Understand how online banking works, and how to keep safe and secure whilst accessing your accounts.
Online banking also known as internet banking, gives you online access to your money whenever you want. This could be your current account, savings account or credit card account.
Here is how to find the best internet current account for you.
Compare online current accounts from different providers and find a bank that works for you.
Online banking is the most convenient and flexible way to manage your finances and your money.
Internet accounts enable you to perform a range of banking services, such as setting up standing orders, paying bills, checking statements and transferring money online. This happens either through the bank’s website or using an app on your phone.
All the services, such as transferring money or paying bills, checking your account balance and sending or responding to messages are available 24/7.
That means you can bank at a time that is convenient to you. Since COVID-19, internet banking has become even more important, as bank branches may have restricted opening hours and people are working from home and using online services in greater numbers.
Quick payments:
Internet banking enables you to pay for goods and services quickly and simply, by transferring money electronically.
Security:
When you sign up for online banking you're given a secure log in and password, which you use to access their online bank account information.
If you're using an app on your phone you can log in using touch ID, such as your thumb or fingerprint to make sure that only you can access your personal financial details.
Checking bank balances:
You can see your financial affairs in real time, and check whether payments, direct debits or standing orders have been paid, and whether your salary or other payments have been credited to your account.
Avoid going overdrawn:
You can ask your bank to notify you by text if you're about to go overdrawn on your internet current account. This way you can potentially save on bank charges.
For customers the benefits are:
The main benefit of online banking for providers are:
Most people find online banking more convenient and easy to use, and like the fact that an internet current account gives them more insight and control over their finances.
However, before taking out an internet current account you should consider the drawbacks:
An SSL certificate is a type of digital certificate that provides authentication for a website and enables an encrypted connection.
There are many millions of so called “phishing” emails sent out every day to people by fraudsters who hope you will click on a false link and give your personal details.
Most of these scam emails will be picked up and quarantined by your email spam filter but you still need to be vigilant. Don’t reply to unsolicited emails or texts from your bank and be careful not to click on any suspicious links. If in doubt, get in touch with your bank using the contact details on their official website.
Like opening an account in branch, you'll need to verify that you are who you say you are. This will usually in the form of ID and possibly proof of address with a utility bill. Some banks will request video proof, so might set up video verification also.
Whether it be current account, savings account or credit card. Banks will and building societies offer different interest rates, and sometimes different incentives. So take your time to choose the right one for you.
Consider what you will need to do to maintain or open the account. Do you need to fund the account straight away?
This is usually in a short form asking you your personal details. Some banks will need to run a credit check for current account applications, as well as for credit card applications. Approval times vary from bank to bank, and person to person unless you are doing the Current Account Switch Guarantee, which takes seven days.
Once you have been approved for an account, you'll likely need to fund it to open it. Sometimes this is as little as £1, but make sure you find this out before applying to make sure you have the money to fund it.
Some current accounts are only available from virtual banks, which means that there's no bank branch for you to visit. Others have high street branches, telephone support and a mobile app, which you may find more useful if you don’t want to do all of your banking online.
Some online banks without branches have got round the problem of depositing cheques by allowing you to post them or to take a photo of them and download them to your account.
Some internet current accounts have linked savings accounts, while others give you an incentive to switch to them by providing a cash boost.
The best option for online banking for you might be a bank branched service combined with a pure online savings account – it really is important to think through what best suits your lifestyle and financial requirements.
Compare current accounts from different providers and find a bank that works for you.