Internet banking has been around for a while now and it’s something we all use. Previously, most account holders sent money using internet banking, but now with the proliferation of mobile wallets and UPI payment systems, internet banking is definitely facing stiff competition.
However, do you know that there are many other things you can do with internet banking other than just transfer money?
Well yes. Internet banking allows you to do many other things besides banking. Here is an overview:
Open deposit accounts
Banks allow you to open deposits from your net bank account without having to go to a branch. You can open a fixed deposit, a recurring deposit or a tax deposit account. The process is quite simple. You need to enter details such as start date, tenure, how you want to receive your interest and other details and you can open a recurring deposit account online. You can also check interest rates before opening an account. You do not need to submit KYC documents as the bank already has them.
Apply for loans
You can use an app to apply for different loans through your net bank account. These can be personal loans, gold loans, car loans, motorbike loans, home loans or even loans against FDs or mutual funds. Since you are a bank customer, there are several advantages. The bank already has your documents and other details. You can check your loan eligibility very quickly by entering some basic details.
Many banks also let you view pre-approved loan offers through the app. Once you know your loan eligibility, you can apply for the loan through the app and also get prime approval within minutes. Once you have applied for a loan, a bank official will contact you to process the loan. Some loans like personal loans can also be approved and disbursed within hours, since the KYC is already done.
Start an investment
If you have an investment or demat account with the bank, you can also invest directly in stocks and mutual funds from your app. When you invest in stocks, the app will redirect you to your demat account. Many banks offer 3-1 demat accounts which include savings, trading and an investment account, all in one. So you can directly invest using the money in your account and get the redemption proceeds into your account.
However, when investing in mutual funds through a banking app, check to see if the app sells you funds from a certain fund house or gives you the option to choose your fund house. If the bank has a connection with a fund house and offers you funds only from that AMC, it may not be a good idea to invest in mutual funds through an app.
Manage your cards
You can also manage your credit and debit cards from your app. If you lose or misplace your debit or credit card, you can use the app to block it instantly. If your credit card is from the same bank and registered, you can check your credit card bill and make bill payments directly from your bank account. You can also view the offers you qualify for and upgrade your credit card.
Mobile applications also allow you to request a checkbook or stop payment by check from your application. Used intelligently, the banking application installed on your smartphone is practical to use.