Online Banking

Learning Objectives To learn how society has been affected by online banking

What main ‘services’ do customers get from online banking? There are others….

Transfer Money You can move money from one account to another (even internationally)

Apply for loans / mortgages The website can see if your eligible for a loan and can afford the payments.

Pay Bills You can pay Credit Card Bills / Utility Bills very easily.

Task – Page 38

What Hardware is needed for online banking? – Customers Side What is the most essential thing you will need to go on the internet?

What Hardware is needed for online banking? – Customers Side Now to connect to the internet?

What Hardware is needed for online banking? – Company Side How will the company run the a website?

What Hardware is needed for online banking? – Company Side Wireless will be too slow, with all the data, so how will the company connect their network?

What Hardware is needed for online banking? – Company Side With all these cables a simple router won’t have enough ports.

What Hardware is needed for online banking? – Company Side What could they use to protect their data from hackers?

Task – Page 36

What software is needed for the client? How will the client view an online bank?

What software is needed for the company? Websites are hard to create, what could the company use to help them? A web authoring IDE Integrated Development Environment

What software is needed for the company? How will they protect themselves from hackers? HARDWARE IS BETTER FOR THIS!!

Task – Page 36

What security issues are associated with online banks? Hackers

What security issues are associated with online shopping? Identity Theft

What security issues are associated with online banks? How can companies protect your data? Encryption

What security issues are associated with online shopping? Pharming Phishing Spyware

Task – Page 36

Can close down branches, or hire less staff (save money). Advantages to the Banks

Easily contact customers about offers / information. Advantages to the Banks

Being open for business 24/7: Means customers can do what they need at a convenient time. The alternative would be for banks to open all day. Advantages to the Banks

Disadvantages to the Banks Start up cost – businesses will normally need to pay out a lot of money to have their websites professionally designed and developed.

Disadvantages to the Banks Website downtime – if the website goes down, no one will be able to do banking – this could cause loss of money / give bad reputation.

Personal touch – no personal contact with the customers can drive people away. Disadvantages to the Banks

Online Fraud – a lot of online fraud, means there is a risk of losing money with phishing and pharming.

Task – Page 36

Some online ‘e-accounts’ are free to setup so customers can make a small saving. Some accounts require a monthly fee. Advantages to the Banks

Customers can bank at a convenient time for them. Advantages to the Customers

Customers can bank at a favorite bank. even when they are miles away. Advantages to the Customers

Customers can shop around for loans, insurance, mortgages etc really easily. Advantages to the Customers

The Internet allows customers to look at a wide banks all around the world. Advantages to the Customers

Security concerns surrounding the financial information that is stored about customers Disadvantages to the Customers

concerns over what information banks are storing about customers. Disadvantages to the Customers

Task – Page 38

Advantages to customers

Disadvantages to Customers

Advantages to Banks

Telephone security

Disadvantages of phone banking

Advantages to Banks

Disadvantages to banks

Registering for Online Account

Security