CHAPTER-I

INTRODUCTION

1.1 Background

Century Bank Limited is a commercial bank in Nepal. The bank is an A class

commercial bank licensed by Nepal Rastra Bank (NRB) and has branches all across
the nation with its head office in Kathmandu which provides entire commercial
banking services Century Commercial Bank Limited (CCBL) is a National Level
Commercial bank established on January 23, 2011 with the objective of providing
simplified banking services by taking advantage of innovations in information and
communication technology. CCBL aims to extend its reach to the unbanked
population of the country and is driven by the mission of saral banking sabaiko
lagi (simplified banking for all).

The Bank has a network of 31 branches, 3 extension counter, 12 branchless banking

and 29 ATMs across the country and offers a wide range of banking products in
deposits, lending and other value added services such as internet/ mobile banking,
remittance and branchless banking etc. The Banks team comprises of more than
300 staff and caters to more than 100,000 customers.

In line with the progressive strategy, the Bank is focused on implementing

sustainable business practices and deliver consistent growth that is sustainable and
profitable to all its stakeholders. Dhangadhi Branch of Century Bank Limited is
situated at Sabjimandi, Mainroad Dhangadhi and its Branch Manager is Khomi Shev
Dhungana.

1.2 Statement of Problem

Financial position and quality services is the main stream of a successful
organization. It has regarded as one of the conditioning factor in the decision
making issue. The study was involved to find out threats of the bank and rational
evaluation of electronic products in the financial performance of bank.

1.3 Objectives
Conducting of any study and report has many objectives.
The main objectives of this study are as follows;
To gain practical knowledge,
To differentiate between theory and real world practices,
To know about the various internet Banking facilities providing by the
Bank.

1.4 Significance
Any types of report and study have some rationalities and benefits. Some
significances of this study are as follows;

1
 It is useful for future researcher as literature review,
It helps to promote bank's e-banking products,
To enhance awareness about the internet/online banking up to general
public

1.5 Limitations
During the study there may have different problems and lacking. The main
problems of this project report are as follows;
Limited Time-frame,
This study is done for only to know the online banking facilities
provided by bank so we unable to take all the aspects of banking
transaction.

1.6 Research Methodology

Research is the systematic and logical search for new and applied
information on particular topic. Research methodology is a systematic way to
solve the problem. Actually the research methodology called the procedure of
finding information and solving the problem.

1.6.1 Research design

Research design is plan, structure and strategy of investigation
conceived so as to obtain answers to research questions and to objectives of
this study. Research design is the path of collecting Data and solving the
current emerging problem. To achieve the objective of this report descriptive
and analytical research design has been used.

1.6.2 Source of Data

Source of data means the source from where we collect information for
the particular purpose. Book, disciplinary person, related person, journals,
essay, internet etc. are sources of data. Source of Data categorized in to two
main sources:

a) Primary Data
Under this researcher collects the original data. For this the researcher
collects the data from primary source and these data on any researcher has
ever collected before. In this researcher make questionnaire and interview
method. For this we ask some question to GM of Century Bank of Dhangadhi.

b) Secondary Data
Under this method we use the already published data or materials for
the study. For this we use Century Bank's website, internet and book of
annual general meeting.

2
 CHAPTER-II
PROJECT WORK
2.1 Introduction
E-banking for banks to attract new business and sustain the
loyalty of existing customers, consumers must be able to reach
financial institutions through multiple channels. With consumer interest
that was historically focused on Branch Banking, currently fast
changing towards Mobile & Internet banking - the level of popularity
and numbers of possible services it carries has a great potential.

Through the use of wireless banking as a customer channel, as

well as an internal tool within financial institutions, the combination of
Mobile and wireless technologies with the wide variety of portable
devices available today, enables new revenue opportunities for
financial services organizations. This provides a new channel that can
be used to refresh and expand the customer base, attract prime
customers and enhance loyalty. The existing infrastructure in the
financial services sector makes it possible to access financial services
over multiple channels, such as traditional teller and ATM systems,
telephone, point-of-sale (for credit/debit card use), or from the Web
using a PC.

