March 25, 2023

Y M L P-243

Can you feel Business?

Online Banks: Can They Be Trusted To Take Care Of Your Money Transactions?

Online Banks: Can They Be Trusted To Take Care Of Your Money Transactions?

There has been overwhelming controversy on the reliability and trustworthiness of online banks in providing financial transaction services. Some of the reviews have been collected on UKCollectedReviews. However, there is an imperative need for one to understand what online bank/banking is all about.

Online banking enables a user to transact financial businesses through the internet. Through online banks, a user can conveniently manage bank accounts via a computer or mobile device. These transactions may include electronic payment of bills, fund transfer, checks deposition, etc. Online banks are different from traditional banks in that their basic service is to offer access to bank accounts via the internet.

This is not to ignore the fact that most traditional brick and mortar banks have also inculcated online banking services. Notwithstanding, there is no face to face contact in online banks just as it exists in traditional banks with branches. This explains why some individuals may be skeptical about them, and hence questions like, is WorldRemit reliable, would come up every now and then.

With the rapid growth of technology, the imperativeness of online banking became pronounced in the early 1980s. The history of online banking can be assessed here.

Examples of online banks are – WorldRemit, Bank of Internet USA, TIAA Bank, Discover Bank, Capital One 360, etc.

The Pros and Cons of online banking have been analyzed at various instances. The major benefits of online banking are speed and convenience. It is unarguable that online banking has made possible for all daily business transactions to be carried out from home. Other advantages include- lower or no service charges, better interest rates, no branch maintenance fees, etc.

The disadvantages include- lack of face to face bank-customer relationship, internet failure, difficulty of cash deposition, technology and service interruptions, security and identity theft concerns, etc.

Most times, there are also avenues for customers to provide reviews regarding their experience with these online banks, for keeping tabs on the improvement of their online banking services. Thus, customers have a say on how the services should be run. 

Generally, it is good advice for one to keep accounts at both traditional banks and online banks. If your top considerations are higher rates with lower service charges and improved bank savings, then you may want to patronize online banks.

To answer the subject question, both online banks and traditional banks are not totally safe.  However, banking in a cyberspace can be as safe, if not safer than keeping an account with a brick and mortar bank branch. To maximize security of accounts with online banking, certain steps could be taken by a customer.

Some tips to safely bank online are:

·         Usage of original anti-virus software.

·         Usage of strong passwords which should also be changed regularly.

·         Avoidance of usage of public Wi-Fi.

·         Avoidance of usage of public devices for internet banking.

·         Update yourself on your device’s latest operating system.

·         Checking of account details regularly.

·         Notification subscription about your net banking.


In as much as online banking may be bedeviled by a few subtle factors, it has brighter sides and advantages which are not offered by the traditional banks. Both traditional banks and online banks are not safe as heaven, but with the measures enumerated above, a customer can play a viable role in ensuring utmost safety of their accounts.