Online Shopping Mall Java Project

Study on electronic money

Study on electronic money

Mr. Felix Minj [Deepak DOH, Department of IT, Shekhawati College, Sikar (Raj.)]

Introduction:

Trade refers to all activities surrounding the purchase or sale of goods or services. As you step into the next century, the Internet promises to bring unpredictable changes in society. Covering throughout the world, crossing all borders, the Internet has redefined the working methods of communication, study, education, interaction, entertainment, Health and Commerce, and trade. There are some trade activities such as marketing, sales, payments, fulfillment, customer service, etc.

Electronic commerce is the application of communication and information sharing technologies among trading partners with the objective of the business objectives. Electronic commerce is associated with the purchase and sale of information, products and services through computer networks.

Electronic Commerce is a new way of carrying out the management and execution of business transactions using computer and telecommunications networks. Electronic Commerce refers to the exchange Information paperless business using EDI (Electronic Data Interchange), electronic mail, EFT (Electronic Funds Transfer) and other networks based technologies. E-commerce applications started in the early 1970, with innovations such as EFT.

Objectives For the study:

This study aims to diagnose the state of efficiency in itself and trace the factors responsible for the degree of efficiency in the performance of the operation and activities of electronic security analysis of money.

1. To check sound and underlying reasons lending agencies within the current complex mechanism of electronic money.
2. For the analysis of institutional and organizational constraints that hinder the effectiveness, efficiency and effectiveness of electronic money.
3. To assess the quality of its services through the structural analysis.
4. To examine the impact of business policies and liberalization in these electronic money.
5. To study and analyze the security of electronic transactions money.
6. To suggest possible solutions for these institutions to end its current downward trends.
7. Suggest techniques for loans to further growth of electronic security money.

Advantages of electronic money

digital cash will enable the immediate transfer of funds of an individual personal account to a business account, without any actual paper transfer of money. This offers great convenience for many people and businesses alike.

Banks can offer many services that a customer can transfer funds, stocks purchase, and offer a variety of other services without having to handle cash or paper checks. Customers do not have to wait in lines, which provides a least intrusive environment.

Disadvantages of electronic money:

Although there are many benefits to digital cash, there are many disadvantages. These include fraud, lack of technology, possible tracking of people and loss of human interaction. It is very common that almost all systems have their drawbacks. However, the question must be asked is whether the benefits of using the overpass of the disadvantages of the system.

Fraud over digital cash has been a problem acute in recent years. Hacking into bank accounts and illegal retrieval of banking records has led to a widespread invasion of privacy; has promoted identity theft.

There is also a pressing issue regarding the technology involved in digital cash. power failures, loss of records, unreliable software often cause a major setback in promoting the technology.

Digital cash fraud has been a problem acute in recent years. Hacking into bank accounts and illegal retrieval of banking records has led to a widespread invasion of life House and has promoted identity theft.

Power failures, loss of records and undependable software often cause a serious setback in promoting technology.

Framework of Electronic Commerce:

Many things people e-commerce just having a website, but e-commerce is much more than that. There are dozens of e-Commerce applications such as home banking, shopping in stores online and malls, buying stocks, finding a job, conducting an electronic auction and collaborating in research and development.

To run these applications, you must have supporting information and organizational infrastructure and system.

Electronic commerce of applications are compatible with infrastructure and its implementation depends on four major areas, such as

1.people

2.public policy

3.technical rules

4.protocols and organizations

People – buyers, sellers, brokers, services, etc.

the public policy – tax, legal and privacy issues, the domain names.

technical standards – For documents, securities and network protocols.

Organizations – partners, competitors, associations, Govt. services.

There are some other area of Electronic Commerce infrastructure, such as

1.Common business services infrastructure – smart card security and authentication, electronic payment, directories / catalogs.

2.Messaging and distribution infrastructure information – EDI, email, HTTP.

3.Multimedia content and network publishing infrastructure – HTML, Java, Web, VRML.

4.Network infrastructure – telecom, cable, TV, radio, Internet, WAN, MAN, LAN, Intranet, Extranet.

infrastructure 5.Interfacing – For databases, customers and applications.

The electronic money system Model:

The electronic money system is a mechanism that facilitates payments – usually of limited value – in which electronic money can be considered an electronic surrogate notes and coins. The electronic cash system is described on the basis of a model with a set of subsystems through which the electronic value (EV) is transferred under the responsibility of a supervisor of security system that monitors the creation EV EV EV extinction and circulation within the system.

