The global pandemic COVID-19 has forced everyone to stay indoors, which in turn has diverted people more to the digital world than ever before. Like every other sector, the banking sectors are also adopting a more digital way of doing things allowing the people to bank digitally during the lockdown.
The silver lining during this pandemic is that people are slowly becoming tech-savvy and adapting to the surge of technology. The concept of digital banking is not relatively new, but due to lockdowns, more and more people are indulging in this digital platform to meet their needs.
What is Digital Banking?
Digital banking is the digitalization of all activities at the customer’s end. It allows you to perform all traditional banking activities without being physically present in the bank. All around the world, many banks have been digitizing the entire banking experience. The lockdown has further accelerated that process. In tough times like this, even banks are coming forward to offer their services to the people.
You can visit usa-banks.info to know all about the US banks and the services they provide.
What Can Be Done Digitally?
As previously mentioned, you can perform all your traditional banking activities on the go with the help of the internet. Apart from receiving the physical form of cash in your hand, you can pretty much do all of the following
- Money deposit
- Money withdrawal
- Money transfer
- Checking/managing your bank account
- Apply for any financial product
- Pay due bills
- Apply for loans
Here are some other cool features digital banking offers:
- Unified Payment Systems
- Digital wallet
- Loyalty programs
- Cash-back offers
- Personal Finance Plans
The best part of this digital form is that it is quick, easy, and can even be done from your smartphone. Seems like the perfect solution during this lockdown.
What Do You Need For Digital Banking?
To enjoy digital banking services, the bank must first have that option available.
Now, assuming the bank does offer digital services. So, how do you access it?
You have to apply for digital banking services. Then the bank will go through your request and check all your information and KYC documents. You can always visit southstarbank.com if you want to learn more about documents or even go through a loan process online.
After the bank has verified your request, they will send you credentials you can use to log in to your account and enjoy the myriad of digital services your bank offers.
Remember, NEVER share those credentials and memorize them as soon as you get them.
How to Safely Use Digital Banking?
Digital banking services are very useful, easy, convenient, and secure. Banks use sophisticated technology and layered security to protect customers when using banking services online or while using banking apps.
Despite the online services being secured, taking extra precaution always comes in handy. To safely enjoy digital banking services try to abide by the following-
1. Apply for Protection Against Malicious Attacks
Install antivirus, anti-spyware, and internet firewall tools on your computer, phone, and any other device you use to conduct digital banking. Keep these programs active and updated.
2. