Tele Banking
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Transcript of Tele Banking
Telebanking
Introduction
Telebanking is a throwback to the days when people would call into a central number at
their bank institution in order to get balance, check status and other account-related information.
Telephone banking times can be longer than branch opening times, and its offer the
service on a 24 hour basis. From the bank's point of view, telephone banking reduces the cost of
handling transactions by reducing the need for customers to visit a bank branch for non-cash
withdrawal and deposit transactions.
To use a telephone banking facility, a customer must first register with the institution for
the service, and set up some password for customer verification. The password for telephone
banking is normally not the same as for online banking. In banks now routinely allocate
customer numbers, whether or not customers intend to access their telephone or online banking
facility. Customer numbers are normally not the same as account numbers, because a number of
accounts can be linked to the one customer number. The customer will link to the customer
number any of those accounts which the customer controls, which may be cheque, savings, loan,
credit card and other accounts.
To access telephone banking, the customer would call the special phone number set up by
the bank, and enter on the keypad the customer number and password. Some banks have set up
additional security steps for access, but there is no consistency to the approach adopted. Most
telephone banking services use an automated phone answering system with phone keypad
response or voice recognition capability. To ensure security, the customer must first authenticate
through a numeric or verbal password or through security questions asked by a live
representative.
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The types of banks which a customer may transact through telephone banking include
obtaining account balances and list of latest transactions, electronic bill payments, and funds
transfers between a customer's or another's accounts. Cash withdrawals and deposits require the
customer to visit an automated teller machine or bank branch.
Telephone banking is a service provided by a financial institution that enables customers
of the financial institution to perform financial transactions over the telephone, without the need
to visit a bank branch or automated teller machine. Telephone banking times can be longer than
branch opening times, and some financial institutions offer the service on a 24 hour basis. From
the bank's point of view, telephone banking reduces the cost of handling transactions by reducing
the need for customers to visit a bank branch for non-cash withdrawal and deposit transactions.
To use a financial institution's telephone banking facility, a customer must first register
with the institution for the service, and set up some password (under various names) for customer
verification. The password for telephone banking is normally not the same as for online banking.
Financial institutions now routinely allocate customer numbers (also under various names),
whether or not customers intend to access their telephone or online banking facility. Customer
numbers are normally not the same as account numbers, because a number of accounts can be
linked to the one customer number. The customer will link to the customer number any of those
accounts which the customer controls, which may be cheque, savings, loan, credit card and other
accounts. Some financial institutions have restrictions on which accounts may be access via
telephone banking.
To access telephone banking, the customer would call the special phone number set up by
the financial institution, and enter on the keypad the customer number and password. Some
financial institutions have set up additional security steps for access, but there is no consistency
to the approach adopted. Most telephone banking services use an automated phone answering
system with phone keypad response or voice recognition capability. To ensure security, the
customer must first authenticate through a numeric or verbal password or through security
questions asked by a live representative.
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The types of financial transactions which a customer may transact through telephone
banking include obtaining account balances and list of latest transactions, electronic bill
payments, and funds transfers between a customer's or another's accounts. Cash withdrawals and
deposits requires the customer to visit an automated teller machine or bank branch.
A customer may not be able to use telephone banking on particular bank accounts with a
financial institution, such as loan accounts, but bank rules vary in this respect.
The process involves using the keypad on a touch-tone telephone to perform a variety of
banking functions. Along with traditional banks, phone banking is also utilized extensively by
online banking institutions, including banks that conduct business primarily with the use of
telephone technology.
The concept of telephone banking has been around for several decades. Initially, the
process required manual intervention by a bank employee. Customers would call into the bank,
answer questions to verify their identities, and submit queries to the service representative. While
somewhat labor intensive, this approach did make it possible to conduct a number of banking
transactions from the comfort of home.
With the advent of touch-tone services, the idea of telephone banking took on a new
direction. Instead of connected with a live bank representative, customers could use the keypad
on a touch-tone phone to enter an automated system and obtain information on bank accounts as
of the latest posting day. One advantage of this newer approach is that bank customers could call
any time of the day or night and check the status of their accounts. As technology continued to
progress, the scope of functions that could be performed with the automated system expanded,
making the service even more valuable to customers.
Tele banking system is and interactive voice Response (IVR) application which uses a
telephone to access information from a database. It is an easy to use, cost effective and
innovative solution designed to meet user needs for electronic banking application. It provides
communication between information in IVRS system and off-site telephone caller/customer.
