Online Banking

What is online banking?

customers can use the internet to access the bank account via a secure website

Why might someone use online banking?

• Check their bank balance

• View or print bank statements

• Pay bills online

• Set up new, separate accounts

• Transfer money from their accounts

• Pay using NFC

How does online banking work?

1. customers use a username and password to log on to the website

2. for additional security they may be asked security questions

3. once online they can carry out a range of activities

Advantages for the customer

• Transactions can be done at home, work or on the move using mobile technology

• The website is available 24/7

• Access their bank account when abroad/ globally

• Using faster payment allows money to be moved immediately

Disadvantages for the customer

• Not able to deposit or withdraw cash

• If the website goes down, customers cannot access their accounts

• Difficult to sort problems regarding specific banking queries

Advantages for the bank

• Fewer branches and staff are required as there is no need to visit the bank

• Produce e-statements, which save on paper and postage costs

• Attract a larger customer base, as they do not need to live close

Disadvantages for the bank

• Security risks and cybersecurity threats

• Not all customers have access to internet banking

• Implement and maintain complex security systems for customer data