 were non-users.
2.5 PROFILE OF RESPONDENTS:

The majority of the respondents were male (83.3%), young (73.7 %) were between the age of
18 and 30. 53.3 % of the respondents were employed, 36% were students and belonged to the
income class between RS 10,000 -20,000.
For the purpose of this project, two commercial and four national banks had

been analyzed.

Table 1. Age Profile of respondents

Frequen

cy

Percent

Valid

Percent

Cumulative Percent

Valid
18-25

years

78

53.8

53.8

53.8

26-30

Years

32

22.1

22.1

75.9

31-40

Years

24

16.6

16.6

92.4

41 &

Above

117

67.6

100.0

TOTAL

145

100.0
100.0

14

Table 2: Most important reasons for opening an internet account

Valid

Frequency

Percentage Agreeing

Better rates

13

38.2
Safety & security

16

47.1

Low services charges

13

38.2

Easy to maintain

transaction activity

19

55.9

Loan payment

information

10

29.4

Seeking product &

rate info

13

38.2

Download loan

application

12

35.3

Download personal

dank transactions

16

47.1
Check balance online

16

47.1

Consumer loans &

credit cards
applications
16

47.1

Inter account transfer 13

38.2

Online bill payments

13

38.2

15

Table 3: Reasons for not opening an online bank account

Frequency

Percentage Agreeing

Never had of internet

banking

33

29.7

Don’t know whether my

bank offers this facility

51

45.9

No time to open such

account

38

34.2

Don’t see any real value 52

46.8

Would like to see how it

works before

51

45.9

Not available through

my bank

45

40.5

Concerned about

security
42

37.8

Table 4: Important factors for non-users’ in choosing online banking

facilities

16

Frequency

Percentage Agreeing

Better rate & lower

service charges

79

71.2

Bank familiarity

82

73.9

Bank location

73

65.8

Security of transactions 79
71.2

Convenience

83

74.8

Quick service

81

73.0

Variety of features &

services

79

71.2

2.6 CONCLUSION

The findings reported here clearly indicate that at macro level whereby due to globalisation and
a demanding lifestyle, there is a strong need for having one stop online banking accounts. The
analysis therefore shows that the level of electronic readiness and participation is rather low for
a population of approximately 169 million in Pakistan.
It was also interesting to note the perceptions about prospective benefits regardless the
limitations and reasons for not adopting online banking. Although online banking is not yet
ubiquitous in Pakistani society but there is a very high potential and scope. It is about time that
the Government, banks and consumer realize that without adoption of the new emerging
technologies such as e-banking they will lag behind as pointed out by Andy Grove:
“You have no choice but to operate in a world shaped by globalization and the information
revolution. There are two options: adapt or die.” – Andy Grove, Chairman, Intel.
17

CHAPTER 3

SYSTEM ANALYSIS AND DESIGN

This chapter deals with the analysis and design of Online Banking, application of new system,
the hardware and software requirements for implementing the system and stating the choice of
the language used.
3.1 Defining a system:

A system is a collection of components, which are interconnected, and work together to realize
some objective. There are three major components in every system,

1. input

2. processing

3. Output.
18

Input

Output

3.2 Analysis

System analysis is a logical process; the objective of this stage is not actually to solve the
problem but to determine what must be done to solve the problem. The basic objective of the
analysis stage is to develop the logical model of the system using tools such as UML (Unified
modelling language). First let’s take a look at the existing and proposed system.
3.2.1 Existing System

Existing system is the traditional banking, where customers have to go through the long queue,
time wasted and still wouldn’t have access to efficient and effective banking system.
3.2.2 Proposed System:

Considering the stress and time taken to go to bank and do transaction. The development of a
well structure and secured online banking system will allow customer to perform objectives like,
creating a banking system that is easily accessible by customers from the comfort of their
homes, offices 24/7.
19

Processin

g
Reduce the flow of human traffic and long queues at banks; Promote efficient and effective
banking for the banks by focusing on those services that still require physical presence at the
banking hall. Provides intra-bank funds transfer services to their customers. Keep a detailed log
of customer transactions with the bank on his account. Generate the statement of account of a
selected period of time for customers. And Provide a customer relationship services
3.3

UML DIAGRAM OF WEBTRUST

20

ONLINE BANKING (WEBTRUST BANK

PLC)

