It is the high time we bid paper banking goodbye. We are living in the world of great thinkers and innovators. The banking sector has evolved tremendously in recent years. From the era of barter trade to the era of money and banking. Today, we are in the era of banking but through the internet.
Some of the services offered online are:
-Checking current balances.
-Verifying of withdrawals, deposits, payments, and all transactions.
-Setting up account alerts to your mobile device.
-Checking loan details, such as interest rate.
-Pay bills and taxes.
It is the high time we embrace the online banking as it has come with various advantages to both the users and the service providers.
Some of the advantages it has to both users and service providers are:
Transaction speed. Through online banking, users are able to carry out their transactions faster as there is no need to visit the banks.
Transactions can be done from anywhere as long as there are the right tools and the internet.
Also, it enables the banks to reduce some overhead costs such as the costs that are used in employing bank tellers.
In addition, it reduces paperwork thus facilitating efficiency.
Convenience. Online banks are accessible throughout the 24 hours.
Online banking has got some drawbacks also. For instance, there is a percentage of people who are unable to access the online banking services due to illiteracy, inaccessibility to the internet, computers or smartphones. Furthermore, another drawback is the periodic change of banking sites. This means that many banks keep upgrading their sites and at some times this may require clients to re-enter account information.
Trustworthy is another problem of online banking. If the client is using the internet that is not secure, there is a possibility of his/her account being easily hacked.
In terms of customer service, it can be below the quality the customers are used to. Also, the online system involves a long procedure while accessing. Some banking sites might not be user-friendly due to complex features in them.
In addition, banks may require a huge amount of money to establish a website incorporating attractive features. This website requires close observations and frequent upgrades.
In conclusion, there are several types of online banking. Examples are mobile banking, debit cards, credit cards. Also, a very ideal example of mobile banking is the M-pesa services. Offered by a giant telecommunication company known as Safaricom (in Kenya).