Online Banking

Some people find the idea of Online Banking hard to grasp, as it is not actually using real money-just numbers on a screen. However, the popularity of Online Banking is ever increasing due to the ease and convenience of it. More and more banks are setting up facilities online, which allow their customers to use their usual services through the internet and without having to actually go into a bank.

            One of the many reasons why Internet Banking is so convenient is because it is accessible 24/7, unlike an actual bank. It allows you to check your balance, make payments, transfer money, and download bank statements. The fact that you are able to do all this on the internet means that you can use a smart phone to do it, and therefore access your bank anytime, anywhere.  

            One of the biggest concerns with online banking is the security of it. Due to the fact that there is no way to prove that it is actually you trying to access your account, banks have to put a series of security checks in place to make sure that no one but you is able to access your account. These security checks include security questions, and sometimes your bank gives you a card reader, in which you insert your card, enter your pin, and it gives you a code which you enter into the website which gives you access to your account. This ensures that no one else can just log into your account and pretend to be you.

 This is the safety message that is displayed on Halifax’s website when you click on Online Banking. It ensures customers that they will refund your money if you unfortunately experience fraud- provided it was not your fault i.e. if you have been careless with your details.

            However, with the growth of online banking, comes the decline in actual branches. As more people are doing their banking on the internet, there isn’t as much need for staff in branches, which results in people losing their jobs, and branches closing down.

            Identity theft is also a big risk when using online banking, as it is easy to fall for scams through things such as fake e-mails. This is where people e-mail you pretending to be a big company asking for your bank details. It is harder for people to do this when you do not use online banking, so this could be seen as a disadvantage.

           

Personally, I do not use online banking as it was only recently that I found out that my bank provided this service.  I have never needed to use this as I don’t usually transfer money to anyone etc. so there would be no need for me to do my banking online. I think if it got to a point that I needed to regularly transfer money to different accounts then I would definitely set up and account for online banking, as it seems very easy and convenient, but I would make sure to be wary of potential dangers of entering my details online.