Question :

(a) Electronic banking can be defined as "the automated delivery of new and traditional banking products and services directly to customers through electronic, interactive communication channels."

(i) Give two examples of such banking products or services.

(ii) Give two examples of such electronic and interactive devices.

(b) Outline two risks associated with each of the following two primary types of internet websites:

(i) informational websites, and
(ii) transactional websites.

(c) E-banking systems can vary in their configuration depending on a number of factors. Financial institutions should choose their e-banking system configuration based on four factors. Outline these four factors.

(d) In addition to traditional banking products and services, financial institutions can provide a variety of services that have been designed or adapted to support e-commerce. Outline briefly four of the most common support services.

(e) Give two aspects of on-line loan origination that can significantly increase credit risk, if they are not properly managed.

(f) (i) Explain what you understand by the term access controls.

(ii) Outline briefly the importance of access controls.

(g) One of the steps of the risk management process is to manage and control risks. Explain how to ensure that this is done successfully.