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There are several ways that a telephone banking service may be configured. Some
function off a validation process that includes voice recognition before access to the customer
accounts is granted. Other systems make use of login credentials such as user names and
passcodes that must be entered using the telephone keypad. Once the customers enters the
correct data, the automated system makes it possible to perform a wide range of functions in
relation to the accounts connected with the login credentials.
The typical bank telephone customer can access his or her accounts to perform a variety
of functions. Balances can be checked and the latest activity can be reviewed. The customer can
also transfer funds between accounts using telephone banking, as well as order more checks,
make loan payments, or request information on other services the bank offers.
In addition to use by traditional banks, telephone banking is also utilized by virtual banks
that rely heavily on telephone and Internet access to process transactions and provide
information to customers. Telephone banks generally function primarily by establishing access
credentials that can be used on any telephone with touch-tone service. In addition, the
transactions or queries can be conducted around the clock, an advantage that allows the
telephone bank to seek clients in any area of the world where the bank is authorized to conduct
business. While online banking access has become very popular today, most banking institutions
continue to offer telephone banking services at no charge to their customers.
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Overview of Study
With Telebanking you can manage your account from the comfort of your home, from
your office or from another location anywhere in the world. We are available from 7 a.m. to
10 p.m. daily.
Telephone banking offers you:
broad functionality for domestic and foreign payment operations with the possibility to
save templates for repeat payments
topping up of prepaid SIM cards (T-Mobile, Telefónica O2, Vodafone)
establishing, changing and cancelling of term deposits;
sending of SMS and email reports e.g.on balances and transactions
summary of accounts and balances and history of transactions
summary of debit and credit cards
summary and history of securities transactions
Benefits of Telebanking
lower-cost and more effective service for your account
wide range of banking services
make payments with the assistance of a telephone banker
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History of ATM & Telebanking
1972 (July) 14 Bankettes were installed in Toronto.
1980 (May) Royal Bank rolled out its automated banking machine network nationally with the
installation of its first Personal Touch Banking machine in Calgary.
1985 (November) Royal Bank's automated banking machine network was officially linked
with the Plus System Network, one of the largest shared automated banking machine networks in
the United States. Royal Bank was Plus System Inc.'s first international partner.
1985 The Personal Touch Banking machine network increased to 900 machines, each
processing an average of 10,000 transactions per month. Consumer acceptance of banking
machines surpassed the bank's most optimistic expectations.
1985 Royal Bank became a founding member of Interac, the shared banking machine network
in Canada that offered customers convenient access to their money at any participating financial
institution's automated banking machine.
1986 (August) Royal Bank introduced two new types of specialized banking machines in
Ontario: the Passbook Account Updater, allowing Royal Bank customers to update their
passbooks, and the Royal Bank Cash Counter, a cash dispensing automated banking machine
small enough to be placed in off-bank premises.
1986 (October) An instruction kit designed to help visually impaired clients use Personal
Touch Banking machines was distributed to all Royal Bank branches.
1988 (October) Royal Bank piloted Personal Touch Payment in London, Ontario - a new debit
card service where clients could use their Royal Bank Client Cards to pay for purchases directly
from their accounts at point-of-sale terminals.
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1990 (October) The Interac Association, representing all of Canada's major financial
institutions, piloted its debit card service, Interac Direct Payment Service, in the Ottawa/Hull
region.
1992 Royal Bank had a total of 2,145 full-service Personal Touch Banking machines, 1,653
Cash Counters and 266 Account Updater machines across Canada.
1992 Royal Bank's discount brokerage service, Action Direct, launched TelAction.
1993 (March) Royal Bank launched CashTouch, a nationwide telephone banking service for
business clients, the first service of its kind in Canada. CashTouch gave clients remote access to
account information and transactional services through an interactive voice response system.
1994 (Fall) Royal Direct, offering customers telephone banking "at anytime, from anywhere",
was launched from its state of the art telecommunications centre in Mississauga, Ontario.
1994 (May) Royal Direct officially opened in high tech facilities in Moncton, New Brunswick
- its second national telephone banking centre. View Image
1995 (July) Royal Bank launched the "Phantom," a new Interac Direct Payment device that
offered merchants the widest variety of functions of any Interac product available in Canada.
1995 (November) In London, Ontario, Royal Bank began a three-year project designed to
develop and test new automated banking machine functions including: deposit account and VISA
statements, transfers and withdrawals from Royal Credit Lines, lump sum payments on personal
loans, and U.S. dollar and U.S. dollar travellers cheques dispensing.
