Is Online Banking safe

Online banking is one of the conveniences of the digital era that has transformed our lives the most. With just a few clicks or finger taps, we can manage our finances and get access to all sorts of financial services no matter where we are. However, just like many other digital services, online banking comes with its own disadvantages and raises some concerns in regard to privacy and safety.

In this article, we’re taking a look at online banking from the digital security angle and addressing some of the most commonly asked questions in regard to online banking and digital security.

What Are the Advantages of Online Banking?


Online banking took off for a reason, even in spite of all the problems that naturally arise with digital services. In other words, there are a lot of advantages to online banking that outweigh all the potential cons. Some of them include:

Are Online Banks Safe to Use? The Security Measures


Whenever our capital is at stake, we like for things to be as secure and efficient as possible. Traditional banks employ security, store money and bullions in vaults, install CCTV systems, and function under strict policies that ensure the client that their funds are in safe hands.

But are online banks trustworthy? Online banks take similar precautions, only in the digital world. These platforms implement multi-layered encryption, feature authentication protocols, set up firewalls, and rely on other safety measures to protect users and their data. 

Let’s take a look at some of these systems:

The Risks


Even though online banks implement a lot of safety measures to safeguard their information, digital banking is not entirely without risks. This is hardly surprising, as the internet as a whole is by nature open to all sorts of cyber attacks, and not even government-run platforms are immune to hacking.

Some of the major risks involved with online banking include:

How to Stay Safe


While banks are responsible for safeguarding your information, a lot of problems can be avoided if you take additional safety measures to protect information and portfolio assets from cyber threats. For example, you can:

Use Strong and Unique Passwords

Even though most online platforms remind users to create strong, long, and unique passwords, a lot of users still choose convenient strings of characters or numbers, such as their birthdays or pet names. This is highly dangerous. The more common your password, the easier it is to crack, and the more likely it is that a hacking party will have access to your information. 

Instead, try choosing a seemingly random password by mixing uppercase and lowercase letters, numbers, symbols, etc. Moreover, use a different password for each of your accounts and try to log out after every session. 

Use Two-Factor Authentication (2FA)

A strong password is the first step to safety, but what if you could have two passwords for each account? You can, with 2FA. 

With 2FA on, users are required to provide two login and authentication factors to verify it is actually them who are accessing the website. This is useful because even if hackers, for example, steal your password, they might not have your biometric data required to log in. 

Avoid Public Networks

Public networks such as those you can access in parks and cafés are notoriously unsafe and open to attacks. If you have to conduct business or access your account on the go, it is advised to use a Virtual Private Network (VPN) or wait until you’ve got a more secure connection available. 

Keep Your Devices Updated

Operating system updates usually come with security fixes and patches, so be sure to keep your devices updated. Moreover, be sure you update the actual online banking app, as older software tends to be less secure. 

Beware of Scams

Beware of emails, messages, or ads that claim to be issued by your bank, especially if they feature suspicious links, as they can be a sign of a scam. Legitimate banks, online and physical, will never ask for your personal information that way.

Avoid Third-Party Apps

All online banks have their proprietary software that you can use to access their financial services. You should never connect your banking app to another platform or website unless you are made sure by your agent that you are dealing with the bank’s legitimate partner. 

Monitor Your Account

Sometimes, you might even be unaware that you have been targeted by malicious parties until it is too late. To be sure your funds are safe, monitor your account activity and report any suspicious transactions or changes to your branch. 

Moreover, a lot of online banks nowadays offer users the option to set up account alerts, that is, notifications for large transactions or unauthorized login attempts from remote locations. These alerts are useful as they allow users to quickly respond to potential security threats. 

Some Commonly Asked Questions


Are Online Bank Transfers Safe? 

Online bank transfers are generally safe, provided they are conducted through secure channels with all the necessary safety measures in place. To make sure your transfers are safe, use only legitimate online banking platforms and never share your financial information with unauthorized parties. 

Is Online Banking Safe on Android? 

Online banking on Android can be safe if you approach it with the right mindset. Android is one of the most widely used mobile operating systems, and it offers users a lot of freedom to customize their mobile experience. That means it can be an easy target for cybercriminals looking to exploit the open-ended nature of the software. To ensure your data is safe on your mobile, make sure you update the operating system regularly and use only trustworthy apps. 

Are Online Bank Accounts Safe? 

Online bank accounts are generally safe. However, it must be noted there is always a possibility of a cyberattack due to the nature of the internet as a whole. Fortunately, reputable online banks do all in their power to safeguard user data and insure them in case of a malicious data breach or theft.

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