Establishment of first Joint Venture Bank, Nepal Arab Bank

Limited (now NABIL Bank), in 1984 was the first step towards e-
banking in Nepal it introduced Credit Cards in Nepal in early 1990.
Automated Teller Machine (ATM) was first introduced by another JV
Bank, Himalayan Bank Ltd. in 1995. Himalayan Bank Limited was also
the first bank to introduce Tele-Banking (Telephone Banking) in Nepal.
Internet-Banking was first introduced by Kumari Bank Limited in 2002.
Laxmi Bank Limited was the first bank to introduce SMS-Banking (or
Mobile Banking) in Nepal in the year 2004. The channels in e-Banking
available in Nepal are Automated Teller Machines (ATM), Point of Sales
(PoS), Telephone Banking (Tele Banking), Internet Banking, Mobile
Banking (SMS Banking). Currently Nepalese customer are enabled Cash
Withdrawal, Balance Inquiry from in PoS Terminals customer can do
financial transactions via Cards, Cash is debited from the clients
account(s), from Tele- banking customer can do the Account Status
check, Balance Inquiry, similar to Tele-Banking SMS banking facilities is
there, from Internet-Banking customer are having fund Transfer within
accounts (within the bank), Get balance statement online and Pay bills

3
 online. All these type of facilities are available in cities but not in
remote places. But unless and until Nepal's two giant banks which are
under restructuring process, NBL and RBB, won't go for E banking large
portion of banking customer will be out of the use of EBANKING
facilities. As per NRB till July, 2006 total deposit of banking sector is
290427.6 million RS, out of those Nepal Bank Limited has 35295.4
million RS and RBB has 45446.2million As per this data nearly 30% of
the total depositors are out of the use of EBANKING facilities directly.
Recently RBB (Rastriya Banijya Bank) declared it has started ATM and
internet banking facilities which is indeed satisfactory news for the
Nepalese financial market .Likewise NBL (Nepal Bank Limited) which is
already computerized will also have to start these services sooner or
later.

2.2 Electronic Banking Products

Internet Banking Products are those services which are operated
through the internet. For these services customers need not to go at
bank. Internet banking products are as:
2.2.1 Mobile Banking
M-Banking (mobile Banking) is conducting banking services
through wireless technology-i.e. handheld devices such as cellular
phones and PDAs.
As content of delivery over wireless devices becomes faster,
more secure, and scalable, some believe that M-Banking will surpass
wire line e-banking as the method of choice for digital Banking
transactions. This may be true for the where there are more mobile
phone users than there are PC based Internet users.
Century Mobile Banking Service provides following benefits:
- Transfer funds from your accounts to any other accounts maintained at
Century Bank
- Receive Debit and Credit Alerts SMS Notification in your mobile on any
transaction done on your account
- Check your account balances
- Recharge your Mobile (Prepaid and Post Paid)
- Pay Landline and ADSL Bill

If you have a smart phone, supporting the following platform, you

can download the software for: Android, Windows, Blackberry 4.5
and 5.0, Java.

Mobile Bill Payment

Download Mobile Application and Mobile Banking Software for Android
and JavaJedJar and enjoy the following services under mobile bill
payment.
Pin Change

4
 <PC> space <OldPIN>space < NewPIN >
SYNTAX
space < NewPIN >
Example of Pin
AT 1234 5678 5678
Change

Register Free for Century Bill Pay Service at any of our branch and enjoy the
following services FREE of Charge:

RECHARGE NTC PREPAID Number

o NTC POST PAID
o NTC LANDLINE
o NTC ADSL UNLIMITED
o NTC ADSL VOLUME

Download the Century Bill Pay Service Mobile Application

SYNTAX for Making Bill Payment through Customer's Mobile (For those
customers who have registered to Bill Pay Service)

