Alternative Banking Channels

Alternative banking channels abc refers to other banks platforms that enable bank customers to transact their businesses without necessarily visiting bank halls or carrying cash.

Alternative banking channels. Alternative banking channels are faced with risks including performance risk financial risk and operational risk among others. With these platforms one can pay for. An empirical study of public and private sector banks find read and cite all. According to howcroft 1993 alternative distribution channels provides convenient alternatives to branch banking.

Creating differentiation recent economic turmoil and increasing market complexity has placed unprecedented pressure on financial institutions. Hence abc includes electronic payment platforms such as automated teller machine atm point of sale pos mobile banking web internet banking amongst others abu 2016. It is also known as e banking electronic banking online banking virtual banking direct banking and high tech banking. Alternative delivery channels are prone to issues including customers reluctance to use electronic interactions for wealth management decisions cyber attacks on portals server maintenance in order to support high traffic and unauthorized access and fraudulent transactions.

Kumbhar and others published alternative banking channels and customers satisfaction. Alternative delivery channels vs branch based banking services in the table below we match each channel with critical variables income segment and average transaction value. Atm automatic teller machine 2. Alternative channels alternative banking as the name suggest is the newer method of carrying on banking operations 2.

These occurrences can have a negative effect on the financial performance of the banks. Alternative channels of banking 1. In the traditional banking system customers need to.