Contemporary Legal Issues in Indian E-Banking System

  • Gunjan Bhagtani


E-banking provides traditional banking services through the internet to the customers. The transition from physical banking to electronic banking in India has been a long and difficult approach. Numerous advantages have arisen to the banking sector and customers both with the introduction of e-banking. These include ease of doing banking to the customers and cost reduction and market share to the banks. However, with these advantages there comes a great risk of privacy and security to the stakeholders. There lies the imminent thereto of hacking and loss of valuable information and data. These concerns hamper the smooth functioning of the e-banking system. There has been a concern that Internet banking transactions may become a conduit for money laundering. The regulatory body of the Indian banking system is the Reserve Bank of India. It has stated atop on providing rules and regulations to tackle the issues arising from e-banking. There are many laws such as information technology act and consumer protection that take within their ambit banking services. From to time to time many notifications, circulars, and regulations have been issues by RBI with reference to e-banking and the issues underlying thereto. This paper is primarily theoretical in nature, aiming to critically analyse the prevalent laws for the electronic banking services and vis-a-vis international norms. The paper puts into perspective the prevalent legal issues arising out of e-banking.

How to Cite
BHAGTANI, Gunjan. Contemporary Legal Issues in Indian E-Banking System. Journal of Banking and Insurance Law, [S.l.], v. 2, n. 1, p. 17-24, july 2019. Available at: <>. Date accessed: 06 apr. 2020.