How to Do Online Banking

Updated: 31-05-2022 09:39:45 AM

Online banking or internet banking is an electronic payment system that authorizes bank customers to carry out a variety of financial transactions through the website of the particular financial institution. The internet banking facility lets one to manage finances from anywhere, be it their home or office as per their convenience. Account holders can carry out their banking transactions securely and with total privacy through online banking.

How to do online banking?

There are a few simple steps to register for online banking. This includes the following steps given below:

• The customer has to enter his/her personal details such as name, date of birth, postcode, and account details of the particular bank in which the account is held.
• The customer then has to select a username and a password for the online banking account.
• The customer can then sign in to online banking by using the same username and password that he/she has chosen.

Advantages of online banking

• Customers can use online banking for payments of their bills. The bills can be paid directly through the website of the particular bank.
• The customers can set up automatic bill payments. Sometimes, the customers are charged for paying through online mode. The customers should keep in mind about fees associated with online bill pay.
• Customers can view their transactions online. To check the balance of their account, the customers can check the cleared debit on regular basis.
• The customers can also keep track of their pending transactions. The customers can even identify any errors that need correction.
• The customers can transfer money to other accounts. It makes money transfer easier; the customer need not visit the bank to transfer money as it can be done from home through online banking.
• The customers can check their funds before spending it to confirm if they have enough money or not. The number of transactions that can be done in one day should be kept in mind of the customer.
• Most of the banks have their mobile banking application which helps the customers to take advantage of online banking on their phone. They can check their balance at any time and from anywhere.
• The customers can sync their mobile banking apps automatically with their online banking information. Using an online budgeting application makes management of money easier for the customers.
• Customers can protect themselves by being careful while using online banking. Monitoring one’s account for fraudulent charges can be monitored through online banking.
• The customers should use their own mobile data, instead of public Wi-Fi while accessing their accounts. They should follow the password guidelines and on a regular basis and change their passwords from time to time.

Disadvantages of online banking

• Online banking does not ensure complete safety like the banks usually offers secure web pages to conduct their business transactions.
• Online banking may take some time for new customers to get used to this kind of process. Customers have to take out their valuable time while using online banking.
• Some people may feel uncomfortable to enter their private financial data in the online account thinking of any fraud that may happen to them.
• If the customers’ business is located in a rural area, they might find it difficult to use the online banking option for fund transactions as the internet options might be limited in that area.

Safety Tips for Online Banking

Online banking is generally safer than traditional banking. It is safe if safe banking technology is met by alerted customers at the front end. One has a role to play as the account holder in protecting accounts. Criminals also work on a smaller scale through direct consumer attacks. For example, fraudsters often use so-called phishing scams, in which they send e-mails pretending to represent a financial institution in the hope of contacting an unsuspecting consumer. It is relatively easy to stay safe. We need to keep our computers and equipment up to date.

• If the bank requires a password generated by the user to access online accounts, make sure that the password is strong.
• Use passwords that are difficult to guess and never write them down.
• Never respond to emails, phone calls or text messages requesting you to provide sensitive (or personal) account information.
• Don’t answer any emails that seem too good or bad. Certainly, scams occur online.
• Remember, the most vulnerable actions are giving someone else money or information.
• Customers should regularly monitor their accounts. Connecting to the bank using computers and networks we know and trust is always the best practice.

Difference between Mobile Internet Banking and Online Banking

Mobile banking and online banking are closely related to each other, but some definite points distinguish between the two. Many of the activities performed through mobile banking are similar to online banking. Mobile banking is done using a smartphone or a tablet, whereas online banking uses a desktop or a laptop. One requires downloading the particular application of a bank in order to use the mobile banking facilities, whereas, for online banking, the customer requires to open the particular website of the bank.

Mobile banking provides the following services to its customers:

• The customers can make mobile check deposits.
• Customers can transfer money.
• One can pay bills online.
• It helps to locate ATMs

While online banking provides the following services to its customers:

• Customers can view account balances at any time of the day.
• Customers can view or print statements.
• Customers can view images of checks online.
• Customers can apply for loans or credit cards.

FAQs

1. Is it safe to use Online Banking?

Yes, Online Banking is safe when secure bank technology is met at the front end with alert consumers.

2. What are the benefits of Online Banking?

Online banking allows customers to pay bills, view their transactions, transfer money between accounts and many more.

3. How to register for Online Banking?

One needs to open any bank’s website, then select Online Banking > signup > check, I have read and agreed to the Terms and Conditions and click Accept > enter the Debit Card Number and PIN > click Next to confirm.