Advantages of Online Banking

Introduction

In the recent years online banking has shot up where by making 21.5 million customers satisfied in using it easy, fast and most of all free services set up by banks in 2009 stated by the UK payments administration. All high tech banks offer the online banking system and most bank do not have branches only existing online. It is quite for a person to change to online banking, first the persons has to open an account with a bank or if they already have an account then just sign up for online banking with our current existing account. For security reasons the bank will provide we with a password which will enable us to activate our online banking system. These after they could log in any time they want.

It is easy to open an online bank account and well worth the small amount of effort required. Even when some people are not that familiar with online applications, it is worth persisting through the process. The advantages of using online banking transactions include convenience, easier financial management, and time and cost savings. Even the environment benefits because vast quantities of paperwork doesn’t need to be generated.

Online banking transactions can simplify our life by reducing the stress of managing our bills and savings. They are easy to use and from the bank’s point of view, secure. We can have our pay deposited directly into our account and disburse it online. The old way of lining up in bank queues and keeping a track of paperwork is no longer necessary. All banks make it easier to manage our checking account by allowing our set up e-mail alerts so our can be notified when checks clear or when our balance slips below a certain level. There is also a detailed listing of our cancelled checks.

Banks describe online banking as a powerful “value added” tool to attract and retain new customers while helping to eliminate costly paper handling, in an increasingly competitive banking environment. Nowdays, most large banks, many regional banks and even smaller banks and credit unions offer some form of online banking, variously known as PC banking, home banking, electronic banking or Internet banking.

Advantages On Online Banking

Online banking in this generation is becoming more and more common. Customers can do plenty of transaction just through Internet. Online banking also allows customers to keep track of record on our accounts. Customers can check on it in everywhere and anytime they want. Online banking makes their life easier and faster. Below are a few advantages of using online banking:

1. Pay Your Bills Online

For the past 5 years back, bank allowing their customers to pay their bills online. By paying their bills online, customers are starting to eliminate the method by post. It is faster and users are allowed to know did their payment made or not. Customers will just have to register once and they are allowed to use it in everywhere. The banks may charge them a small amount of interest but it will be faster and immediately payment will be made. This will make their life much easier.

2. View Your Transactions

Online banking does allow customers to view or check their history payment just in seconds. By now, they do not need to make phone calls to the bank and wait for the bank officer to check for our account. This also will be safer compare to make phone calls or send letters to check their payment. If any lost during the sending process by post, their password or ID will seen by strangers.

3. Transfer Money Between Accounts

Online banking allows them to transfer money from one account to another account more quickly. Nowadays, many people are doing business and it may involve million millions of dollars. It will be safer if they can make transfer just from online banking. Online banking also can automated to the service centre that they are using example, phone bills, house loan, monthly purchasing newspaper and many others.

4. Download Banking Transactions

If they are using ATM cards often this is a must to download their banking transactions to make sure the balances in their account are correct. This will make sure they are always on track with their account balances. They also do not have to worry about finding a place to keep all our receipts.

5. Protect Yourself Online

Using online banking there are a few things that they have to take it serious. It is important that they have to protect their own information’s. If they are downloading their account transaction from internet, they must remember to clear up the cookies. Passwords and user ID will seen by other people if they are not aware of this. It is very important to make sure they clear everything before they leave the website.

Disadvantages Of Online Banking

There are also disadvantages to online banking services. The biggest problem is that most people lack of trust, many people have doubts about the transaction, how can people believe a machine, many things can go wrong during the process. How many times have you performed transactions online and wondered whether you did the right thing? Of course, we can overcome the problem by printing the transaction receipt. This receipt will conform whether the transaction has gone through successfully.

Online banking can be difficult to learn for a beginner and a site could take time to start up. Some sites ask for photo identification, which can be very inconvenient. Many people have poor eyesight.

Most online banking sites provide tutorials for online banking. Some sites provide live online customer support to provide solutions for all the problems. The cases of online banking frauds are considerably low so we don’t have to worry about the safety of our money.

For some people, online banking is very convenient and useful, there is also people who afraid to handle the banking system. All these have been taken care of now, most banks have now started offering online banking services and a manual transaction could be done also.

Maybank Online Banking

Malayan Banking Berhad or Maybank is the biggest commercial bank in Malaysia. It holds many financial holders in Malaysia as well as internationally, including Indonesia and Singapore. It was founded by Tan Sri Khoo Teck Puat in 1960. Maybank has grown to the competitive advantage over the years and has more thank 300 branches in Malaysia alone. Few ages ago, the client of Maybank had to at all times go to the Maybank centre and wait for long queues to do their transaction. Nowadays, Maybank is reaching to the top and has become the first commercial bank in Malaysia to run its own on-line banking system. Maybank2u.com was created in early 2001. Not too long after that, many banking institution now has followed Maybank’s step to on-line transaction.

Maybank2u.com offers outstanding services to its clients, such as internet banking, on-line Islamic banking, as well as services for credit and charge cards holders, and many more. Of the entire services offer by Maybank2u busiest service is the on-line banking transaction. These consist of making payments and transferring funds by the internet. Maybank2u.com runs their own policy under the Maybank Berhad terms and regulations to make sure the security of their service is reliable to the clients. Although the security policy is not publicly stated, as it is confidential, the same security policy is being used in each and every Maybank branches in the world. This is to ensure the safety of the clients’ information and their satisfaction.

