1. Online Banking Janae Atencio Jenn Swapp Heidi Zander

2. Bank Web-sites Online brochure – Products and service Resources – Rate quotes – Calculators – Financial terms and definitions – FAQs Customer Service – Branch and ATM locator – Contact us Online Banking

3. Why choose Online Banking? Easy overall account management Access to accounts Convenience Bank any time of day Perform any non-cash banking transaction Automate payments and transfers No personal assistance needed

4. Getting started At web-site or branch – Set up username and password – Account number – Social Security Number – Birth Date – Mother’s maiden name (or other hard-to-guess info) – Forget password? Call customer service to reset or remind

5. Online Banking Overall Account Management Balance Inquiry – Check account balance Account Transaction Review – Account history – flexible time frames – Verify check clearing – Verify deposit/direct deposit Open an Account – Checking, money market, savings – Apply for loan

6. Online Banking Funds Transfer – Move money between accounts – Loan payments – Transactions posted immediately (most banks) Bill Payment – Merchants - utility bills, retail stores, credit cards – Choose source account – Add your own payee – Name, address, phone number, account number (where applicable)

7. Online Banking Receive E-Bills – Select merchants offering e-bills – View, pay, and store online Alert and Notification – Account balance reaching personal limits – Interest rates reaching desired levels Download Account Transaction History – Download account history in various timeframes – Compatible with personal financial software: Quicken, Microsoft Money, etc. – Easily manage finances

8. Online Banking Wireless Banking – Through web-enabled cell phone and PDA’s – Account balance inquiry – Transfer funds Personal Preference – Create your own account names – Schedule transfer of funds and bill payments – Categorize payments

9. Research before you sign-up Features Offered Fees – Online Banking – Bill Pay – Downloading account history Customer service hours – 24 hour phone vs. email Merchants available through bill pay system Statement history available Processing time of transactions Ability to downloading accounts history into personal finance software Understand web browser requirements Read “User Agreement”

10. Security Concerns of Online Banking According to a Consumer Reports survey of 15 banks and 300 participants who bank online… Two-thirds of respondents stated they were worried that a hacker would attack their bank’s site While your money is safe, and guaranteed by the bank, the real danger is theft of your personal information Your Social Security number and date of birth may be attached to your account, and with this info, hackers can open credit cards, and run up bills in your name

11. Security Concerns of Online Banking Robert Smith, and internet security consultant, claims that the safest web-site you could visit is a bank-web-site Banks surveyed used 128-bit, Secure Sockets Layer (SSL) encryption, which scrambles data in transit between your web browser and your bank's web server (industry standard) Banks have fire walls and virus-detection programs to keep outsiders from pilfering accounts Customers must submit user IDs and passwords before gaining access to accounts Some banks adding extra precautions – calculator-like security device that provides additional encryption – trend in Europe and Asia

12. Tips for added security Your responsibility… – Have a different PIN number for ATM and online banking – Don’t save you username and password on your browser – Check balances periodically – Avoid public computers – Don’t carry account number in your wallet – Always “log off” from bank web-site Ensure your Bank… – Does not show full account number – Automatically logs you out after 5 failed log in attempts – Automatically logs you out after 15 minutes of idle time – Web-site has the inability to hit “refresh” or “reload”

13. Trends in Online Banking Currently 25 millions US households  growing to 50 million within next ten years Existing online users  “Power Users” Banks are dropping bill pay fee to differentiate themselves from competitors Banks leading customers to Online Banking because it is a less expensive service channel Getting rid of the brick and mortar is not the wave of the future Industry is technology driven – fine tuning after jumping ahead too soon

14. Customer Conversion Innovators Early adopters Early majority Late majority Laggards Online Bill Pay Customer Base Online Banking Customer Base Banks will spend next few years fine-tuning the technology and moving the customer base up through the levels of conversion

15. Sources Lee Carter, President, Online Banking, Zions Bank zionsbank.com, americafirst.com, usbank.com Consumer Reports, February 2002, Volume 67, issue 2, p. 28 (4 pages), http://onlinebankingreport.com/resources/sr7.html, published December, 2002 (required to pay for entire report) http://onlinebankingreport.com/resources/sr7.html Jikarta Post, copyright by World Sources, Inc. August 05, 2002, Internet Banking: Is it Really Safe and Worth it? Business Source Premier, December 17, 2002, Vol. 167, Issue 240, Online Banking Focus Shifts to the Essentials, by Stoneman, Bill Business Source Premier, November 22, 2002, Vol. 167, Issue 225, Branch Personnel Lead Customers to the Web, Stoneman, Bill