Core Banking Solutions
Core Banking Solutions, commonly known as CBS, is a specialized software used by banks to provide basic banking services. The word 'CORE' stands for Centralized Online Real-time Exchange. In simple terms, it means all the branches of a bank are connected to a single central computer system. Before CBS, every branch kept its own records on paper or local computers. If you had an account in one branch, you were only a customer of that specific branch. CBS changed this forever.
Concepts (3)
Scalability is the ability of the CBS to handle more customers or more transactions without slowing down. As more people open bank accounts in India, the central system must be strong enough to manage the extra work.
Scalability is the ability of the CBS to handle more customers or more transactions without slowing down. As more people open bank accounts in India, the central system must be strong enough to manage the extra work. Example: During festival sales, the CBS handles millions of extra transactions per hour without crashing.
This is a single storage location for all bank data. Instead of each branch having its own file, one central server holds the records for every customer. When you update your phone number at one branch, it is updated for the whole bank instantly.
This is a single storage location for all bank data. Instead of each branch having its own file, one central server holds the records for every customer. When you update your phone number at one branch, it is updated for the whole bank instantly. Example: If you change your PIN at an ATM, it is updated in the central database for all future transactions.
This means that transactions are processed the very moment they happen. There is no 'waiting period' for the data to move from the branch to the head office. The balance is adjusted immediately.
This means that transactions are processed the very moment they happen. There is no 'waiting period' for the data to move from the branch to the head office. The balance is adjusted immediately. Example: When you withdraw 500 rupees from an ATM, your balance drops by 500 rupees in the same second across all bank records.
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