PM SHRI KENDRIYA VIDYALAYA AFS,

THANJAVUR

ACADEMIC YEAR : 2024-25

A PROJECT REPORT ON
’’ Online Banking System’’
SUBMITTED BY
S.S.SAISHARVESH
Class XII-A
Subject : Computer Science

UNDER THE GUIDANCE OF

Mrs. S. SAYI PRIYA,
PGT Computer Science,
PM SHRI Kendriya Vidyalaya,
Air Force Station, Thanjavur.

1
 CERTIFICATE

This is to certify that S.S.SAISHARVESH of Class XII of

PM SHRI Kendriya Vidyalaya Air Force Station,
Thanjavur, has successfully completed the project work as
a part of Computer Practicals for AISSCE as prescribed by
CBSE in the year 2024-25 on the topic:
’’Online Banking System’’
.

Thanjavur Project Guide

Date: S. Sayi Priya
PGT Computer Science

EXTERNAL EXAMINER INTERNAL EXAMINER

PRINCIPAL

2
 ACKNOWLEDGEMENT

I would like to express my deep sense of gratitude to Mr.

Brajesh Kumar Katre, Principal for having accorded permission to

carry out the project work.

I take great pleasure in expressing my heartfelt sentiments of

gratitude to my Guide Mrs. S. SAYI PRIYA, Post Graduate

Teacher of Computer Science, for her able and inspiring guidance

and support.

My sincere thanks are due to my parents who provided me all

the facilities required to do and complete the project successfully

in time.

I acknowledge the great help rendered by one and all in one way or

the other to bring this project work to complete shape

S.S.SAISHARVESH

3
 TABLE OF CONTENTS [ T O C ]

SNO DESCRIPTION PAGE NO

01 INTRODUCTION 02

02 OBJECTIVES OF THE PROJECT 02

03 PROPOSED SYSTEM 03

04 SYSTEM DEVELOPMENT LIFE CYCLE (SDLC) 04

05 PHASES OF SYSTEM DEVELOPMENT LIFE CYCLE 05

06 FLOW CHART 10

07 SOURCE CODE 11

08 OUTPUT 14

09 TESTING 16

10 HARDWARE AND SOFTWARE REQUIREMENTS 17

11 BIBLIOGRAPHY 18

4
Introduction to the Online Banking System Project
In today’s digital age, online banking has become a cornerstone of financial services,
allowing users to manage their accounts, perform transactions, and access banking
services from anywhere at any time. The Online Banking System project aims to simulate
and develop an automated and user-friendly platform that empowers users to manage
their finances remotely.

This system provides a secure environment where customers can perform various banking
activities such as checking account balances, making fund transfers, paying bills, and
viewing transaction history—all through a simple, intuitive interface. By leveraging
modern technologies, the system ensures that these actions are done securely, quickly,
and efficiently.

The primary goal of this project is to create a platform that is not only easy to use but also
safe and scalable, accommodating the needs of both customers and banking institutions.
With an emphasis on security, privacy, and convenience, the Online Banking System
aims to deliver a comprehensive solution for individuals seeking a more modern approach
to managing their financial needs.

Whether it's transferring money between accounts, paying utility bills, or simply keeping
track of spending, the Online Banking System is designed to provide a complete digital
banking experience.

Objectives of the Online Banking System Project

The main objectives of the Online Banking System project are:
⦁ Provide Easy Access to Banking Services:
Enable customers to perform essential banking tasks such as checking account
balances, viewing transaction history, transferring funds, and paying bills through
an online interface.
⦁ Enhance User Experience:
Create a user-friendly and intuitive platform, ensuring that users can easily
navigate through different services, making their banking experience smooth and
hassle- free.Ensure Security and Privacy:
Implement strong security measures to protect user data and financial transactions.
This includes user authentication methods, data encryption, and fraud detection
mechanisms.

