With the introduction of digitalization and the digital India program, the banking sector has become more competitive, assuring improved customer service and achieving the objective of a cashless economy. Banking has begun to change from cash and paper-based banking to cashless and paperless banking as a result of digitization. The objective of the paper is to study the challenges faced by the customers of digital banking. A sample of 300 respondents was selected from the state of Punjab to collect the data. The Analysis has been done by using Percentages, Chi-square test and Weighted Average Method. Long processing time, Insufficient technical knowledge, server issues, poor network, and high transaction cost are some hurdles in the path of digital banking that are needed to be resolved for the betterment of digital banking.

___________________________________________________________________________________

Keywords: Digital Banking, Awareness Level, Challenges, Customer Service, Digitalization.