Customers have to SEND SMS TO: 1245 after typing the SYNTAX:

RECHARGE NTC/NCELL PRE PAID MOBILE

PAYMENT OF NTC/NCELL Post Paid Bill
PAYMENT OF Landline Bill
PAYMENT OF ADSL Unlimited
PAYMENT OF ADSL Volume Based
TYPE OF PAYMENT
Amount that Can Be Paid through SYNTAX or Mobile
PAYMENT
Application
Rs. 10,Rs. 20, Rs. 30,Rs. 40, Rs 50, Rs. 100, Rs. 200, Rs.
NTC PREPAID
300, Rs. 500, Rs. 1000, Rs. 1500, Rs. 2000, Rs. 2500, Rs.
TOPUP
3000, Rs. 4000, Rs. 5000
NTC POST PAID Rs. 100, Rs 150, Rs. 200, Rs. 300, Rs. 500, Rs. 1000, Rs.
PAYMENT 1500, Rs. 2000, Rs. 2500, Rs. 3000, Rs. 4000, Rs. 5000
NTC LANDLINE Rs. 100, Rs 150, Rs. 200, Rs. 300, Rs. 500, Rs. 1000, Rs.
PAYMENT 1500, Rs. 2000, Rs. 2500, Rs. 3000, Rs. 4000, Rs. 5000
NTC ADSL Rs. 500, Rs. 1000, Rs. 1500, Rs. 2000, Rs. 2500, Rs. 3000,
UNLIMITED Rs. 4000, Rs. 5000
NTC ADSL Rs. 500, Rs. 1000, Rs. 1500, Rs. 2000, Rs. 2500, Rs. 3000,
VOLUME Rs. 4000, Rs. 5000

5
NCELL
PREPAID/POST
Rs. 10 to Rs. 5000
PAID/INTERNET
TOPUP

2.2.2 Internet/Online Banking

Online banking allows a user to execute financial transactions via
the internet. Online banking is also known as internet banking. An
online bank offers customers just about every service traditionally
available through a local branch including deposit which is done online
or through the mail and online bill payment.
CCBL have launched Internet Banking Services free of Charge to all
Account Holders are providing following services free of Charge to our
Customers using CCBL Internet Banking Services:
1. Balance Inquiry
2. Account Statement
3. Interest Statement
4. Tax Statement
5. Leave Message to Bank and Receive Message from bank
6. Transfer funds to your own linked A/C
7. Transfer funds to any other A/C in any branch of Century Commercial
Bank Limited.

Customers have to collect the Internet Banking Application Form

from any of our Branch or may download it from our site
www.centurybank.com.np download page. And submit the filled-in
form to the Branch. It is required to collect the login and transaction
password from the branch.

2.2.3 SMS Banking

SMS banking is a form of mobile banking. It is facility used by
some bank or financial institution to send message to customers
mobile phones using SMS messaging or a service provided by them
enables customers to perform some financial transactions using SMS.
SMS banking services may use either push and pull message. Push
messages are those that a bank sends out to a customers mobile
phone, without the customer initiating. Pull messages can select the
type of activities for which they wish to receive an alert.
Text Banking
SMS SYNTAX FOR USING SMS BANKING (SEND SMS TO 6776)
Enquiry
PIN Change
Balance Enquiry Of Default Account
Balance Enquiry Of Specified Account
Last Transactions Of Default Account
Last Transactions Of Specified Account

6
 Cheque Book Request Of Default Account
Cheque Book Request Of Specified Account
Statement Request Of DefaultAccount
Statement Request Of Specified Account
Fund Transfer From Default Account
Fund Transfer From Specified Account
NTC Recharge Card Request From Default Account
NTC Recharge Card Request From Specified Account
SKY CDMA Recharge Card Request From Default Account
SKY Recharge Card Request From Specified Account
Merchant Payment From Default Account
Merchant Payment From Specified Account
Foreign Exchange
Example: Foreign Exchange
KEYWORD FX
SMS
<PIN><Space>FX<Space><Currency>
SYNTAX
Usage
1234 FX USD
Example

