Internet banking
Also called: E-banking, net banking, online banking · Topic: Payment Systems and Digital Finance · NCERT: Class 7, Ch 11 "From Barter to Money"; Class 7, Ch 8 "Banks and the Magic of Finance"; Class 10, Ch 3 "Money and Credit"; Class 10, Ch 4 "Globalisation and the Indian Economy"
Meaning
Internet banking (also called online banking or net banking) lets account holders use their bank's website or app to check balances and past transactions, pay bills and transfer money. It works from a computer or smartphone, so you do not need to visit a branch. A cheque takes time to clear, but electronic transfers can be nearly instant. The money actually moves on payment systems such as NEFT, RTGS and IMPS.
Example
A shopkeeper in Nagpur logs in to her bank's net banking and sends ₹30,000 to her supplier in Surat through NEFT. The money reaches the supplier without any cheque or trip to the bank.
Don't confuse with
- NEFT/RTGS: these are the systems that move money between banks. Internet banking is only the online service you use to give the payment instruction.