The opening up of cyber arena for banks and other financial institutions has given rise to numerous opportunities, for them as well as their customers. Online banks bring in the convenience of operations and simplified financial transactions as opposed to traditional brick-and-mortar banks. However, their online presence is marked with some shortcomings as well. These shortcomings, if not dealt with appropriately, will affect the confidence of customers in online banking practices.
Let us delve into the pros and cons of internet banking.
Is Internet Banking a Boon for Modern Generation?
As the era of world wide web dawned, several industries, including banking sector, cashed in the benefits. Broadly, online banking offers convenience to customers and bankers alike. Be it Automated Teller Machine (ATM) or the pleasure of online shopping, its bounty is far from being ordinary. Thanks to internet banking, that the sight of crowded bank branches and endless customer queues is rare today.
Furthermore, it gives the customers the flexibility of 24X7 banking from anywhere around the world. Customers can now manage their bank accounts and financial portfolios right from the comfort of their homes. Additionally, as the operating costs of banks reduces substantially, their customers enjoy lowered cost of banking services and better rates of interest on their deposits.
But, at the same time we must not ignore the perils of online banking.
Pitfalls of Internet Banking
Same as other aspects of technology, e-banking too suffers from certain security shortfalls. The concern of cyber attacks and online fraud is haunting the banking sector big time. Fraudsters take advantage of banking going digital to leak out confidential customer information and plot financial thefts. Moreover, phishing attacks and spyware programs pose as critical cyber hazards for banks, financial institutions, as well as their customers. Also, as an online shopper you cannot be completely sure about security of your online financial transactions. Forged websites, among other cyber security risks, are there to threaten your financial safety.
Amidst all these risks and security breach incidences, the banking sector players must put in place advanced applications, such as antivirus, sourced from trusted vendors and keep them updated for enhanced security against latest e-threats. Reliable complete security software applications can assure comprehensive protection from evolving intrusion and security breach methodologies.