5
 ⦁ Support Financial Transactions:
Facilitate various banking transactions like transferring money between accounts,
bill payments (utilities, credit cards), and scheduling payments for future dates.
⦁ Provide Comprehensive Customer Support:
Implement a customer support system that allows users to track their issues or
queries and resolve them effectively. This may include live chat, email support,
and a ticketing system.
⦁ Generate Transaction Reports and Statements:
Provide users with access to transaction reports, account statements, and balance
overviews for better tracking and management of their finances.
⦁ Improve Operational Efficiency for Banks:
By automating several banking tasks, the system helps banks reduce operational
costs, improve efficiency, and better serve customers.

Scope of the Online Banking System Project

The Online Banking System project focuses on providing a secure, user-friendly platform
for customers and banking administrators.
⦁ Customer Scope:
Account Management: Users can view account balances, update information, and
manage settings.
Money Transfers: Facilitates transfers within the same bank and to other banks.
Bill Payments: Users can pay utility and credit card bills.
Transaction History: Access to view, filter, and download transaction records.
Security Features: Includes authentication protocols and encryption for secure
transactions.
⦁ Bank Administrator Scope:
User Account Management: Admins can manage user accounts and reset
passwords.
Transaction Monitoring: Admins monitor transactions for security.
Report Generation: Ability to generate financial and activity reports.
⦁ Technology Scope:
Web-Based Interface: Accessible via browsers for easy access from anywhere.

6
 Payment Integration: Secure APIs for fund transfers and bill payments.
Data Security: Ensures encryption and secure authentication methods.
Out of Scope:

⦁ Physical Banking Services such as in-person transactions.

Cryptocurrency and advanced financial instruments like stock trading.
Integration with all external bank systems beyond initial development.
This scope outlines the core functionalities and sets clear boundaries for the
system’s initial development and future enhancements.

Objective of the Online Bank System Project

The primary objective of an Online Bank System project is to provide a secure, efficient,
and user-friendly platform for customers and banks to manage their financial activities
and streamline banking operations. Below are the key objectives:
⦁ Enhance Customer Convenience
Allow customers to access banking services 24/7 from anywhere using the
internet.
Enable online transactions such as fund transfers, bill payments, loan applications,
and account management.
⦁ Improve Operational Efficiency
Automate routine banking tasks, reducing manual workload and operational
errors.
Optimize transaction processing time and reduce queues in physical branches.
⦁ Ensure Security and Reliability
Implement robust security measures, such as encryption, two-factor
authentication, and secure login, to protect sensitive data.
Provide a reliable platform with minimal downtime and error handling
mechanisms.
⦁ Facilitate Real-Time Access to Information
Provide customers with real-time account updates, transaction history, and
statements.
Enable bank staff to access and manage customer accounts and reports efficiently.

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 ⦁ Support Scalability
Design a system that can handle increasing numbers of users and transactions as
the bank grows.
Enable integration with new technologies and banking features over time.
⦁ Reduce Operational Costs
Minimize expenses associated with traditional banking processes such as
paperwork, physical branch maintenance, and staffing.
⦁ Enhance Customer Engagement
Offer personalized services such as notifications, reminders, and
recommendations based on user activity.
Provide customer support through chatbots, live chat, or other digital
communication tools.
⦁ Compliance with Regulations
Ensure the system adheres to banking and financial regulatory standards to
maintain legal compliance.

Proposed Online Banking System (Python-Based)

The proposed (Online Banking System) is a Python-driven digital solution designed to

offer secure and efficient banking services to customers. By leveraging Python’s versatile
libraries and frameworks, this system ensures scalability, security, and a user-friendly
experience.
⦁ Key Features of the Proposed System
1. **User Authentication and Security**
- Secure login using usernames, passwords, and two-factor authentication (2FA).
- Implementation of hashing algorithms (e.g., bcrypt, Argon2) for password security.
- SSL/TLS encryption for secure data transmission.
2. **Account Management**
- Display account balances and transaction history using dynamic dashboards.