The three main components of our model of electronic money are EV, the EV movement between sub-systems and monitoring. Together, these elements model are the core of e-money system. The concepts of operations, compensation, VE lifecycle and actors then complete this model.

EV is a monetary value represented by an issuer credit VE, which is:

– Stored in an electronic device;

– Issued to receive funds for an amount equal in value to the monetary value issued;

– Accept as a means of payment by undertakings other than the issuer.

The EV movement begins with a first phase, known as EV creation and ends with a final phase called EV extinction.

This model does not impose no restriction on the number of subsystems that form a system of electronic money.

Internet transactions:

All online transactions carried out through personal computer of the customer and the vendor web server. Customers use a web browser put in order with the merchant and specify your payment. In the case of an online transaction the customer has the option of paying by credit card or smart card customers can also pay with cash or a digital electronic check. The software on the vendor's server has to verify the order and has to settle the transaction for having obtained the authorization to transfer funds from a bank account or credit card and acquirer. It is possible for client applications, the merchant and bank are not the same. Hence, the interaction through this step is accomplished using a gateway, a link between applications.

The gateway allows conversion protocol and communicates with the bank using the bank's private network or the Internet. Gateway, in particular input interface common (CGI) is a specification for data communication between an information server for the server instance, and another application. CGI is used whenever the web server needs to send or receive data from another application, such as databases. A CGI script is a program that manages the movement of data between the web server and application external. Data usually passes completed by the user in an HTML form from the web server to a database.

Payment System:

1. In any commercial transaction, the customer and merchant agree. Under the agreement, the trader supplies goods and services the client requests the client, whereas for the transfer of funds to the merchant in the lien of the goods received. Thus, the payment is the most important part of the sales cycle.

The general requirements of pay-

(1) Privacy – the user expects a secure payment system.

(2) Authentication – A method for verifying the identity of the buyer before payment is authorized.

(3) Integrity – ensures that information is not accidentally or maliciously altered or destroyed during transmission.

(4) Authorization – Allows the merchant to determine whether the buyer actually has funds to pay for your purchase. The merchant verifies the customer's bank account has insufficient funds to honor the check amount.

(5) Privacy – You can have situations where both the customer and the merchant would want to ensure the privacy of the sale. example – carrying out an investigation of the firms may not details of their purchases.

Electronic Payment Types:

Different methods have been developed to make online payments are electronic versions of traditional payment systems we use every day. In our daily life we use cash, credit cards or checks for payments. All these systems are embedded digitally on the web and e-cash, electronic checks and credit cards.

(1) Credit Card

Credit cards are the most popular payment method customer buying cyberspace today.

(A) The cardholder of a client or a corporate buyer using credit cards to pay merchants.

(B) The trader, the entity that accepts cards credit and offer products or services in exchange for payments.

(C) The issuer of the card-A financial institution that provides accounts of cardholders cards and credit problems.

(D) The purchaser-A financial institution that provides an accounting of the merchants and acquires the sales slips authorized slips.

(2) Electronic digital wallet or purse:

Secure Electronic Transaction (SET) of protocol was initially designed by Visa and MasterCard in 1997. SET protocol satisfies the four security requirements of the EC as SSL ago: authentication, encryption, integrity and non-repudiation. In addition, SET defines the format of the message, the certificate format and procedure for exchanging messages. The role of the payment gateway is connected to the Internet and networks owned banks. Each participating entity needs its own certificates. To maintain consumer certificate on your personal computer or the IC card, software called the digital electronic purse or wallet.

(3) Debit Card:

It is also known as a debit card, is a card that authorizes the EFT. EFT, designed to transfer a certain amount of money from one account to another. The client terminal can be automated teller machine (ATM) Your PC or terminal. When using a debit card, the amount is immediately deducted from our checking or savings accounts. The debit card that allows to spend only what is in our bank account.

Advantages of using debit cards:

1.Obtaining card debit card is much easier to get a credit card.

2.With a debit card instead of writing checks saves sample identification personal.

3.Using debit card frees you from carrying cash, travelers checks or a checkbook.

Cards accepted 4.Marchants Debit easier than checks.

