Computers have become indispensable parts of day-to-day banking operations. With this increasing demand of computers and associated devices, banks heavily rely on various technologies in the form of devices, programs, and operational activities. In this article, we’ll discuss computer application in banking operation in all ways possible, and hopefully, you can get a thorough understanding of all the utilities that computers offer us.

Types of Computers and Other Devices Used in Banks

Although there’re differences in activities undertaken by banks, their uses of computing devices are almost the same in many countries depending on their technical infrastructures. Common appliances include various types of computers, scanners, teller machines, ATMs, etc.

Mainframe Computers

Many financial companies have already adopted special measures to downsize their computers, but the mainframe still remains the backbone of financial transactions because of its following features.

  • Safe preservation of customer account and other details
  • Analyses of financial markets processing the ever changing variables
  • Record of product offerings, interest rates, and different earnings
  • Communication with various other mainframes across branches around the world

Personal Computers

If one single type of computer is concerned in the banking industry, that’s going to be the personal computer. Often known as microcomputers, personal computers carry out regular functions as part of an organization’s local area network (LAN) or wide area network (WAN). These devices can also work as independent or self-contained systems. These computers run web browsers, word processing, spreadsheet, database, and email applications.

Depending on the availability and needs of personnel, banks allow notebooks, netbooks, tablet PCs, laptops, palmtop and desktop computers. Other small devices include personal digital assistants (PDA) and programmable calculators.


Minicomputers fall between the sizes and functions of mainframe and personal computers. They are typically used as Internet or network servers. One of the principal objectives of having these machines still in action is that they enable banks and financial companies to shift their operations to a distributed workflow from centralized processes.

Popular functions of minicomputers include but not limited to email system management, file storage systems, and online operations. On an average, a typical minicomputer supports at least 64 terminals simultaneously.

Automated Teller Machines (ATMs)

These roadside machines have brought about a revolution in customers’ day-to-day banking activities. While they still need to visit the banks physically for a number of works, small withdrawals and deposits are possible in ATM locations.

Going to the ATMs, customers can also check their account balances, loan payments, and make financial transfers between active accounts. Each ATM contains a small computer which is linked to the organization’s mainframe system that stores and coordinates data among all ATMs.

Biometric Devices

Biometric customer identification system has earned great recognition in many corners of the world. Biometric devices are connected to the bank’s main server where all customer identification details are saved for uses. The best thing about this special technology is that duplication of identity is next to impossible for each customer has a unique fingerprint that ensures the ultimate safety and cannot be manipulated.

Digital Scanners

Scanner can be wired or virtually connected to a large computer or can be a standalone device to scan checks digitally saving time and making the whole processing easier and more reliable. The majority of American banks plus thousands of organizations around the world use these scanners routinely to handle cash deposits and money transfers.

Teller Terminals

These computer terminals allow banks to handle overseas accounts for both businesses and individuals. Teller terminals are useful for certain functions, from processing wire transfers to bill payments and other financial works.

Applications of Computers in Banking Operations

Now that you’ve learned all the different versions of computing machines used in today’s banks, you need to know which activities are exactly performed using these devices.

Account Management

Opening a bank account and managing the associated details have become easier for both banks and customers. Once an account is created; the rest is done via internet. The bank handles the activities electronically. However, the availability of these methods hasn’t still eliminated the needs of representatives who sometimes become the lifeblood of a bank’s prosperity with supports from growing customer base.

Internet Transactions

Financial transactions are now just a matter of few clicks. Internet banking is a globally accepted and adopted form of banking operation. Customers can send, receive, or transfer funds using the web portal or application. Web-based banking processes are fast, efficient, and less vulnerable to human errors.

Electronic Transactions

Although it may sound like something that deviates from computer operations, but it is not. Banks employ a centralized electronic system to enable customers to use mobile banking systems to transact money for their daily needs.

Decision and Policy Making

Banks often formulate policies and make decisions based on data analysis, surveys, and financial records. People involved in these tasks are directly and indirectly depend on computers that store the necessary data, process them as needed, and give outputs. Computers are the only viable means to save all the business minutes, summaries, agenda, etc. which prove valuable in decision making.

Internal Management and HR Functions

HR and admin professionals have to rely on computers for most of their functions. Employee attendance, compensation, promotion, recruitment, fund disbursement, etc. are easily manageable with computers. The surveillance system of a bank is another important factor that a computer proves useful for. Besides, access control systems and other security devices use networking and computerized methods.

Popular Computer Applications in Banks

Here’s the most sophisticated use of computer applications in banking operations. We’ll be talking about some highly trusted and reliable banking applications which are globally recognized by many banks and financial organizations.


Over 14,000 banks from 150 countries around the globe depend on SAP innovations and solutions for their core banking processes. Top features include,

  • Analytical banking
  • Account origination
  • Liquidity management
  • Payment, leasing, and funding management
  • Tax management
  • Regulatory reporting

Oracle Financial Services Software

Another honourable name in this industry is Oracle financial software. Notable features include retail management, investment and corporate banking, cash and fund management, trade handling, lending and payments, wealth and treasury management, private asset management, business analytics, etc.

FIS Global

FIS is loved by many organizations other than banks and financial concerns. Due to its comprehensive software solutions, the company has managed to earn a sustainable spot. Here’re the features that might benefit you (as a banking professional or learner)

  • Commercial lending
  • Core banking operations
  • Risk management and regulation
  • Treasury and liquidity management, Risk management
  • Merchant solutions
  • Corporate payments
  • Credit and collections

Tata Consultancy Services Financial Solutions (TCS FS)

Based in India, this banking and financial software solution provider has secured a wonderful spot among the powerful competitors with its cloud based banking system, treasury and payments. Its innovative solutions for insurance and capital markets also contribute to its robust growth in the industry.


This provider has taken a deep approach to make computer-based banking applications available and convenient. Unlike most of its competitors, the company has brought several applications specialized in banking only. Core banking, direct banking, corporate banking and CRM solutions are among the remarkable solutions.

So, you’ve got a quick yet informative overview of computer applications in banking operations. For a banker or an IT professional employed at a bank, knowing how to find computer repair Los Angeles at affordable costs is essential to ensure that computer applications are going with the desired efficiency. You barely know when things might take an unexpected course with the bank’s computer system when customers need your supports the most.