MANAGE

CUSTOMERS

MANAGE

ACCOUNTS

MANAGE

TRANSACTION

System

Customer

REGISTER

SIGN IN

OPEN AN

ACCOUNT

OPERATE AN

ACCOUNT

Customer

System

3.3.1 MAIN COURSE OF EACH USE CASE.

1. REGISTER (Actor: Customer)

Pre-condition: None

1.1Navigate to the Registration page

1.2Fill the registration form

1.3Submit the form

Post-condition: Get instant message that customer profile is created

and login details is sent to inbox

2. SIGN IN (Actor: Customer)

Pre-condition: Register as a Customer

1.1Navigate to sign in page

1.2Enter login details

1.3Click Login
Post-condition: Access is granted to the user home page for the

customer

3. OPEN AN ACCOUNT (Actor: Customer)

Pre-condition: Login as a customer

1.1Click the create account button on the user home page

1.2View the create account page

1.3Enter account name for the new account

1.4Select account type for the new account

21

1.5Click submit button

Post-condition: The new account is added to the accounts list on user

home page
 4. OPERATE AN ACCOUNT (Actor: Customer)

Pre-condition: Login as a customer

1.1Select the account to operate in the list of accounts

1.2Click the desired operation such as deposits, withdrawals , funds

transfer and statement of account

Post-condition: Access is granted to the appropriate transaction page

for the selected account

5. MANAGE CUSTOMERS (Actor: System)

Pre-condition: None

1.1Create customer inbox

1.2Generate customer login details

1.3Sends details to inbox

Post-condition: Customer can check his login details in his inbox.

6. MANAGE ACCOUNTS (Actor: System)

Pre-condition: None

1.1Generate account details

22
1.2Send details to customer inbox

Post-condition: Customer details such as account no, access code etc

is sent to inbox.

7. MANAGE TRANSACTIONS (Actor: System)

Pre-condition: None

1.1Execute transaction instructions

1.2Updates customer account

1.3Generate account balances

Post-condition: Customer sees the current state of account on the user

home page

3.4 UML DIAGRAM FOR OPERATING AN ACCOUNT

23

OPERATE AN ACCOUNT (WEBTRUST BANK

PLC

DEPOSITS

WITHDRAWA

LS

FUNDS

TRANSFER

STATEMENT

OF

Customer

System

Click

account

<<includes
 <<includes

<<includes

<<includes

24

3.4.1 MAIN COURSE OF EACH USE CASE.

8. DEPOSIT (Actor: Customer)

Pre-condition: Select the account to operate

1.1Navigate to the Deposit form page

1.2Fill the deposit slip

1.3 Submit the slip

Post-condition: Selected account is credited appropriately

9. WITHDRAW (Actor: Customer)

Pre-condition: Select the account to operate

1.1Navigate to Withdrawal form page

1.2 Fill the withdrawal slip

1.3 Submit the slip

Post-condition: The selected Account is debited and it can be viewed
by clicking on the statement of account which displays all the
transaction
25

10.FUND TRANSFER (Actor: Customer)

Pre-condition: Select on the account on which the fund is to be

transferred

1.1Navigate to the Fund transfer form page

1.2Fill the fund transfer slip

1.3Submit the slip

11.STATEMENT OF ACCOUNT: (Actor: Customer)

Pre-condition: Click on the account on which the statement is to be

viewed1.1 Navigate to the Statement of Account form page

1.2View the transactions of the selected account

3.5 ENTITY RELATIONSHIP(ER DIAGRAM) OF THE TABLES USED

26
CHAPTER 4
27

IMPLEMENTATION

4.1 System Implementation

During the implementation stage the system is physically created. Necessary programs are
coded, debugged and documented. A new hardware (where necessary) is selected, ordered
and installed.
4.2 System Specification

Every computer system consists of three major elements.

1. The Hardware

2. Application Software.
3. Operating system

For successful operation of the package following must be kept in mind:

Too many packages should not be used, as very few systems may have all those packages
installed due to memory problem. Thus, the compatibility of the system developed will get
reduced.
4.3 Hardware Requirements

Intel Pentium III processor at 750 MHz or faster, minimum of 1G available disk space for
installation (including IBM SDK), minimum of 512 MB memory, CD-ROM drive.
4.4 Software Requirements

Software tools used

IDE: Net Beans 6.1

28

Language: Java

Web Server: Apache Tomcat 6.014

 Web Technology: JSP/Servlet

Database : Ms SQL Server 2000

The application software is developed in Java, and the central database is based on MS SQL
Server 2000. The system can be accessed on a standalone computer.
Implementation

A.) Create a DataSourceName(DSN)

To Create a DSN, You need to perform following steps:

1. You need to first open the Control Panel window.

2. double click Administrative Tools icon.