1996 (December) Royal Mutual Funds launched Invest By Phone, enabling investors to buy,
sell or transfer RMF units by phone from anywhere in Canada or the continental United States.
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1996 (December) After two years in operation, enrolment in Royal Direct Telephone Banking
surpassed 900,000 clients - expanding daily by 2,000 clients - making it the fastest growing
telephone banking service in the world.
1997 (February) Two new automated banking machines that dispensed U.S. dollars and Royal
Bank VISA travellers cheques in U.S. dollars (a first for a Canadian financial institution) were
piloted in London and Toronto.
1997 (July) Royal Bank introduced the Royal Business OperatingLine group of self-managed
financing products. The service allowed business clients to manage their own operating line of
funds with round-the-clock electronic access via banking machines, telephone banking, or online
banking.
1997 (October) Royal Bank launched Canada's first Audio Banking Machine.
1998 (Spring) Royal Bank began pilot testing innovative Business Banking kiosks in six
Ontario locations. The kiosks provide Royal Bank Business Banking clients with access to an
automated banking machine, night depository, automated rolled-coin dispenser, individual
mailboxes, and a dedicated phone link to a 24-hour help desk.
1999 (May) Royal Bank and Microcell Solutions Inc., the national provider of Fido PCS
Service, announced plans to pilot wireless banking services that give Microcell customers access
to Royal Bank financial services directly from their Fido handset display.
2000 (September) Royal Bank introduced Mobile Banking. Offered in partnership with
Microcell Solutions Inc., national provider of Fido® Personal Communications Services (PCS),
the service provides wireless transactional banking services through Fido's Access Finances
feature. Customers use their Fido handsets to check account balances, transfer funds, and pay
bills.
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Overview of Telebanking
Tele-Banking system developed by Webyfy is for demonstrating the feasibility of
creating a very large IVR system using the WTalk application Frame work. The system can
manage both inbound and out bound calls and can integrate with Internet, SMS, Fax, email,
customer enterprise and Core banking systems. The components which constitutes the system are
The processes (Types of services that are provided through the system)
Voice files
External system communication parameters
Methods of communicating with external systems like SMS, email, Fax etc
Rules for Out Bound calls
Functionalities
The TeleBanking system has two modes of operation namely; Inbound and Outbound.
Both modes can be operated simultaneously through different or same infrastructure. Inbound
mode receives calls and the caller is navigated through a predefined menu; primarily intended for
an existing customer. Out bound system helps in carrying out telemarketing activities or
intimating the existing customers about specific warnings like a cheque bounce or lack of
balance in an account etc.
Inbound Functions
Following features are provided to the customers of the Bank for IVR (interactive voice
response) based self service.
The customers calls and logs in using a log in id and password to access the TeleBanking system.
In order to ensure security, the customers can be asked to change the PIN number on the first log
in.
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The following are some of the services that can be provided
1. Accept request from a customer for facilitating TeleBanking.
2. Change password compulsorily on first time use of Phone Banking services.
3. Check your account balance
4. Request to send the last five transactions by SMS And / Or email to the customer
5. Check balances in various accounts like savings account, current account, or loan account
6. Enquire on the status of cheques issued
7. Enquire on the cheques deposited
8. Order a Cheque Book / Account Statement
9. Stop Payment for a cheque or a series of cheques
10. Loan related queries like placing request, checking on the approval status
11. Request to Contact Bank Executives for certain services
12. Enquire on your Fixed deposits / TDs
13. Transfer Funds between accounts in different branches if they are under the same
customer ID
14. Request a Demand Draft / Manager's Cheque
15. Pay Bills
Telephone bills,
Insurance Premium
Electricity Bills
Water and other services bills etc
16. Report loss of your ATM / Debit Card / ForexPlus Card
Outbound Functions
The Out Bound system can be used for primarily for two purposes. Telemarketing and for
issuing messages to customers. The telemarketing efforts can be for new prospect acquisition or
for getting feedbacks from a market segment. These calls can also gather information from the
called persons.
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Under the following situations, the system can initiate an out bound call and get
acknowledgement from the customer.
1. Loan payment default
2. No minimum balance
3. Bounced cheques
4. Loan approvals
5. Submission of documents for loan approval
6. Approval of loans
Hierarchy of services in a Banking Tele portal
Architecture
For data exchange, WTalk can connect to systems within an Enterprise LAN or
connected through the Internet. DCOM (Distributed Component Object Model) is used for the
former and SOAP (Simple Object Access Protocol) is used for the later.
