Banks provide their customers with easy access to a variety of facilities via digitalized services such as net banking and mobile banking. Both mediums can be accessed online using a stable internet connection. Despite the fact that both net banking and mobile banking provide similar services, there are some differences that distinguish them as two distinct mediums.
In this blog, we will look at the differences between net banking and mobile banking, as well as their benefits and the best way to get started.
A Comparative Difference Between Net Banking and Mobile Banking
Mobile banking can be a good way to perform various banking functions; however, net banking is vast and contains almost all of the features, functionalities, and services that banking mobile applications do not provide. Following are the differences between net banking and mobile banking-
|Parameters||Mobile Banking||Net banking|
|Device used||Smartphones, tablets||Laptop, Desktop|
|Services offered||Limited||All banking services available|
|How to access||Customers only require a User ID and password to use banking services online||Customers need to download the banking mobile application|
|Ease||Easy to use and can be used on the go||Comparatively a little difficult to perform banking services|
|Push notifications||Customers receive notifications regarding banking offers, exciting deals and more||Not available|
|Other services||Mobile banking can be access through SMS||Requires laptop, desktop and a stable internet connection|
What is the Difference Between Net Banking and Mobile Banking?
The difference between net banking and mobile banking are as follows-
- Device type – Net banking requires the use of a laptop or desktop computer, whereas a mobile banking application requires the customer to download the application
- Features – Mobile banking applications have a limited set of features and functionalities. Net banking, on the other hand, is a vast pool of features, functions, and all banking services available
- Onboarding process – The customer must log in to net banking using a user ID and password, whereas the mobile banking application requires a passcode to be entered in order to open the application
- Push notifications – Banks send push notifications to their customers when they use mobile banking apps, which is not the case with internet banking
- Service -Mobile banking can be used for quick and easy banking services, whereas net banking can be used for advanced banking services
What is Mobile Banking?
Mobile banking is a compressed version of all the banking services made available through a banking mobile application. A customer must download the appropriate banking mobile application to perform various banking activities like fund transfers, checking passbook/account balance, making payments, booking tickets and more.
- A mobile banking application enables a customer to perform various banking transactions
- A smartphone and a stable internet connection are required for the mobile banking application
- It enables one to conduct banking transactions at any time and from any location
- Customers can use SMS to access mobile banking services
- Push notifications through the mobile banking application are sent to the customers for timely updates, new deals & discounts
What are the Benefits of Mobile Banking?
There are several benefits of mobile banking, a few among them are-
- Mobile banking applications are available at all times and from any location
- Banking applications can be customized as per the customer requirements
- Customers can keep track of their transactions.
- Customers can use the banking mobile application to make payments, transfer funds, track transaction history, and add beneficiaries
- Banking mobile applications can be used to pay utility bills, recharge mobile phones, book tickets, and recharge DTHs, among other things
- Mobile banking is simple to use
- Alerts can be set up to ensure that payments are always made on time
- Push notifications sent via mobile banking applications ensure that customers do not miss out on important deals and discounts
How to Use a Mobile Banking Application?
You are required to follow the given steps to use the mobile banking application. t should be noted, however, that the structure of banking mobile applications differs from one to the next.
- Download the mobile banking application from the respective app store
- Log in to the application and enter your passbook/account/registration number, etc
- Create and re-enter a password
- The banking mobile application is ready and can be used to conduct online banking transactions
Things to note-
- The onboarding process for mobile banking applications varies depending on the banking application
- A stable internet connection and a smartphone is required to use a mobile banking application
- It is advised to set a strong password as mobile banking applications are prone to theft or digital frauds
What are the Limitations of Mobile Banking Applications?
Even though mobile banking applications are the compressed version of banking functionality; however, there are still limitations associated with them-
- Customers must download the mobile banking application in order to use it
- Banking applications necessitate a stable internet connection as well as a smartphone.
- The customer must update the application at regular intervals
- The mobile banking application can be misused if in case the banking passcode is shared with any unknown person
- In the event of poor internet connectivity, the app may crash, resulting in transaction failure.
Things to Take Care of when using a Mobile Banking Application
Listed below are some of the practices to follow for a safer mobile banking application experience-
- Never share login credentials with anyone
- It is advised to use a safe network connection
- Banks never request login credentials or the completion of KYC via SMS or phone calls; therefore, never share credentials via phone or SMS
- The smartphone should have anti-virus software installed
- Never sign in from third-party websites or other promotional emails
- It is recommended not to use another person’s device to log in to the mobile banking application
- Always log out of the mobile banking app after using it
What is Net Banking?
Net banking is also known as internet banking. It is a system that banks offer to their customers electronically and digitally, allowing them to access financial and non-financial banking services in minutes. The net banking system eliminates the need to visit the bank in person. Aside from that, net banking enables customers to access a variety of banking services such as money transfers, the creation of FDs and RDs, the tracking of transactions, and so on.
- Any customer who has an active bank account with the bank can use internet banking or net banking
- A customer is required to register himself/herself to use net banking. Once registered, he/she can start using the banking facilities online
- Net banking offers more advanced features as compared to mobile banking
- A customer can sign up for net banking by calling the bank or visiting the bank’s website
- To begin using net banking, the customer only needs to have an active user ID and password
- To use net banking, you must have a laptop or desktop computer
- Net banking services enable one to perform additional functions such as changing one’s communication address, ordering a chequebook, and so on
What are the Advantages of Net Banking?
Listed below are the advantages of net banking that make it an obvious choice to avail banking facilities online-
- There is an option for 24*7 online banking
- Customers can easily transfer funds, view transaction history, open FDs and RDs, and so on
- Net banking is safe and secure, with a customer ID and password
- Non-financial activities such as ordering a cheque book, checking the account balance, obtaining a passbook, and so on are simple.
- In an emergency, a user can easily block their debit/credit card using net banking
- Net banking makes it simple to change your communication address or primary/secondary address
- Customers can learn more about the bank and its services by using net banking
How to Register for Net Banking offline?
Following are the steps the customer can perform to start using net banking facility-
- Visit the nearest bank branch and submit the internet banking application form along with the required documents such as a bank passbook, Aadhaar card, etc.,
- The customer ID and password will be issued by the banking official following the submission and verification of the internet banking application form and related documents
- The Internet banking application form is available for download from the bank’s mobile application
- The credentials provided can be used to access the internet banking services
How to Register for Net Banking Online?
Following are the steps to be followed to register for net banking online-
- Navigate to the bank’s official net banking website.
- Click the login button or the ‘New user/Register here’ link.
- Enter your existing net banking credentials and continue. In case you are not an active member, register yourself first
- Fill out the self-registration form with your account number, registered mobile number, CIF number, debit card information, and other information
- Then, to authenticate the process, enter the OTP that was sent to your registered mobile number
- Enter your temporary customer identification number and password
- Log in to create a more secure password
Net banking or Mobile Banking- which is more secure?
Both net banking and mobile banking applications are safe to use as the bank ensures to integrate a system that might help in detecting fraudulent activities or any suspicious activity. Additionally, banks also alert their customers in case of detecting if their account is being handled by other authorities fraudulently. Mobile banking applications make it hard for another unknown person to crack the application password whereas net banking can be used only after entering the user ID and password. However, it is advised to use digital platforms carefully and judiciously as they are still prone to online fraud and related activities.