3. To open the ODBC Data Source Administrator dialog Box, double click the Data sources ODBC
icon. The following figure shows the ODBC Data Source Administrator dialog Box:
29

ODBC Data Source Administrator Dialog Box

4. Click the Add button to select a driver for creating a DSN.

5. To connect to SQL Server 2000, select the SQL Server Options from the

name list box in the Create New Data Source Dialog Box.
 6. Click the Finish button to complete the task of selecting the driver for

creating a DSN.

B.) Specify the Connection details for the DSN

1. To Create a DSN, type the name of the data source in the name text box of the Create a New
Data Source to SQL Server dialog Box as shown in the following figure.
30

2. To select the required SQL Server select the name of the SQL Server

from the Server drop down list and click the Next button.

3. To indicate how the SQL Server should authenticate a login ID, select with the SQL Server
authentication using a login ID and a password entered by the user option. The login ID and the
password entered by the user option. The Login ID and Password textboxes becomes active as
shown in the following figure.31
4. Type the username and password in the text boxes and click Next.

5. To enable the database drop-down list, select the change the default

database to options.

6. To select the required database select the name of the database from

the drop down list and click Next button.

7. Select the language for the System messages to English and click
Finish.

32

8. The ODBC Microsoft SQL Server Setup dialog box appears with all the

details about the created DSN as shown in the following figure.

9.To test the created DSN for the connection with the database, click Test

Data Source button, the message regarding the connectivity test

appears.

10.Click Ok to save the Configuration settings for the new data source.

33
11.To verify that the DSN is created, check the name of the Created DSN in the user data source
list box of the ODBC Data Source Administrator dialog box and click Ok. The following figure
shows the ODBC Data Source Administrator dialog box.
34
Displaying the webtrust Data Source created.

The Data Source is then used in the Login Process, to access specific tables

in the database.

4.5 SCHEMATIC DIAGRAM OF DATABASE

Schematic Diagram of Database depicting the Data Types used and relationships among them
with Database views. Each of these diagrams represents the tables that would be created and
would be worked along with. The database that would be used depends on the Data Source
that is created by the administrator linking to its preferred Database.
35
36
37
38
39

4.6 Recovery & Security

A forced system failure is induced to test a backup recovery procedure for file integrity.
Inaccurate data are entered to see how the system responds in terms of error detection and
protection. Related to file integrity is a test to demonstrate that data and programs are secure
from unauthorized access.
Usability Documentation & Procedure:

The usability test verifies the user-friendly nature of the system. This relates

to normal operating and error-handling procedures.

4.7 Quality Assurance

Proper documentation is must for mainframe of any software. Apart from In- line documentation
while coding. Help coding, help files corresponding to each program were prepared so as to
tackle the person-dependency of the existing system.
40

CHAPTER 5

RESULT AND CONCLUSION

This section discuses the result of the work done in this project And also

mentions the future scope for improvement.

5.1 Conclusion

As the world becomes more of a global village being runned by paperless systems, the idea of a
cashless society is the hope of the future. Thus more innovations will still evolve which will make
cashless transactions easily accessible and affordable.
5.2 Future Scope of Improvement

The “Banking Online System is a big and ambitious project. I am thankful for being provided this
great opportunity to work on it. As already mentioned, this project has gone through extensive
research work. On the basis of the research work, we have successfully designed and
implemented banking online System. This system is based upon 2-tier client server architecture.
The tools used for development were as follows.
Front-end-----Net beans 6.0.1

Back-end----MS SQL Server 2000

41

5.3 Annexure A Sample forms

Home Page

42
Customer Information

43
Viewing Signature form

44
Statement of Account

49
Deposit Views

50
Withdrawal Views

51
Fund Transfer Views

52

PROGRAM LISTING
53

// createAccount.jsp

<%@page contentType="text/html" import="java.io.*;"%>

<%
String userid = "";
 try

FileInputStream fis = new FileInputStream("C:\\regno.txt");

int avail = fis.available();

byte bytearray[] = new byte[avail];

54

int byteread = fis.read(bytearray,0,avail);

userid = new String(bytearray).trim();