(4) Smart Card:

Today we have many plastic cards such as credit cards, debit cards, credit cards, licenses, dive insurance cards, employee or student ID cards and others.

Now for a moment if we think that all these cards are replaced by a plastic card single carry all information of a dozen cards of fifty. Rates not only lighten our burden, makes easer identification and purchase from us. Credit cards, debit and store currently under limited information about us on a magnetic strip. And unlike a smart card, a credit doses contain no cash card – it only contained an account number that can be loaded.

A smart card can store hundreds of times information that a plastic magnetic card stripe. An intelligent contain private user information such as financial data, private encryption key, account information, credit card numbers, health insurance information and so on. The current generation of smart cards include chips integrated circuits with programmable features.

(5) Open System vs. Closed electronics box

Electronic Cash can be closed or open.

A closed system means that the cash value of the IC card can only be recharged from an account banks, and money, which was collected in the memory of IC card readers will be transferred to the bank account of the recipient. The direct transfer cards IC is prohibited.

The open system allows direct transfer of the value of money between IC cards. Since Govt. are afraid of the risk of money traceability of money lost.

Conclusion:

Today traditional accounts and currencies are giving way to electronic money. With the wide spread of the Internet of this transformation is inevitable. It is obvious that digital money is the future of the exchange mechanism. Without doubt condenses many of the problems that prevails as the transport of large amounts of cash and will solve many security problems experienced today. The electronic money would not only be faster and cheaper, but more robust and easier to authenticate. People would not be apprehensive use, and to respect their privacy and allow even small traders to conduct business around the world. Digital cash will also reduce the cost of transferring money internationally is expensive today. Electronic money does not replace the traditional form of the transaction altogether, but will no doubt provide.

Bibliography:

Books:

1.KKBajaj and D. Nag – "the leading edge E-Commerce business ", Tata McGraw Hill Publishing Company Ltd. (New Delhi)

2.Dr.MMMaymand: – "E-Commerce", SA Publications deep and profound. Ltd. (New Delhi)

3. Prof.VPGupta and Dr.MCSharma: – "Electronic Commerce" Ramesh Book Depot, (Jaipur)

4. Turban, Lee, King & Chung: – "Electronic commerce a managerial perspective", Pearson Education, Inc. (New Delhi)

5. Kalakota and Whinston – Frontiers of electronic commerce ", Pearson Education, Inc. (New Delhi)

6. WJButtam: – "E-Business and Solutions", Addison Wesley India Edition, (New Delhi)

7. David: – "E-Commerce strategy and technology", Tata McGraw Hill Publishing Company Ltd. (New Delhi)

8. ASNanenbaum: – "Computer Networks", edited by Pearson, Inc. (New Delhi)

9. Columbus, Laria: – "Telaizing E_Business with the provider application services ", Techmedia Plaza (New Delhi)

10. Raj Kamal: – "Internet and Web technology, Tata McGraw Hill Publishing Company Ltd. (New Delhi)

Magazines:

Quest 1.PC publication of Mumbai (Monthly)

IQ Publishing 2.Devloper New Delhi (Monthly)

3.The Internet digit publication of the New New Delhi (Monthly)

Today 4.Computer New Delhi publication (Monthly)

Search on the Web:

1. Solution offers

http://home.netscape.com/commapps/index.html

http://www.ibm.com/services/ebus/index.html

http://www.microsoft.com/siteserver/commerce/default.asp

1. Example of Internet e-Commerce Sites
   1. www.amazon.com Book shopping

www.bababazaar.com vegetable shop

1. www.netmarket.com material, books, etc.
2. www.jandr.com equipment, etc., audio, video
3. Search Engines

http://www.altavista.com

http://www.yahoo.com/search.html

http://www.allonesearch.com

http://www.cs.indisna.edu/cgi-bin/aliweb/search

http://www.goto.com

http://www.bigbook.com

1. Internet news and information
2. www.askme.com get answers from the experts

1. Web Hacking Related
2. www.hackers.com complete resources for hackers.
3. www.10pht.com security tools, hacking information, news.

www.technotronic.com updated information related to security.

About the Author

Felix Deepak Minj
HOD,Dept. of IT
Shekhawati Group of institutions,Sikar
Rajasthan (INDIA)
Pin-332001

Keynote with Jeffrey Veen – HighEdWeb 2008 Conference