8
 - Update customer details through user-friendly forms.
- Support account creation and closure requests directly from the system.
3. **Fund Transfers**
- Internal and external fund transfer capabilities with real-time confirmation.
- Options for scheduled and recurring payments.
4. **Bill Payments**
- Enable payment of utility bills, credit card bills, and other invoices.
- Customizable reminders for upcoming payments.
5. **Loan and Credit Services**
- Online loan applications and tracking with status updates.
- Manage credit card accounts, including balance checks and payment scheduling.
6. **Notifications and Alerts**
- Transaction alerts and promotional notifications via email or SMS.
- Integration of Python libraries like `smtplib` for email alerts and APIs for SMS.
7. **Customer Support**
- Provide chatbot support using Python’s NLP libraries (e.g., NLTK, SpaCy).
- Enable ticketing systems for customer queries with status tracking.
8. **Mobile-Friendly API**
- RESTful APIs built using Flask or FastAPI to support mobile banking apps.
- Real-time synchronization of web and mobile platforms.
9. **Admin Panel for Bank Staff**
- Dashboard for managing user accounts and approving requests.
- Generate reports and audit logs using Python libraries like `pandas` and `matplotlib`.
⦁ Technology Stack
1.Frontend
- HTML, CSS, JavaScript (with Python integration via Flask/Jinja2 templates).
2.Backend
- Frameworks: Flask/Django for web application development.
- Libraries: SQLAlchemy for database ORM, bcrypt for password hashing,
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 and NumPy for data processing.
⦁ Database
- SQLite or PostgreSQL for reliable data storage and management.
⦁ APIs and Integration
- RESTful APIs with Flask or FastAPI for seamless integrations.
- Third-party integrations like payment gateways via Python SDKs.
⦁ Security
- Encryption using `cryptography` or `pyOpenSSL` libraries.
- Secure session handling via Flask-Security or Django's built-in tools.
⦁ Hosting
- Deployment on cloud platforms like AWS, Google Cloud, or Heroku using
tools like Docker.
⦁ Advantages of Python for the Online Banking System
1. Ease of Development
⦁ Python’s simplicity and extensive libraries speed up development and reduce
bugs.
2. Security
⦁ Robust libraries for encryption, secure session management, and data protection
ensure compliance with banking regulations.
3. Scalability
⦁ Frameworks like Django and FastAPI support scalable and modular application
development.
4. Integration
⦁ Python’s compatibility with APIs and third-party libraries allows seamless
integration with payment systems and other services.
⦁ This Python-based system provides a modern, secure, and scalable solution for
online banking, ensuring customer satisfaction and streamlined operations for
financial institutions.

System Development Life Cycle (SDLC)

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The System Development Life Cycle (SDLC) is a structured methodology used to design,
develop, and implement software systems. It consists of distinct phases, each with specific
deliverables and objectives to ensure successful system development. Below are the key phases
of SDLC:

Planning
**Objective:** Define the purpose and scope of the system to be developed.

**Activities:**

⦁ - Identify business needs and system objectives.

⦁ - Conduct feasibility studies (technical, economic, legal, operational, and schedule).

⦁ - Develop a high-level project plan and allocate resources.

**Deliverables:** Project charter, feasibility study report, and project plan.

Requirements Analysis
**Objective:** Gather and document the functional and non-functional requirements of the
system.

**Activities:**

⦁ - Conduct stakeholder interviews and surveys.

⦁ - Document requirements using tools like use-case diagrams, process flow diagrams, and
requirement specifications.

⦁ - Validate requirements with stakeholders.

**Deliverables:** Requirements Specification Document (RSD).

Design
**Objective:** Translate requirements into a detailed system architecture and design.

**Activities:**

⦁ - Create system and software design diagrams (e.g., database schema, UML diagrams).

⦁ - Design user interfaces and application workflows.

⦁ - Plan the integration of system components.

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**Deliverables:** System Design Document (SDD), prototypes, and wireframes.

Development
**Objective:** Build the system based on the design specifications.

**Activities:**

⦁ - Write and test code for system components.

⦁ - Use version control systems to manage code (e.g., Git).

⦁ - Perform unit testing to validate functionality of individual modules.

**Deliverables:** Developed system modules, unit test reports, and source code repository.

Testing
**Objective:** Ensure the system meets the requirements and is free of defects.

