write about the advantages and disadvantages of internet banking
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Answer:
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MAY 8, 2020
Advantages and Disadvantages of Internet Banking
ANUJ AGARWAL
Anuj is a freelance writer and software engineer by profession. In his spare time, he writes about finance and technology.
Learn all about the pros and cons of internet banking.
Learn all about the pros and cons of internet banking.
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Today, we can access many banking services online. Some of these services include paying bills, transferring funds, and viewing account statements. Banks also deliver their latest products and services over the internet. Internet banking is performed through a computer system or similar devices that can connect to the banking site. Nowadays, you can also use internet banking on your mobile phones, using a Wi-Fi or 3G connection. With the easy availability of cyber cafes and mobile phones in India and China, online banking has become quite popular.
You no longer need to visit the bank in person to deposit or withdraw money, request an account statement, or stop a payment. You can do all of these tasks, and many more, using the online services offered by the banks. You can also keep track of your account transactions and balance at all times. You no longer need to get passbooks updated to know your total account balance.
While online banking has many positives, there are also a few cons. Let's take a look at the advantages and disadvantages of online banking.
Explanation:
Pros and Cons of Online Banking
Advantages Disadvantages
An online account is simple to open and easy to operate.
Understanding the usage of internet banking might be difficult at the first. That said, there are some sites which offer a demo on how to access online accounts (not all banks offer this). So, a person who is new to technology might face some difficulty.
It's convenient, because you can easily pay your bills and transfer your funds between accounts from nearly anywhere in the world.
You cannot have access to online banking if you don’t have an internet connection; thus, without the availability of internet access, it may not be useful.
You do not have to stand in a queue to pay off your bills. Also you do not have to keep receipts of all of your bills, as you can now easily view your transactions.
Security of transactions is a big issue. Your account information might get hacked by unauthorized people over the internet.
It is available all the time. You can perform your tasks from anywhere and at any time, even at night or on holidays when the bank is closed. The only thing you need to have is an active internet connection.
Password security is a must. After receiving your password, change it and memorize it. Otherwise, your account may be misused.
It is fast and efficient. Funds get transferred from one account to the other very fast. You can also manage several accounts easily through internet banking.
Your banking information may be spread out on several devices, making it more at risk.
You can keep an eye on your transactions and account balance all the time.
If the bank’s server is down, then you cannot access your accounts.
You can get to know about any fraudulent activity or threat to your account before it can pose any severe damage.
If the bank's server is down, due to the loss of net connectivity or a slow connection, then it might be hard to know if your transaction went through.
It's a great medium for the banks to endorse their products and services.
You might get overly marketed too and become annoyed by notifications. That said, these can easily be turned off.
More online services include loans and investment options.
You might become annoyed by constant emails and updates.
Answer:
Advantages
It is fast and efficient. Funds get transferred from one account to the other very fast. You can also manage several accounts easily through internet banking.
Disadvantages
Your banking information may be spread out on several devices, making it more at risk.