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The TeleBanking system has significant interaction with Core Banking system and hence
it is recommended that it is hosted with in the enterprise Framework. However various methods
are shown in the diagram given below. DCOM will be faster than SOAP in fetching the data.
Process Execution Modules in a typical Tele-Banking system.
Process Flow
To make the processes IVR (interactive voice response) enabled, the flow need to be
plotted. Simple flow charts may be created to represent the processes. These charts can be
analyzed for its purpose and integrity. The flow chart aids creation of execution scripts and
Voice User Interface (VUI).
The following process flows are representative flow charts for a TeleBanking system.
Process Flow of the Initial Customer Interaction
Process Flow of Transactions with Savings /Current Account
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Script Creation
The business process flows can be converted into IVR Execution Script using WTalk
Script Generation Engine. The actions can be defined along with required resources.
The script traverse paths can be automatically tested.
Requirements
The system is designed to operate in Microsoft Windows platform. The system can
support CTI (Computer telephony integration) Hardware and TTS (The Transplantation
Society) / ASR (Active Search Results) engines from multiple vendors.
The hardware requirement depends on the traffic, mode of integration and method of data
exchange with external systems.
The requirements are
1. WTalk servers with CTI hardware
2. Database servers
3. Fire walls
4. DCOM servers / communication and control servers
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5. Web sever in case SOAP connection through internet is required OR access is
provided to customers for reports and/or alterations of process or data
6. Internet access
Customization
The following methodology is recommended for creation script of an IVR (interactive voice
response) system.
1. Identify the service that can be offered through a voice based system
2. Split the services into multi level actions
3. Plot the services and actions in a process map
4. User WTalk script generator to convert the process map into an IVR (interactive
voice response) action script
5. Conduct multi mode automatic Testing of the system
6. Run the WTalk Real life Simulator and test the functionality and process flows.
7. Analyze the log files and take corrective actions
8. Identify the data input and outputs
9. Use the WTalk tools appropriately for exchanging the data with Enterprise system
10. Install the system along wit hardware
11. Test the installation with call flow paths created by WTalk
Telebanking Password
The Telebanking password is a six-digit number and represents one of the security
details. You have received your Telebanking password by post in a special registered mail. The
same registered mail contains also the client number and the Telebanking password.
The Telebanking password is used:
For verification in the SERVIS 24 Telebanking service,
In user unblocking.
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For these purposes it is always necessary to use the current Telebanking password, i.e. the
Telebanking password, which is valid after its last change.
The Telebanking password can be changed through the automatic voice service. With the
telephone banker’s assistance you can also ask for the generation of a new password for
Telebanking which will be sent to you by post. The validity of the original Telebanking
password will be terminated as soon as the new security details are created.
An example of the registered mail content with security details
Services:
Balance enquiry - Deposit Accounts and Loans.
Fund transfer (linked accounts) Bill payment.
TPIN (Tele banking personal Identification Number) Change.
Cheque book request.
Statement request.
Fixed Deposit (FD) / Savings rate enquiry etc.,
Account Balance
Review your financial transactions and account activity with telebanking
1 Call (973) 17214444
2 Select 'Language'
3 Press 1 for 'Account Operations'
4 Enter 'Customer ID' followed by the # key
5 Enter 'ePIN' followed by the # key
6 Press 1 for 'Account Balance'
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Mini Statement
Review your financial transactions and account activity with Telebanking
1 Call (973) 17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Select 4 for ‘Account Statement’
7 Select 1 for the last five transactions
Previous Statement
Review your financial transactions and account activity with Telebanking
1 Call (973)17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Press 4 for ‘Account Statement’
7 Press 2 for the ‘Previous Statement’
8 Enter From Date : DDMMYYYY - Day (2 digits), Month (2 digits) and Year (4
digits)
9 Enter To Date : DDMMYYYY - Day (2 digits), Month (2 digits) and Year (4
digits)
10 Enter fax number followed by the # key
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Current Statement
Review your financial transactions and account activity with Telebanking
1 Call (973) 17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Press 4 for ‘Account Statement’
7 Press 3 for the ‘Current Statement’
8 Press 1 to receive information by fax then enter fax number followed by the # key
9 Press 2 to send information to registered mailing address
Fund Transfer
Transfer between your accounts in real-time
1 Call (973)17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Press 3 for Fund Transfer
7 Select ‘From account’ and ‘To account’
8 Enter the amount including 3 decimals followed by the # key
9 Press 1 to confirm the entered telephone number, amount and from account or 2
to cancel
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Cheque Book Request
Request through Telebanking with a simple phone call!
