ABSTRACT

 Electronic banking (e-banking) system has become an important practice among commercial banks in Nigeria. The introduction of this banking system has improved banking efficiency in rendering services to customers and the public. However the gains of e-banking has been associated with some hindrances ranging from internet failure to arbitrary withdrawal of money by customers which negates the cashless policy projected by the Central Bank of Nigeria (CBN). The problem statement focuses on the high risk of fraud in the country and threat to the citizens of Nigeria. Threat that cause many people to die premature due to the shock of financial fraud done on their bank account. This is due to poor e-banking security. It was in line with this that the study aims at examining the challenges facing this e-banking system and the prospects accruable to its adoption of bank transaction system. Among the various suggestions made in this study to benefit maximally from e-banking- include provision of enabling environment that can guarantee safety of lives and cash deposits of customers, provision of an interrupted power supply and internet service in order to enjoy efficient services from the banks. The objectives of this research are to develop bank transaction system, develop a platform that educate the public about e-banking frauds, create a module that introduces the use of bank transaction simulators to help customers familiarize themselves with e-bank for easy and better understanding of the process, build a database structure used to store data, design a platform that examines the challenges facing the current e-banking transaction system in Aba, among selected bank, create a platform that describes the possible opportunities for the adoption of the prospect bank transaction monitoring information system. Enforceable e-banking regulations should be put in place to back up the cashless policy already initiated by the CBN. This will go a long way to reduce money laundering and reckless withdrawal of cash (account siphoning by so called yahoo boys) and thereby boosting capital formation and investment in the economy. This research was realized through the adoption of primary and secondary sources of data collection which includes interview, observation, questionnaire, the internet and journals and the adoption of rapid application development (RAD) methodology. The system is implemented by using HTML as front end, PHP as back end and MYSQL as the database.