**Activities:**

⦁ - Perform different levels of testing (unit testing, integration testing, system testing, and user
acceptance testing).

⦁ - Document and fix bugs identified during testing.

⦁ - Validate system performance, security, and scalability.

**Deliverables:** Test cases, test results, and defect logs.

Implementation (Deployment)
**Objective:** Deploy the system to the production environment for use.

**Activities:**

⦁ - Conduct user training and provide necessary documentation.

⦁ - Migrate data from legacy systems, if applicable.

⦁ - Deploy the system using strategies like phased, parallel, or direct implementation.

**Deliverables:** Deployed system, user manuals, and training materials.

Maintenance

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**Objective:** Ensure the system operates efficiently and remains up to date.

**Activities:**

⦁ - Monitor system performance and address any issues.

⦁ - Apply patches and updates for security and functionality.

⦁ - Gather feedback and implement enhancements based on user needs.

**Deliverables:** Maintenance logs, update patches, and enhancement reports.

Benefits of SDLC
- Provides a clear roadmap for system development.

- Enhances project management and resource allocation.

- Reduces risks and ensures high-quality systems.

- Promotes collaboration among stakeholders.

The SDLC methodology ensures that systems are developed systematically, meeting both user
expectations and business requirements while minimizing risks and defects.

Phases of System Development Life Cycle (SDLC)

Planning
**Objective:** Define the purpose, scope, and feasibility of the system.

**Activities:**

⦁ - Identify business needs and objectives.

⦁ - Conduct feasibility studies (technical, economic, operational, legal, and schedule).

⦁ - Develop a project plan and allocate resources.

**Outcome:** Feasibility study report, project charter, and high-level project plan.

Requirements Analysis
**Objective:** Gather and document the functional and non-functional requirements of the
system.

**Activities:**

13
⦁ - Conduct interviews, surveys, and workshops with stakeholders.

⦁ - Create use-case diagrams and process flow diagrams.

⦁ - Validate and finalize requirements with stakeholders.

**Outcome:** Requirements Specification Document (RSD).

System Design
**Objective:** Develop a blueprint for the system architecture, data design, and interfaces.

**Activities:**

⦁ - Create data models, database schema, and system architecture diagrams.

⦁ - Design user interfaces and workflows.

⦁ - Define technical specifications and integration strategies.

**Outcome:** System Design Document (SDD), wireframes, and prototypes.

Development
**Objective:** Build the system as per the design specifications.

**Activities:**

⦁ - Write and test code for all modules and components.

⦁ - Use version control systems (e.g., Git) to manage code.

⦁ - Perform unit testing for individual components.

**Outcome:** Completed software modules and unit test reports.

Testing
**Objective:** Ensure the system functions as intended and is free from defects.

**Activities:**

⦁ - Conduct various levels of testing (unit, integration, system, and user acceptance testing).

⦁ - Identify and fix bugs and performance issues.

⦁ - Validate system security and compliance with requirements.

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**Outcome:** Test cases, defect logs, and a validated system.

Implementation (Deployment)
**Objective:** Deploy the system to the production environment for use.

**Activities:**

⦁ - Conduct user training and provide necessary documentation.

⦁ - Migrate data from legacy systems, if applicable.

⦁ - Deploy the system using strategies like phased, parallel, or direct implementation.

**Outcome:** Deployed system, user manuals, and training materials.

Maintenance
**Objective:** Ensure the system operates efficiently and remains up to date.

**Activities:**

⦁ - Monitor system performance and address any issues.

⦁ - Apply patches and updates for security and functionality.

⦁ - Gather feedback and implement enhancements based on user needs.