1 Call (973) 17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Press 7 for ‘Cheque Book Request’
7 Enter the number of books required followed by the # key
8 Enter contact number
9 Press 1 to confirm the entered telephone number, amount and from account or 2
to cancel
Bill Payment
Perform real-time Zain bill payment from account with a simple phone call!
1 Call (973) 17214444
2 Select ‘Language’
3 Press 1 for ‘Account Operations’
4 Enter ‘Customer ID’ followed by the # key
5 Enter ‘ePIN’ followed by the # key
6 Press 2 for ‘Bill Payment’
7 Enter telephone number followed by the # key
8 Enter the amount including 3 decimals followed by the # key
9 Press 1 to confirm the entered telephone number, amount and from account or 2
to cancel
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Change ePIN
Change your ePIN with a simple phone call anywhere and anytime!
1 Call (973) 17214444
2 Select ‘Language’
3 Press 2 to change ePIN
4 Enter ‘Customer ID’ followed by the # key
5 Enter current ePIN followed by the # key
6 Enter new ePIN followed by the # key
7 Enter new ePIN again followed by the # key
Cheque Book Request using IVR (interactive voice response) System
A person who has an account - whether it is savings, current or any other - in a bank will
naturally expect excellent services from their bank. They will compare the services provided
with those that of other banks. It doesn't mean that a bank having a big list of value-added
services would have the maximum number of customers. The customers will consider many
other factors also like time, hospitality, consistency, punctuality etc. For example, if a bank
having a big list of value-added services is not serving on time, then what is the use of having an
account there.
In the present scenario, to request for and get a new cheque book, the customers have got
only two options. Either walk down to the bank to request for a new cheque book and collect it
or use Internet banking facility, if available, to send a request through e-mail for the cheque book
and ask the bank to courier it.
In this speed age, walking down to the bank to request for the cheque book and collecting
it is a time consuming task. There is another main drawback for this option - it can be done only
during the banking hours.
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Then they have to go for the other option - Internet banking. For this, they need
computers, Internet connectivity and sufficient working knowledge. All customers need not have
this infrastructure. Even if anybody has, they have to sit in front of the system to get the
information.
IVR (interactive voice response) system developed by Xtend Technologies Pvt. Ltd. can
easily handle the Tele-banking enquiries, which will help the banks streamline their staffs to
more manual-intensive jobs thus enhancing productivity and reducing paper environments.
Role of an IVR (interactive voice response) System
Implementation of an interactive voice response (IVR) system to automate the provision
of the cheque book request enquiry can easily replace the labour-intensive manual activities of
the banks. The new system can streamline and standardise the process at a substantial cost
savings. This like a normal telephone enquiry system facilitates enquiries in the form of a request
for the issue of a new cheque book to the caller.
IVR (interactive voice response ) based automated information systems using ordinary phones
are becoming very popular and affordable these days. Instead of relying on word of mouth that is
quickly out of date and expensive, automatic phone messaging lets you contact the right point
and get the most accurate, reliable and latest information instantly from your seat!
A user-friendly automated service menu offers you convenient access to your account coupled
with security as all your transactions are protected by your PIN (Personal Identification
Number).
In general, the IVR (interactive voice response ) access mechanisms for Tele-banking are
as follows. For deposits, the customer would need to key-in his ATM/Debit card number and its
corresponding ATM PIN or the Bank Account Number and the corresponding PIN. For credit
cards, the customer would need to key-in his 16-digit card number and its corresponding ATM
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PIN. For Demat account holders, the customer would need to key-in his 14-digit demat account
number and its TPIN. For Bond account holders, the customer would need to key in his bonds
holder number only.
In addition, instead of going for the automated service, if you need any assistance on your
banking needs, you can speak to any of the friendly customer service officers.
Using an IVR (interactive voice response ) system, a customer can get controlled access
to his accounts information and can easily retrieve the latest information on the various Tele-
banking services provided by the bank such as cheque book request. When a person dials the
number from an ordinary telephone, he is automatically taken into the IVR (interactive voice
response ) system because the telephone line is connected directly to it. After the welcome
message, the system will first ask the caller to 'press 1' to get their latest account balance status or
'press 2' to get their mini statement on the last five transactions or 'press 3' to go to the 'cheque
book request' and so on.
