Answer:
ADVANTAGES OF ONLINE BANKING
•Pay bills online
This might be one of the top advantages of online banking because you don’t have to take time out of your day to go to the bank.
•Transfer money
You may need to do a rapid money transfer to a client or vendor, or you may need to transfer money from one account to another.
•Deposit cheques online
Rather than driving to a bank branch and waiting in line, you may be able to deposit cheques online in minutes.
•Lower your overhead fees
If your business banks online, your banking fees may be lower, as online banks may not have to pay for the cost and upkeep of branches, and those savings may be transferred to you.
•24/7 account access.
Whether you’re on vacation or it’s the middle of the night, you can manage your banking.
•Simpler fund transfers.
It’s easy to move funds between your accounts, such as from checking to savings, using online banking.
•Better access to bank records.
Whether you need banking records for tax purposes or personal records, you can download statements and transaction records to print them at home.
•Improved visibility of account balances and transactions.
Knowing your account balances is always a few clicks away. You can also check to make sure a transaction has cleared and keep an eye out for unauthorized transactions so you can dispute them immediately.
•Ability to sync your accounts with your apps.
Online banking allows you to transfer information from your accounts to Quicken, Microsoft Money, Microsoft Excel, and other applications.
•Use of mobile apps.
Many banks allow you to use your mobile devices for online personal banking.
DISADVANTAGES OF ONLINE BANKING
•Technology disruptions
Online banking relies on a strong internet connection.
•Lack of a personal relationship
A personal relationship with your bank may be able to offer an advantage over online banking.
•Privacy and security concerns
Financial institutions have very good security, but no system is foolproof.
•Limited services
Online banking features a lot of services, but some of them still require business owners to go into banks to “wet sign” documents. This includes loan and credit applications, a large cash withdrawal or large deposits.
•Security and Identity Theft Concerns
In general, online banking sites and mobile apps are designed to be secure and banks are continually putting updated security protocols in place.
•Convenient but Not Always Faster
While it may take very little time to deposit a check via a bank's mobile app, you still need to wait for access to your money.
•A Limited Scope of Services
Although you can do quite a bit with an online bank account, such as make deposits, check balances and pay bills, there are limitations to the kinds of services you can access.
•Potential to Overspend
The ability to check account balances in the spur of the moment could potentially cause some people to overspend the limits of their checking accounts.
•Limitations on Deposits
Daily or monthly mobile deposit limitations may make it difficult for individuals, but especially businesses to make large deposits online.
•Low stimulus to savings
Due to the low interest rate that traditional banks usually pay to their savings clients, there is a low saving stimulus.