**Outcome:** Maintenance logs, update patches, and enhancement reports.

CODING
Online Bank Management System
import
mysql.connector
from datetime
import date

def clear():
for _ in
range(65):
print()

def account_status(acno):
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',

15
 password='') cursor = conn.cursor()
sql ="select status,balance from customer where acno
='"+acno+"'" result = cursor.execute(sql)
result = cursor.fetchone()
conn.close()
return result

def deposit_amount():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
clear()
acno = input('Enter
account No :') amount =
input('Enter amount :')
today = date.today()
result =
account_status(acno
) if result [0]==
'active':
sql1 ="update customer set balance = balance+"+amount + '
where acno = '+acno+' and status="active";'
sql2 = 'insert into transaction(amount,type,acno,dot) values(' +
amount
+',"deposit",'+acno+',"'+str(today)+
'");' cursor.execute(sql2)
cursor.execute(sql1)
#print(sql
1)
#print(sql
2)
print('\n\namount deposited')

else:
print('\n\nClosed or Suspended Account .......... ')

wait= input('\n\n\n Press any key to continue........... ')

conn.close()

def withdraw_amount():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
clear()
acno = input('Enter

16
 account No :') amount =
input('Enter amount :')
today = date.today()
result = account_status(acno)
if result[0] == 'active' and
int(result[1])>=int(amount): sql1 = "update
customer set balance = balance-" + \
amount + ' where acno = '+acno+' and status="active";'
sql2 = 'insert into transaction(amount,type,acno,dot) values('
+ \ amount + ',"withdraw",'+acno+',"'+str(today)+'");'

cursor.execut
e(sql2)
cursor.execut
e(sql1)
#print(sql1)
#print(sql2)
print('\n\namount Withdrawn')

else:
print('\n\nClosed or Suspended Account.Or Insufficient amount')

wait = input('\n\n\n Press any key to continue ...........')

conn.close()

def
transaction_
menu():
while True:
clear()
print(' Trasaction
Menu') print("\n1.
Deposit Amount")
print('\n2. WithDraw
Amount') print('\n3.
Back to Main Menu')
print('\n\n')
choice = int(input('Enter your
choice ...: ')) if choice == 1:
deposit_
amount()
if choice
== 2:
withdraw
_amount()

17
 if choice
== 3:
break

def search_menu():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
while
True:
clear
()
print(' Search Menu')
print("\n1. Account
No") print('\n2.
Aadhar Card')
print('\n3. Phone
No') print('\n4.
Email') print('\n5.
Names') print('\n6.
Back to Main Menu')
choice = int(input('Enter your
choice ...: ')) field_name=''

if choice ==
1:
field_name
='acno'

if choice == 2:
field_name
='aadhar_no'

if choice ==
3:
field_name
= 'phone'

if choice ==
4:
field_name
= 'email'

if choice ==
5:

18
 field_name
= 'name'

if choice
== 6:
break
msg ='Enter
'+field_name+': '
value = input(msg)
if field_name=='acno':
sql = 'select * from customer where '+field_name + ' =
'+value+';' else:
sql = 'select * from customer where '+field_name +' like
"%'+value+'%";' #print(sql)
cursor.execute(sql
) records =
cursor.fetchall()
n = len(records)
clear()
print('Search Result for ', field_name, '
',value) print('-'*80)
for record in records:
print(record[0], record[1], record[2], record[3],
record[4], record[5], record[6], record[7],
record[8])
if(n <= 0):
print(field_name, ' ', value, ' does not
exist') wait = input('\n\n\n Press any key
to continue..............................................................................................')

conn.close()
wait=input('\n\n\n Press any key to continue ........... ')

def
daily_report(
): clear()

conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') today = date.today()
cursor = conn.cursor()
sql = 'select tid,dot,amount,type,acno from transaction t where dot="'+
str(today)+'";'
cursor.execute(sql
) records =

19
 cursor.fetchall()
clear()
print('Daily
Report :',today)
print('-'*120)
for record in records:
print(record[0], record[1], record[2], record[3],
record[4]) print('-'*120)

conn.close()
wait = input('\n\n\n Press any key to continue........... ')

def
monthly_repor
t(): clear()

conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') today = date.today()
cursor = conn.cursor()
sql = 'select tid,dot,amount,type,acno from transaction t where
month(dot)="' +
\
str(today).split('-')
[1]+'";'
cursor.execute(sql)

records =
cursor.fetchall()
clear()
print(sql)
print('Monthly Report :',
str(today).split( '-')[1],
'-,', str(today).split('-')[0])
print('-'*120)
for record in records:
print(record[0], record[1], record[2], record[3],
record[4]) print('-'*120)

conn.close()
wait = input('\n\n\n Press any key to continue........... ')

def
account_deta
ils():

