Online banking is a feature provided by the bank for its customers to do all their banking from anywhere they like on the secure website of their financial institution. The different tasks can be performed such as bill payment, transferring funds, completing loan applications, checking online statements, asking questions, obtaining location information, and many more.
Though online bank is a convenient way to perform your entire task, there are still some disadvantages to it.
Let’s look at some of the pros and cons of online banking.
Pros of Online Banking
- Convenient
Unlike physical banks, online banking sites never close. They’re available for 24 hours a day, seven days a week, and they’re only a mouse click away. But sometimes the server may be down. Most banks even offer 24-hour live customer service or email customer service capability.
- Transaction speed
The transactions through online banking sites are quite quicker than ATM processing speeds.
- Mobile Capability
With not just the convenience of online banking, some banks also feature mobile-friendly websites that allow customers to do their banking on the go. The apps of the bank offer more and more feature that is compatible with the many smartphones.
- Ubiquity
If there arises any money problem while you’re out of the country, then you can instantly login to your online bank and take care of business at any time.
Cons of Online Banking
- Transaction Issues
Even though online banking is more convenient, there are certain terms of banking that need to be done in person rather than from your mobile phone or behind a computer. Depositing cash, making certain types of international transactions, and other service issues should be done in person as it can be challenging to address via email or even real-time customer service chat capability.
- Banking site changes
There is a periodical upgrade in their online sites by different banks for adding new features. With frequent upgrade customers may have to re-enter account information.
- Learning curve
There may be somewhat of a learning curve at first as some banking sites can be difficult to navigate. It is only difficult until you find out how to access everything.
- Trust
Trust is one of the major problems of the online banking system because of two main reasons: identity theft and operator error. In case you are using a non-secure wireless Internet connection, then it might not be a good idea to use online banking. With this, a savvy ID thief can easily view your personal information.