If the caller presses 3 on his phone keypad after the welcome message, he will be directed
to the cheque book request module. The caller will then get a voice message to press 1 for
Saving Bank Account or press 2 for Current Account, etc. When the caller presses the desired
key, he/she will be asked to key-in his/her account number. This part will identify the customer.
Now, for authentication, again they will be asked to enter their PIN (Personal Identification
Number). Once the customer is authenticated, he/she will be asked to 'press 1' for a cheque book
request or 'press 2' to go to other services. When the caller presses 1, his request for a new
cheque book will be registered in the bank's database. After processing, the bank will deliver the
cheque book at the customer's doorstep. Anytime after opening an account, the customer should
register with the bank to avail the Tele-banking services. When the caller exits from the system,
he/she will be greeted with a 'thank you, visit again' message.
The main advantage of an IVR (interactive voice response ) based system is that the
caller can any time get the latest updated information on the various value-added services of the
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bank by just keying in the respective numbers on an ordinary telephone. Customising the IVR
(interactive voice response ) system can also incorporate provision for many other features like
logging of all the incoming calls, report on the list of customers who efficiently use a particular
Tele-banking facility, etc. Adding the multi-lingual features can solve linguistic problems.
Phone banking is a convenient way to bank 24 hours a day, 7 days a week subject to
system availability and maintenance. With Phone banking you can manage your accounts in a
fast, easy and simple manner and what's more, you can do it from the comfort of your home,
workplace or anywhere where you have a telephone. There are no fees for using this service so
not only can your banking be much easier, with careful planning it can also be fee free.
Cheque Book Request System can now be accomplished quickly, efficiently and cost-
effectively using the latest and most modern IVR (interactive voice response ) technology from
Xtend Technologies.
Advantages of an IVR (interactive voice response ) System
Automatically handle every call from customers.
Answer calls on the first ring, 7 days a week, 24 hours a day.
Speak to callers in human tone of voice.
Optional multi-lingual prompts.
Provide accurate and reliable information, up to date.
Resources your present personnel for more productive work.
Smoothens the status information process.
The Bottom Line
Expanded Customer Service Hours
Standardised Operational Procedures
Improved Customer Service
Enhanced Productivity
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Streamlined Staffing
Lower Cost
Efficient Information Flow
Reduced Staffing Requirements
Reduced Paper Environment
Improved Customer Satisfaction
Features and Benefits:
Provides round-the-clock availability of information and conduct banking
transactions over the telephone.
Improves services levels to off-site customers with efficiency of information
release.
Replaces the physical operators.
Crowds can be minimized at counters.
Facility to access the account any where any time.
Solution comes with minimum of four PSTN analog telephone lines.+
Fully secured.
The Pros and Cons of Telephone Banking
There are numerous pros and cons associated with telephone banking, including ease of
use and potential security threats presented through access to personal information. Banking over
a telephone system can often be more convenient than banking in person, since some functions
can be accessed even when a bank is closed. This type of banking also allows various issues to
be more easily resolved for multiple customers at once, since some information and procedures
are automated and do not require human interaction. There are some potential disadvantages with
telephone banking, however, including difficulties that may be present in accessing an automated
telephone system and security risks that can be created by providing bank access without human
interaction.
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Telephone banking refers to the use of a system to allow customers of a bank to process
various banking procedures over the telephone. Such services can include anything from
applying for loans and altering the terms of an existing account to ordering new checks and
monitoring the balance in an account. The ease of access for such services is one of the major
advantages that telephone banking can provide for customers. Telephone services can be
provided 24 hours a day, unlike most services provided at bank locations which are typically
closed in the evenings, on weekends, and on many holidays.
Since telephone banking can utilize an automated system, multiple customers can also be
helped simultaneously. Simple questions regarding bank locations, branch hours, and even
account balances can all be handled by such systems. This allows those operators or associates
who are available to help fewer customers and focus on providing more thorough customer
service, without taking time to answer simple questions that do not require human assistance.
Telephone banking is not without its potential negative aspects, however, and many of
these problems depend on the type of system developed by a bank. Automated phone systems are
somewhat notorious for difficulty in use, especially older systems that may not recognize voices
or other forms of input. Newer telephone banking systems have improved upon many of these
flaws, but the menus utilized by such systems may still be difficult to effectively navigate.
There are also some potential security risks that arise through the use and development of
telephone banking systems. Since customers are not actually present and face-to-face with a bank
teller or manager, it may be easier for identify theft to occur and produce misrepresentation of
customer needs over the telephone. This can be controlled through various security protocols
incorporated into a phone banking system, but even these measures can be insufficient in some
instances.
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