ACCOUNT KIT & INTERNET

BANKING
 WHAT ACCOUNT KIT CONTAINS?
• WELCOME LETTER
• DEBIT CARD
• DEBIT CARD PIN
• CHEQUE BOOK
• PASS BOOK
• CODE OF BANK COMMITMENT’S TO
CUSTOMER
• MOST IMPORTANT TERMS AND CONDITION
OF DEBIT CARD
 DEBIT CARD
• A debit card (also known as a bank card, plastic card or check card) is
a plastic payment card that can be used instead of cash when making
purchases. It is similar to a credit card, but unlike a credit card, the money
comes directly from the user's bank account when performing a
transaction
• Most INDIAN banks issue VISA and Maestro debit cards.
• NATIONAL PAYMENT CORPORATION OF INDIA introduced RUPAY card
 ADVANTAGES OF DEBIT CARD
• No need to carry cash.
• Does not increase your debt.
• Use of debit card is limited to existing funds in
the account of which it is linked.
• A customer who is not credit worthy may find
it difficult to obtain a credit card more easily
than a debit card .
 CHEQUE
• A cheque is a negotiable instrument instructing a financial institution to pay a
specific amount of a specific currency from a specified transactional
account held in the drawer's name with that institution. Both the drawer and
payee may be natural persons or legal entities.
 TYPES OF CHEQUE
• BEARER CHEQUE
• ORDER CHEQUE
• CROSSED CHEQUE
• BLANK CHEQUE
• POST DATED CHEQUE
• ANTI DATED CHEQUE
• STALE CHEQUE
• MUTILATED CHEQUE
• TRAVELLERS CHEQUE
 ESSENTIALS OF A CHEQUE

• 1. It must be in writing: A cheque must be in writing. An oral order to pay does not
constitute a cheque.
• 2. It should be drawn on banker: It is always drawn on a specified banker. A cheque can be
drawn on a bank where the drawer has an account, saving bank, or current.
• 3. It contains an unconditional order to pay: A cheque cannot be drawn so as to be payable
conditionally. The drawer’s order to the drawee bank must be unconditional and should not
make the cheque payable dependent on a contingency. A conditional cheque shall be invalid.
• 4. The check must have an order to pay a certain sum: The cheque should contain an order
to pay a certain sum of money only. If a cheque is drawn to do something in addition to, or
other than to pay money, it cannot be a cheque. For example, if a cheque contains ‘Pay USD
500 and a TV worth USD 500 to A‘ it is not a cheque.
• 5. It should be signed by the drawer and should be dated: A cheque does not carry any
validity unless signed by the original drawer. It should be dated as well.
• 6. It is payable on demand: A cheque is always payable on demand.
• 7. Validity: A cheque is normally valid for six months from the date it bears. Thereafter it is
termed as stale cheque. A post-dated or antedated cheque will not be invalid. In both cases,
the validity of the cheque is presumed to commence from the date mentioned on it.
• 8. It may be payable to the drawer himself: Cheques may be payable to the drawer
himself/herself. It may be drawn payable to bearer on demand unlike a bill or a pro-note.
Explanation on bottom of a cheque
• First six digits xxxxxx represent cheque number
• The next 9 number after cheque number represents “MICR CODE”.MICR is
Magnetic ink character recognition. MICR code helps bank to identify the
bank and branch that has issued the cheque ,basically bank uses cheque
reading machine which identifies bank and branch code to sort the
cheques faster .MICR code can be broken into 3 parts.1.
1.City code- First three digits represents city code ,it is same as pin code of
the city.
2.Bank code- Next three digits represent bank code.
3.Branch code –Last three digits represent the branch code.
• Finally last two digit represent Transaction id, this indicates whether
cheque is a local cheque or payable at par cheque.
PASS BOOK
 INTERNET BANKING
• Online services started in New York in 1981
when four of the city’s major bank :
• CITI BANK
• CHASE MANHATTAN
• CHEMICAL BANK
• MANUFACTURERS HANOVER
-Offered home banking services using the video
text system.
 What is Internet banking?
• Internet banking allows you to conduct bank transactions
online, Instead of finding a bank and interacting with teller.
• In broad sense ,it is use of electronic means to transfer funds
directly from one account to another account ,rather than by
cash or cheque.

• Definition
• “A system of banking in which customers can view their
account details, Pay bills and transfer money using internet”
SERVICES THROUGH NET BANKING
• Viewing account balance
• Downloading bank statement
• Loan application and transactions
• Ordering cheque book
• Bill payment
• Shopping
• Ticket booking
• Fund transfer
• Credit card details
• Apply for IPO
 How to access internet banking ?
• Step 1- Obtain username and password from
your bank .
• Step 2-GO to your bank website
• Step 3-click on login
• Step 4- enter your login id and password
Advantages of Internet banking
Disadvantages of Internet banking
Conclusion