Phone Banking

The cost of managing the transactions is reduced as the number of visits to a bank by an account holder is reduced. The account holder does not need to visit the branch for non-cash withdrawals frequently. There has, however, been a decline in the usage of phone banking services due to the introduction of Internet banking in the 2010s.

Getting a banking transaction done is made easier for an account holder with the phone banking service. The phone banking facility gives the account holder flexibility to do any transaction from anywhere. It is most convenient for the users located in rural areas where the bank branch is far or not easily accessible. Phone banking is secured as well as a risk-free mode of banking. It can be used to make the utility bill payments, block the ATM card, fund transfer, open fixed deposit/recurring deposit etc. Also, account holders can use phone banking facility on any phone. It is not essential to have a smartphone to use phone banking services, unlike mobile banking.

It is important to register the mobile number with the bank to use the phone banking service. After phone banking registration, the account holder will be given a Customer Number for phone banking which can differ from the account number. After this, he/she will be given the password or will be required to set the desired password.

It is must to have the Customer User ID and password to get access to phone banking. Following are the ways which most of the banks follow for phone banking registration:

• Phone Banking registration/password generation through Contact Centre: The customer can call the toll free number of the bank and choose the desired option in IVR. The customer will be asked to give important details such as ATM card number, PIN, mobile number, account number etc. A 6-digit password is sent on the registered number after completing the registration.
• Phone Banking registration/password generation through ATM: Account holder can also visit the nearest ATM of the bank to get the phone banking registration done. He/she will be required to just swipe the ATM card, enter the ATM PIN and select the “Phone Banking Registration” option on the screen. Enter the registered mobile number to get the 6-digit password.
• Phone Banking registration through Branch: The customer can visit the bank branch and submit the phone banking application to avail the service. A pre-printed kit will be provided by the bank, which will contain the 6-digit phone-banking password.

Above mentioned methods of phone banking registration can be common amongst banks. But, some of the steps or registration methods can differ from one bank to another.

Following are the services that can be availed with phone banking facility:

• Get all the information related to the account such as account balance, or any transaction details, and even the account statement of the last six months on the mail.
• Request for cheque book online
• Stop payment of any cheque (Single and multiple)
• Initiate fund transfers to self-account as well to third-party account (with some limitations)
• Open a Fixed Deposit/Recurring Deposit
• Check Account Balance
• Enquire about loans
• Generate ATM PIN
• Access Credit Card details
• Get the interest certificate of home loan or education loan.
• Get the Deposit Interest Certificate
• Know TDS deductions and other information
• Update mobile information or mail ID