Internet banking / Mahani Muhamad

The objectives of the study is to built awareness to the society of Internet Banking and Electronic banking, the advantages, impact and factors that affect the adoption of the new technology in our industry. i.e Internet Banking.
The data for this study was collected using articles, journals, text book, research and also interviews of Financial Institution's staff and customers on the Internet Banking.
From the research, it can be concluded that Electronic impulses will be the dominant transfer messengers of the future. They will eliminate from a vast array of electronic hardware known only by strange acronyms and covered by the super acronyms Electronic Fund Transfer transaction. The changing technology in electronic banking will add another dimension to the dynamic and complex world of the financial services industry. The interaction of new technology and the processes of financial innovation and product diffusion will shape the financial service industry of the future, one in which financial services firms also will be known for their processing of information flows and communications. The current trend in the electronic revolution that has set in motion the Malaysian banking sector inevitably appears to be Internet Banking. The advent of Internet Banking offers banking firms a new frontier of opportunities and challenges. Despite these possibilities, there are various psychological and behavioral issues such as trust, security of Internet transactions, reluctance to change and preference for human interface that appear to impede the growth of Internet banking. Consequently, the action taken by financial institutions and policy makers in appropriately addressing these critical issues will determine the success of Internet Banking.
Financial Institutions must play certain role in order to ensure the success of the Internet Banking such as greater promotional efforts to create greater awareness of Internet Banking and its benefits to the Malaysian society since Internet banking services is encouraging and is indicative of a bright future for Internet Banking in Malaysia.