It is clear that Maybank2u uses the Transaction Processing System (TPS) for their general information system. A Transaction Processing System (TPS) is a type of information system that helps to collect, modifies stores and retrieves collection of data transaction of an individual entity as well as an enterprise. E-business, e-commerce or other commercial businesses depend on the data reliability of their transaction processing system. This is to make sure that their client get what was asked for and payment are made on time. With Maybank2u, any kind of transaction can be made there and then.

It is very time efficient especially for busy people. Transaction processing system involves the financial department. This is because most transaction occur within Maybank2u revolves around cash, credit, charges and account balances. Financial department are responsible on knowing what goes in and out of the bank and client’s account.

Transaction Processing System

The transaction processing system offers features that could relieve enterprise transaction system to process data transactions faster in order to manage the whole enterprise data. There are particular characteristics to operate transaction processing system. A TPS is a very fast way to processing transaction virtually and is very reliable as it is designed with safeguards to manage disaster attack, so customers will not worry of data loss during a sudden disaster. It can easily be retrieved using the customer’s id and password at the particular service centre. Not only it is reliable, TPS is also standardized by the Transaction Processing Performance Council, meaning that the system will always process every transaction made by the user with the same way every time there is a transaction. This is to ensure the security of the system. Restricted access is implemented to TPS, so that it can only be used by the employees authorized by the system to avoid system errors.

There are two types of transaction, which are batch time processing and real time processing. Batch time processing differs from real time processing because batch time processing only processes transactions once a month automatically and stores the resources later for future transaction. This is usually needed when processing credit card transaction. Meanwhile, real time processing is the kind that will update every transaction made immediately. This is important because when a withdrawal of money is being made, bank and customer’s account need to be updated immediately so that both parties can keep track of their funds. Therefore, both types of transaction are being applied by Maybank2u to serve the public in giving what they need. Another TPS characteristic is its durability which means that when the transaction is successful, no further changes can be made. However, in any case of failure of the system, a log will be created to store all the transaction that has been completed. These common characteristic of a Transaction Processing System will make sure that the system is run systematically and standardized.

Security System

Nevertheless, security is a major priority to every big enterprises, especially successful commercial banking. There is a lot of security issues involved especially with dealing with on-line transaction such as purchasing items or paying for services on-line. One of the main security threats of internet banking is identity fraud. Identity fraud is not a new threat, as it has been mentioned most of the time. But, there are still people who refuse to follow rules made out to avoid this type of threat. Some retailers and stores are lacking the awareness of identity fraud. Most cases of identity fraud are having their pin code or password duplicated. Purchases by credit and charges card are made by other people but not by the genuine owner or the account. This kind of behaviour can happen anywhere at any time, especially when shopping on-line, purchasing airline and movie tickets.

Maybank2u is ready for this kind of situation. For example, before processing a payment, it is shown above to the users on how to find the billing account number, so that the client will not accidentally input the wrong account number. To avoid identity thief or any other kind of identity mischief, Maybank2u requires a Transaction Authorisation Code (TAC) to undergo the payment process .Therefore, in each and every transaction made by the user, a TAC will be sent to the client’s cell phone number, and once received it should be input within 2 hours into the TAC box before completing the process. The Transaction Authorisation Code will automatically expire every 2 hours to avoid any security breach to the account. When the transaction is processed is successful, it will be automatically saved into the Maybank2u.com transaction history for future user reference. Its payment receipt can also be printed for keeps.

Maybank has introduced this system to be used in all Maybank centres worldwide. Maybank2u.com requires only easy set up in creating a maybank2u.com account. User can log in using their existing Maybank account. However, user needs to create an on-line password and user name to access their existing bank account. By logging into the system, meaning that the user of the account is aware of the terms and condition applied by Maybank2u.com, and is aware that the site is secure as shown on the top right of the website. Once logged in, user can access everything regarding of their account information, such as account balance, transaction history, Maybank debit transactions and banking statements.

The most interesting thing about Maybank2u is that the client can access their account from home, office or anywhere with an internet connection, without worrying about the hustle of waiting especially on busy hours. Best part is, the site offers billing payment services to all main general services. Almost 300 major payees are now available including Syarikat Bekalan Air Selangor (SYABAS), Tenaga Nasional Berhad (TNB), Telekom Malaysia Berhad, MAXIS and ASTRO. It is wise to say Maybank has chosen a great transaction processing system in order to fulfill all its clients need just by one click a way.

Instructions On How To Use Maybank2u

Step 1.

For Maybank customers, simply just create a Maybank2u username and password at the nearest ATM machine.

For Non Maybank customers, the first step is to open up a Maybank bank account at the nearest Maybank service centre before creating the Maybank2u username and password.

Step 2.

Go to www.maybank2u.com

Step 3

At the top right hand side of the website, there’s an access to the login page. Click the login icon and it will direct the user to the login page. Log in as a first time user using the username and password created from Maybank ATM machine.

Step 4.

Once logged in, customers can access the entire account. The customer can now process their transactions by following the instructions.

However, for customers that log in using public or shared computers, dare to be reminded to log out properly to avoid another mischief of identity fraud. Maybank2u also add a logout summary to guide users of Maybank2u on how to safely logout from the site

Conclusion

Looking at the research done we can come to a conclusion that online banking has make everyone’s lives easy and convenient and mostly saving a lot of their time when it comes to banking. There are a few false in online banking but there are more advantages of using online banking. In today’s world technology has improved vastly and many banks have taken the upper hand on it and made banking not only banking paying bills, doing transactions, checking account balances and even online shopping easy for their customers convenience.