Banks today operate in a highly globalised, liberalized, privatized and a competitive environment. In order to survive in this environment banks have to use IT. It is increasingly playing a significant role in improving the services in the banking industry. Indian banking industry has witnessed a tremendous developments due to sweeping changes that are taking place in the information technology. Electronic banking has emerged from such an innovative development. Hence, the present study is undertaken by the researcher to analyse the customers’ perception towards the e-banking services in Mayiladuthurai town. The present research explore the customers’ perception regarding the reasons for adoption of e-banking services, benefits availed through e-banking and problems faced while using e-banking services.