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The introduction of internet banking in India has witnessed a tremendous growth in the Indian banking
industry. Internet banking has become the latest channel of delivering financial services to different categories
of its users. It is also known as online banking, internet banking, virtual banking etc. The success of concept
of internet banking in India is highly dependent upon its users as well as the banks which have introduced the
internet banking services in their bank. This research paper has been written from the point of view of users
of internet banking services. The main objective of this paper is to study the perceptions of users of internet
banking services and to study the strategic issues involved in it. For this purpose database of both primary and
secondary sources has been used. The data for users’ perception towards internet banking is collected using
well structured and pretested questionnaire. The questionnaire is prepared on the basis of 5 point Likert scale.
For the primary data collection the sample size of respondents is 100 for this study. The analysis was done
using statistical techniques like descriptive statistics and t-test. The study concludes that customers perception
on usefulness and convenience have strong influence on the internet banking adoption but security, privacy,
tangibility and cost are such factors which negatively affect the perceptions of users of internet banking. These
perceptions affect the user’s decision of adoption of internet banking also