Online Banking. A Convenience NOT So Convenient

Online banking a convenience
Online banking a convenience

The growth of the internet has certainly brought us much handiness. The VoIP services, social media, online shopping and a 24/7 banking facility on your computer screen. The online banking has really put the financial industry as well as common banking costumers at ease. But like all the other facilities, there is also a dark side of the grey in online banking too. Getting facilitated with online banking, there is always a danger of losing not to be disclosed banking information such as; credit card number, bank account number or online banking username and password. The cyber criminals are always anxious to find this confidential information. They plant many plots to get such information, and they did not give anybody a second chance once he/she steps into their trap.

The e-criminals are no doubt devilish genius, but the fact is that they do not do much except exploiting the loopholes of the security and the banking system. Not much long ago, a company faced an overnight fraud of $180,000, thanks to the hackers. The company that was involved in the business of installing maintenance and security named Primary Systems Inc. was cheated by a bunch of guys for such a big amount. The loss of a huge amount of $1.8 lacks was the result of just a single click on a malware link contained in an email. The malware link undisclosed all the backdoors and hidden passages that can steer hackers to the company’s account. The company was unaware of the big blow that has hit the company until the company’s payroll manager logged into her account on Wednesday, the May 30th, 2012. She was shocked to see a mammoth transfer of $180,000 that took place on Tuesday. The sum of about $5000 to $9000 was distributed among 26 individuals across the United States who had no dealings with the firm. The 26 individuals were hired as home based workers whose job was to transfer the received money to Ukraine.The first thought of the company was that it is just an error by the bank, when they contacted the bank they replied them that it is not an error but it was a transaction requested by the company. The cause of this scam was a mistake all around; the company was relying heavily on the antivirus, security software and firewall. They were thinking that these security measures will filter out all the malware objects and made their system cent percent secure. The bank was on mistake as the bank should confirm such a big transaction from the payroll manager or some other relevant employees of the company. The company used to make a payroll transaction on Friday, but a huge transaction requested on late Tuesday, which was definitely fishy. The bank should have thought how a company can hire 26 new people overnight and send those amounts of $5000 to $9000. The bank did not rely at all on their senses, they just did what was instructed, and they did not bother to confirm the transaction.Online banking is a big facility, but, it is not the safest passage to make the financial dealings. Both the clients and the financial institution ought to make amendments in the loopholes to make this facility a real blessing.

Is Online Banking Convenient?

Yes, online banking is very convenient. It allows you to access your accounts from anywhere, anytime and makes it easy to manage your finances. You can also set up automatic payments and transfers, view account balances and transactions, and even pay bills online.

Pros And Cons Of Online Banking

Pros

The benefits of online banking include convenience, cost savings, access to more services, security, and improved customer service. Online banking allows customers to access their accounts from anywhere and anytime, pay bills, transfer funds, check balances, and more.

Additionally, online banking can be cheaper than traditional banking, as it has fewer overhead costs. Furthermore, customers can access more services, such as investments, insurance, and loans, than they would with a traditional bank

Cons

1. Security risks: Online banking carries a higher risk of fraud and identity theft than traditional banking.2. Limited access: Online banking may not provide access to all of the services and features offered by brick-and-mortar banks.

3. Technical difficulties: Online banking can be unreliable due to technical difficulties, such as server outages or slow loading times.

Why Do People Still Refuse To Use Online Banking?

People may still refuse to use online banking for several reasons. Some people may feel more comfortable dealing with a physical bank, where they can speak directly to a teller and have a more personal experience. Others may be concerned about the security risks associated with online banking, such as the potential for fraud and identity theft. Additionally, some people may be wary of the technical difficulties that can arise with online banking, such as server outages or slow loading times.

Issues In Online Banking

The main issues associated with online banking are security, privacy, and technical difficulties. Security risks include the potential for fraud and identity theft and the risk of hackers gaining access to sensitive information. Privacy concerns may arise from sharing personal information with third-party companies, and technical difficulties can range from slow loading times to server outages. Additionally, customers may not be aware of their rights and responsibilities regarding online banking.

Do People Prefer Online Banking?

The answer to this question depends on the individual. Some people prefer online banking for its convenience and the ability to access their accounts from anywhere. Others may hesitate to use online banking due to security and privacy concerns. Ultimately, it is up to the individual to decide whether they prefer online banking.

Negative Effect Of Mobile Banking

One of the main adverse effects of mobile banking is the potential for security breaches. Mobile banking is often less secure than traditional banking methods, as it is more vulnerable to hackers and malicious actors. Additionally, some mobile banking apps may not have the same level of encryption as other banking methods, which could lead to sensitive data being stolen. Ultimately, users should be aware of the risks associated with mobile banking and take steps to ensure their data is secure.