Digital Transactions and Modern Banking Services: An Assessment in the Public Sector Banks of Bangalore Metropolitan

Abstract

Digital transactions are an integral part of the modern banking services of the financial institutions, particularly of the scheduled commercial banks. The transactions having been technology supported, attracted most of the new generation customers from late eighties. Interestingly, new generation products and services of the banks have also been designed to encourage digital transactions in India. However, the augmented thrust on modern banking services have thrown open new challenges like erosion of social face of the banks besides denting the banker - customer relationship, as imposed by the process of nationalization of banks. This research has presented a detailed account of the modern banking services based digital transactions in the context of public sector banks in a metropolitan setup of southern part of the country. With empirical evidence and the data support, the paper has classified the financial products and services into two major categories as traditional and modern banking services. After having captured the concern of the main stakeholders (bankers and customers), the research has offered a good number of policy implications to sensitize the necessary changes in the banking sector in order to upkeep the social banking intact and not to lose sight of the public in general and customers in particular.