Disadvantages of Internet Banking

For many years, internet banking has become a much sought after way of life for those who do not like or have the option to wait in the queue, travel to a bank, fill out forms…etc and had given the banks the option to tap into a new breed of banking customers whom would otherwise may not be attracted to usual banking practices.

Though it seems rather sophisticated and highly convenient, there may be certain disadvantages associated with this type of banking practices as well. These disadvantages would most likely to occur in instances where the customers are not geared to use the online banking systems as recommended and this would not only make certain customers to refuse online banking but for some to lose their identity to a third party leading to massive financial losses.

Thus, knowing the disadvantages of internet banking would also be useful in making an informed decision in relation to getting registered for an internet banking account. Therefore, let us find out some of the disadvantages seen in internet banking for the benefit of the people who wants to make an informed decision.

-The login information can go to the hands of a third party with relative ease when compared with the traditional mode of banking.

-Virus like software can track down usernames and passwords without the knowledge of the account holder and pass it to a third party.

-There can be technical failures from time to time which can put the online transactions for hold without any prior warning.

-When a person requires obtaining customer support, it may take a while as live customer support facilities are not available through the online system in most instances and the contacting them through hot-lines may take few attempts to be successful.

-Unless the user is sound in computer skills, it will take a while for a person to get familiarize on how to perform certain transactions in the beginning.

-There may be an additional charge imposed by the financial institutes for transactions done through the online mode or else for registering in the system annually.

-It may take a while than it takes through the traditional system to set up an internet banking account and for it to be activated.

-It is relatively easy for a transaction to take place mistakenly as the process involved in making such a transaction is rather simple.

When looking at these disadvantages, it is apparent that they are not so disheartening for a person to get registered to an internet banking account and in the near future many of these disadvantages will also be resolved with the help of technology to a great extent.