What concerns do you have with online banking? What benefits and disadvantages can you identity?

Answer 1

It's the only way to go. My paycheck goes into my primary checking account each month. All my savings and investments are contributed automatically from there. And all my fixed costs are paid automatically too--ALL of them. So I'm NEVER late on a payment, and I ALWAYS save and invest regularly.

I automatically have a few hundred bucks (what's leftover--same amount each month) transferred to a separate "spending" checking account each month. That's the account I use to buy gas, food, go out, etc. My whole financial life happens without me ever having to set foot in a bank!

It seems dangerous to have your account info "out there" in cyberspace, but those online banking systems are even more secure than the databases your bank/investment firm uses. In other words, its even easier to hack straight into a bank's system and get info than it is to hack into the online banking system of that same bank (unless it's a really big bank in which case they're both equally secure). That's because banks with limited resources invest the best (and most expensive) security measures in their online banking sites first--because one incident can ruin consumer confidence with online banking forever.

Everything in banking/finance is happening online now--whether you're using the internet or your bank is using it for you.

Answer 2

Online banking is by far much safer, especially transferring money to third parties (i.e. to pay bills) in contrast to mailing a physical check.

You also receive the protection of the Electronic Funds Transfers Act; whereas physical checks mailed to pay bills could be stolen at any point along the way - and this fraud could all be your loss. In electronic transactions, if you report it to the bank within a specific timeframe, you would not be responsible for the loss of money.

Also, with online banking, you see every transaction in almost real time (depends on the bank). This is by far much better than waiting on a statement every 31 days. Finally, I can also see images of my checks as soon as they clear from my account and can print these images for my records - great for tax time to prove you paid.

Answer 3

I love it. I can't believe the world has existed this long without. No more need to go to the bank, you save fuel and it's easier to keep track of your account.

Answer 4

pros- its more convient and saves you lots of time

cons- some banks charge a monthly fee
- there are to many hackers out there now for me to put up all my personal info on the net even though it is "protected"