20
 clear()
acno = input('Enter
account no :') conn =
mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
sql ='select * from customer where acno ='+acno+';'
sql1 = 'select tid,dot,amount,type from transaction t where
t.acno='+acno+';' cursor.execute(sql)
result =
cursor.fetchone()
clear()
print('Account
Details')
print('-'*120)
print('Account
No :',result[0])
print('Customer
Name :',result[1])
print('Address :',result[2]
) print('Phone
NO :',result[3])
print('Email
ID :',result[4])
print('Aadhar
No :',result[5])
print('Account
Type :',result[6])
print('Account
Status :',result[7])
print('Current
Balance :',result[8])
print('-'*120)
cursor.execute(sql
1) results =
cursor.fetchall()
for result in
results:
print(result[0], result[1], result[2], result[3])

conn.close()
wait=input('\n\n\nPress any key to continue.............. ')

def
report_
21
 menu():
while
True:
clear()
print(' Report Menu')
print("\n1. Daily
Report") print('\n2.
Monthly Report')
print('\n3. Account
Details') print('\n4.
Back to Main Menu')
choice = int(input('Enter your
choice ...: ')) if choice == 1:
daily
_report
() if
choice
== 2:
monthly_
report()
if choice
== 3:
account_details()

if choice
== 4:
break

def add_account():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()

name = input('Enter
Name :') addr =
input('Enter address ')
phone = input('Enter
Phone no :') email =
input('Enter Email :')
aadhar = input('Enter AAdhar no :')
actype = input('Account Type
(saving/current ) :') balance =
input('Enter opening balance :')
sql = 'insert into
customer(name,address,phone,email,aadhar_no,acc_type,balance,status) values
22
( ' + name +'","'+
addr+'","'+phone+'","'+email+'","'+aadhar+'","'+actype+'",'+balance+',"acti
ve" );'
cursor.execu
te(sql)
conn.close()
print('New customer added successfully')

def modify_account():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
clear()
acno = input('Enter customer Account
No :') print('Modify screen ')
print('\n 1. Customer
Name') print('\n 2.
Customer Address')
print('\n 3. Customer
Phone No') print('\n 4.
Customer Email ID')
choice = int(input('What do you want to
change ? ')) new_data = input('Enter New
value :') field_name=''
if choice ==
1:
field_na
me
='name'
if choice == 2:
field_name =
'address'
if choice ==
3:
field_name
= 'phone'
if choice ==
4:
field_name
= 'email'
sql ='update customer set ' + field_name + '="'+ new_data +'" where
acno='+acno+';'
print(sql)

23
 cursor.execu
te(sql)
print('Customer Information modified..')

def close_account():
conn = mysql.connector.connect(
host='localhost', database='bankproject', user='root',
password='') cursor = conn.cursor()
clear()
acno = input('Enter customer Account No :')

sql ='update customer set status="close" where acno ='+acno+';'

cursor.execute(sql)
print('Account closed')

def
main_me
nu():
while
True:
clear()
print(' Main Menu')
print("\n1. Add
Account")
print('\n2. Modify
Account')
print('\n3. Close
Account')
print('\n4.
Transactio Menu')
print('\n5. Search
Menu') print('\n6.
Report Menu')
print('\n7. Close
application') print('\n
\n')
choice = int(input('Enter your
choice ...: ')) if choice == 1:
add_a
ccount(
) if
choice
== 2:
modify_a

24
 ccount()
if choice
== 3:
close_a
ccount()
if choice
==4 :
transactio
n_menu() if
choice ==5 :
sea
rch_m
enu()
if
choic
e ==
6:
repor
t_men
u()
if
choic
e ==
7 :
break

if name == "
main ":
main_menu()

25