RECENT BANKING SYSTEM WITH SPECIALIZED TO SMART CARD Dr .Richa Mishra UCCMS , Udaipur Abstract: Introduction Today, we are having a fairly well developed Today, we are having a fairly well developed banking system. Trends in banking sector are banking system with different classes of banks – changing the industry and are having major public sector banks, foreign banks, private sector effects on consumer. Recent trends in banking banks – both old and new generation, regional sector fulfill with new technology who makes rural banks and co-operative banks with the life very simple to customers. Credit card, Reserve Bank of India as the fountain Head of ATM card n Smart card are very useful in the system. money transaction. They trends saves the time In the past customer rarely notice the computer of customer and also banks. in current system or new technology that made the scenario "Key to the global village", slogan is information system operate .Today E- banking, only fulfill by applicability of advanced smart card; credit Card. ATM is very important technology ,. Smart Cards will bring big in banking sector. Today website electronic changes to the way people provide and receive mails and electronic bill presentment and information and the way they spend money. payment system are in important way the banks They will have a profound impact on retailing to reach their customers. and service delivery. New trends in banking sector is changing the A Smart Card is like an "electronic wallet". It industry and is having major effects on banking is a standard credit card-sized plastic relationship. Recent trends in banking sector intelligent token within which a microchip has fulfill with new technology who makes life very been embedded within its body and which simple to customers. Credit card, ATM card n makes it 'smart' .The rest of the paper is Smart card are very useful in money transaction. organized as follows; the next section briefly They trends saves the time of customer also discusses the Recent trends in banking system banks. Smart Cards will bring big changes to the .section two looks into history of smart card way people provide and receive information and ,what is Smart card n types of smart cards and the way they spend money. They will have a their uses. Section three looks into some profound impact on retailing and service application areas, their advantages and delivery.A Smart Card is like an "electronic benefits in this section the future directions of wallet". It is a standard credit card-sized plastic smart card technology giving more emphasis intelligent token within which a microchip has to security consideration and memory been embedded within its body and which makes management among others. The section also it 'smart'. It provides not only memory capacity, discusses some areas that need further studies but computational capability as well and thus the in order to improve the current state of smart chip is capable of processing data. It has gold cards so that they can fit into the future contacts that allow other devices to communicate growing banking system. Finally, the paper with it. This chip holds a variety of information, concludes in four sections . like medical/healthcare records. New Keywords: Banking System, Smart card, information and applications can be added advantage, benefit depending on the chip capabilities. Smart Cards ISSN (PRINT): 2393-8374, (ONLINE): 2394-0697, VOLUME-4, ISSUE-6, 2017 46 INTERNATIONAL JOURNAL OF CURRENT ENGINEERING AND SCIENTIFIC RESEARCH (IJCESR) can store several hundred times more data than a providing credit card facility to their clients to conventional card with a magnetic stripe and can offer them better and simpler financial solutions be programmed to reveal only the relevant to their problems’ credit card generally works by information. giving its holder an immediate authority to purchase services and goods such as travel and Objective of the study: hotel reservations as well as shopping for merchandise in and outside your own country. To determine the recent trends in banking All the credit card comes with a credit limit, sector. To determine the relation banking and 2. Debit Card:- payment card that deducts society, new technology & society and money directly from a consumer’s checking smart card & society. account to pay for a purchase. Debit cards eliminate the need to carry cash or physical To know about the impact of new checks to make purchases. In addition, debit technology of banking system as like cards, also called check cards, offer the smart card on society. convenience of credit cards and many of the To know about the new technology and same consumer protections when issued by recent trend in banking system. major payment processors like Visa or MasterCard. Unlike credit cards, they do not To study the new trends in banking allow the user to go into debt, except perhaps for system and its products. small negative balances that might be incurred if RESEARCH METHODOLOGY the account holder has signed up for overdraft coverage. However, debit cards usually have Sample size and methods of selecting daily purchase limits, meaning it may not be sample :- possible to make an especially large purchase For the satisfying the major objectives of the with a debit card. research, I have gone for both primary and secondary data collection. Read more: Debit Card Source of data collection:- http://www.investopedia.com/terms/d/debitcard. Research will be based on two sources. asp#ixzz4jsXuv0yn A). PRIMARY DATA Follow us: Investopedia on Facebook Questionnaire: 3. ATM:- Primary data was collected by preparing An automated teller machine or automatic teller questionnaire for customers. machine (ATM), also known as a Cash point B). SECONADARY DATA (which is a trademark of Lloyds TSB), cash Secondary data will consist on different literature machine or sometimes a hole in the wall in like books, which are published, articles, British English, is a computerized Internet, Different banks manuals and website telecommunications device that provides the of banks, different website of relevant to smart clients of a financial institution with access to card.In order to research relevant conclusion, financial transactions in a public space without research work needed to be designed in a proper the need for a cashier, human clerk or bank teller. way. ATMs are known by various other names Recent trends including ATM machine, automated banking 1. Credit Cards:- machine, and various regional variants derived Everyone carries a card these days. A credit card from trademarks on ATM systems held by is basically a plastic card with a magnetic strip particular banks. On most modern ATMs, the invented with the intention to simplify the customer is identified by inserting a plastic ATM complicated banking process for an individual in card with a magnetic stripe or a plastic smart card case he/she is short of cash, be it something with a chip, that contains a unique card number casual like shopping or something severe like an and some security information such as an emergency situation. Various banks and private expiration date or CVVC (CVV). Authentication financial organizations have now started ISSN (PRINT): 2393-8374, (ONLINE): 2394-0697, VOLUME-4, ISSUE-6, 2017 47 INTERNATIONAL JOURNAL OF CURRENT ENGINEERING AND SCIENTIFIC RESEARCH (IJCESR) is provided by the customer entering a personal coupled with rapid revolution in communication identification number (PIN). technologies and evolution of novel concept of 'convergence' of computer and communication Uses of ATM in banking sector Cash technologies, like Internet, mobile phone etc. Withdrawal and Balance Enquiry, Cash /Cheque Deposit, Bill Payments, Sale of Paper Based Products:- E- Banking & internet:- The impact of e-banking is not limited to Bank and Information technology:- industrial and advanced emerging economies. In the five decades since independence, banking Even in countries with underdeveloped banking in India has evolved through four distinct phases. systems, E-banking has offered many new During Fourth phase, also called as Reform business opportunities. Phase, Recommendations of the Narasimham In simple words, e-banking implies provision of Committee (1991) paved the way for the reform banking products and services through electronic phase in the banking. delivery channels. Electronic banking has been Entry of new banks resulted in a paradigm shift around for quite some time in the form of in the ways of banking in India. today is in the automatic teller machines (ATMs) and telephone midst of an IT revolution. transactions. In more recent times, it has been Information Technology has basically been used transformed by the internet a new delivery under two different avenues in Banking. One is channel that has facilitated banking transactions Communication and Connectivity and other is for both customers and banks. For customers, the Business Process Reengineering. Information internet offers faster access, is more convenient technology enables sophisticated product and available around the clock irrespective of the development, better market infrastructure. customer’s location. For banks, it is a much more The middle and late 90s witnessed the tornado of efficient and cost- saving channel financial reforms, deregulation, globalization etc ISSN (PRINT): 2393-8374, (ONLINE): 2394-0697, VOLUME-4, ISSUE-6, 2017 48 INTERNATIONAL JOURNAL OF CURRENT ENGINEERING AND SCIENTIFIC RESEARCH (IJCESR) SMART CARD APPLICATION