2.3 Debit/Credit and ATM Card

Debit Card
A payment card that deducts money directly from a customers
checking account to pay for a purchase. Debit cards eliminate the need
to carry cash or physical check to make purchases. In addition debit
card also called check cards offer the convenience of credit cards and
many of the same consumer protections when issued by major
payment processors like Visa or Master Card.
Debit card service a dual purpose: they allow the user to
withdraw money from his checking account through an ATM or through
the cash-back function many the users to make the point of sale and
they also allow the user to make purchases.

Credit Card
A credit card is a card issued by a financial company giving the
holder an option to borrow funds usually at point of sale. Credit Cards
charge interest and are primarily used for short term financing. Interest
usually begins one month after a purchase is made and borrowing

7
limits are pre-set according to the individuals credit ratings. It is also
called revolving loan.

ATM Card
A plastic card used to withdraw money from a banking
institutions automatic teller machine (ATM). Sometimes this card may
also be used as a debit card but not all ATM cards have this capability.
It is also called assets card because it is working when the account
may have sufficient balance.
ATM Locations
CENTURY BANKS ATM
SN Locations Contact No
(VISA Network)
01-
1 Putalisadak
4412579/4428392

Sinamangal , Beside Airport 01-

2
Hotel 4412579/4428392

3 Newroad , Dhramapath-2 01-4242935/934

Manbhawan, Opposite of Hotel 01-

4
Clarion 5536117/5551959

5 Koteshwor, Kathmandu 01-4465228

6 Samkhusi-19, Kathmandu 01-4390612/13/14

Bhaktapur , Katunje - 7,
7 01-5092488/87/84
Suryabinayak

01-
8 Boudha, Kathmandu
4465893,4469525

Pokhara, Shabagrisha Chowk,

9 081-521086/87
Newroad

051-
10 Birgunj, Adarsha Nagar-7 533704/705/53430
2

11 Biratnagar, Golcha Chowk-7 021-522017/24/39

12 Belbari-3, Morang 021-546954/55/56

13 Bhojpur, Dandagaun -3 029-420644

8
 14 Khadbari, Pokhari-1 029-561086

15 Khotang, Ambagachhi, Diktel - 2 036-420646

16 Garuda Chowk, Opp. of RBB 055-565045/46/47

Dhangadi ,Sabjimandi
17 091-522472/73
-Mainroad, Kailali

18 Hetauda 057-527273/74

19 Birtamod 023-543990/91/92

20 Jaleshwor 044-521145/46

OM Hospital & Research Center,

21 6925021
Chabahil

22 Bhanu Chowk-1, Janakpur 041-525068/69

23 Kalanki, Kathmandu 01-4302319/20

24 Bhanjyang, Manthali 048-540474

Glaicer Hotel, Gaurighat,

25
Pokhara

26 Dharan
27 Butwal 071-550136/137
28 Narayangadh
29 Malangwa 046-521741/42

CHAPTER-III
CONCLUSION AND RECOMMENDATION

3.1 Conclusion

9
 The electronic technology has brought revolutionary change in the
area of banking. The elimination of paper as medium for processing
and storage of transaction has been a great event. Large volume of
information can be processed, stored and retrieved very economically
at terrific speed, which is not possible manually. Additionally,
innovation of online banking services saves time and cost of account
holder. Account holders can enjoy ATM, Debit and Credit Card etc.

3.2 Suggestion/Recommendation

During preparing this report we come to know the all aspects of

online banking services and on the basis of study following things can
be suggested to the bank as:
Reduce the online banking charges where absences of physical
Branches,
Make investment up to rural are, and
Make fast and growing e-banking services in compare with other
banks.

10