}catch(IOException ioe)

out.println(ioe.toString());

%>

<HTML><HEAD><TITLE>Signature Form</TITLE>

<META http-equiv=Content-Language content=en-us>

<META http-equiv=Content-Type content="text/html; charset=windows-

1252">

<STYLE>.ms-contemp-main {

BORDER-TOP-STYLE: none; BORDER-RIGHT-STYLE: none; BORDER-LEFT-

STYLE: none; BORDER-BOTTOM-STYLE: none

}.ms-contemp-tl {

55
 BORDER-RIGHT: white 2.25pt solid; BORDER-TOP: white 2.25pt solid;
FONT-WEIGHT: bold; COLOR: black; BORDER-LEFT-STYLE: none; BORDER-
BOTTOM-STYLE: none
}.ms-contemp-left {

BORDER-RIGHT: white 2.25pt solid; BORDER-TOP: white 2.25pt solid; FONT-WEIGHT:

normal; COLOR: black; BORDER-LEFT-STYLE: none; BORDER- BOTTOM-STYLE: none
}</STYLE>

<META content="MSHTML 6.00.6000.16711" name=GENERATOR></HEAD>

<BODY>

<DIV id=layer1

style="Z-INDEX: 1; LEFT: 4px; WIDTH: 1142px; POSITION: absolute; TOP:

22px; HEIGHT: 578px">

<DIV id=layer2

style="Z-INDEX: 1; LEFT: 241px; WIDTH: 763px; POSITION: absolute; TOP:

4px; HEIGHT: 525px">

<DIV id=layer3

style="Z-INDEX: 1; LEFT: 0px; WIDTH: 757px; POSITION: absolute; TOP: 5px;

HEIGHT: 130px">

<DIV id=layer4

56

style="Z-INDEX: 2; LEFT: 34px; WIDTH: 475px; POSITION: absolute; TOP: 2px;

HEIGHT: 64px">

<DIV id=layer5

style="Z-INDEX: 3; LEFT: -33px; WIDTH: 87px; POSITION: absolute; TOP: 0px;

HEIGHT: 82px"><IMG
height=81 src="images/images.jpeg" width=83 border=0></DIV><IMG

height=70

src="images/myBankBckgrd.GIF" width=319 border=0></DIV>

<DIV id=layer6

style="Z-INDEX: 3; LEFT: 13px; WIDTH: 727px; POSITION: absolute; TOP:

89px; HEIGHT: 38px"><IMG

height=39 src="images/webTrustHeader.png" width=727

border=0></DIV>&nbsp;</DIV>

<DIV id=layer7

style="Z-INDEX: 2; LEFT: -6px; WIDTH: 768px; POSITION: absolute; TOP:

137px; HEIGHT: 436px">

<DIV id=layer8

style="Z-INDEX: 1; LEFT: 11px; WIDTH: 168px; POSITION: absolute; TOP:

15px; HEIGHT: 353px">

<DIV id=layer12

style="Z-INDEX: 1; LEFT: 3px; WIDTH: 152px; POSITION: absolute; TOP: 28px;

HEIGHT: 144px">

<TABLE class=ms-contemp-main height=137 width="98%"

bgColor=#ddeaff border=0><!-- fpstyle: 34,011111100 -->

57

<TBODY>

<TR>
<td class=ms-contemp-left background="images/image002.jpg"

height="22">&nbsp;</td>

</TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="24">

</td</TR>

&nbsp;<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="24">

&nbsp;</TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="24">&nbsp;</TD></TR>

<TR>

<TD class=ms-contemp-

left>&nbsp;</TD></TR></TBODY></TABLE></DIV>

<DIV id=layer13

style="Z-INDEX: 1; LEFT: 1px; WIDTH: 152px; POSITION: absolute; TOP:

202px; HEIGHT: 147px">

58

<TABLE class=ms-contemp-main height=143 width="98%"

bgColor=#ddeaff border=0><!-- fpstyle: 34,011111100 -->

<TBODY>

<TR>
<td background="images/image002.jpg"><b>

<font face="Arial" size="2"

color="#004E9B"></font></b></td>

</TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="33">

<font face="Arial" size="2"></font></td></TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="26">

</TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="18">

</td></TR>

<TR>

<td class=ms-contemp-left background="images/image002.jpg"

height="18">

59

&nbsp;</td>

</TR></TBODY></TABLE></DIV>

<P>&nbsp;</P></DIV>
 <DIV id=layer9

style="Z-INDEX: 2; LEFT: 16px; BACKGROUND-IMAGE:

url('images/footer.png'); WIDTH: 730px; POSITION: absolute; TOP: 405px;

HEIGHT: 29px">

<TABLE height=28 width="100%" border=0>

<TBODY>

<TR>

<TD width=345><FONT face=Verdana color=#ffffff size=1>&nbsp;©

Copyright

2008 WEBTRUST BANK plc. All Rights Reserved.</FONT></TD>

<TD>

<P align=right><FONT face=Verdana color=#ffffff size=1>Designed by

JIDESERIKI</FONT></P></TD></TR></TBODY></TABLE></DIV>

<DIV id=layer10

style="Z-INDEX: 1; LEFT: 180px; WIDTH: 586px; POSITION: absolute; TOP:

4px; HEIGHT: 370px">

<td height="328" valign="top">

<form method="POST" action="sigfrmscript.jsp">

60

<!--webbot bot="SaveResults" U-File="C:\Documents and Settings\Seyi

Lucas\My Documents\My Web Sites\_private\form_results.csv" S-Format="TEXT/CSV" S-Label-
Fields="TRUE" -->
<table border="0" width="100%" id="table27"

height="351">
 <tr>

<td valign="top">

<p align="left"><b><font face="Verdana"

color="#004E9B">&nbsp;</font><font face="Tahoma" size="2"

ecimen

Signature form</font></b></p>

<table border="0" width="100%"

id="table28">

<tr>

<td width="177">

<p align="center"><font

passport Here</font></td>

<td>&nbsp;</td>
</tr>

<tr>

<table border="0" width="104%"

id="table29" height="103">

61

<tr>

<td width="113">
 <p align="left">

<font face="Tahoma"
size="2">&nbsp;User id:</font></td>

<td>

<font face="Tahoma" size="2">

<input type="text"
readonly="true" name="txtUserId" value="<%=userid%>"
size="26"></font></td>
</tr>

<tr>

<td width="113">

<font face="Tahoma"

<td>

<font face="Tahoma"
size="2" color="#004E9B">

Enter your choice

</tr>

<tr>
<td width="113">

62

will be sent to&nbsp;&nbsp; your

inbox. You will

 always need them to login. While

your account number

will be used to access and operate

</tr>

<tr>
<td width="177"

<td height="39">

<p align="center">

<button name="B3" style="width:

submit">

Finish</button>&nbsp;&nbsp;

<button name="B2" style="width:

58; height: 26" value="Cancel" type="submit">

Cancel</button></td>

</tr>

</table>

</td>
</tr>

</table>

64
 </form></td>

</DIV>

<P>&nbsp;</P></DIV>

<P>&nbsp;</P></DIV>

<P align=center>&nbsp;</P></DIV>
</BODY></HTML>

65

REFERENCES

1. Ayo Charles. K and Babajide Daniel O, 2006, Designing a Reliable E-

payment System:

2.www.google.com

3. www.wilkipedia.com

4. Nigeria a Case Study, Journal of Internet Banking and Commerce, vol.

11, no.2

5.Ali Ahmad, 2006, Policies & Regulations for Expanding e-banking to

the Poor, The First Microfinance Bank Ltd, Pakistan, 5

6.Dr. Shamshad Akhtar, 2006, Financial Sector of Pakistan – The

Roadmap, Dawn Asia Finance Conference.

http://www.sbp.org.pk/about/speech/governors/dr.shamshad/2006/Daw
n-Asia-Finance-Conference-13-May-06.pdf
7. Salimon Alao (2006): “Moving towards a cashless economy”, Financial

Standard, vol 7, no: 60, pp 19-21, June 2006.

8. The Economist Intelligence Unit, Nov 2006 Overview of e-commerce in

Pakistan,

66
http://globaltechforum.eiu.com/index.asp?layout=rich_story&doc_id=9

616&title=Overview+of+ecommerce+

in+Pakistan&categoryid=30&channelid=4, Accessed 18/06/07

9. Zorayda Ruth B. Andam, 2003, e-commerce and e-business, e-Asean

Taskforce UNDP-APDIP, Phillipines & Malaysia, 23

67

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MSc in International Money and
Banking at Birmingham University
www.economics.bham.ac.uk/

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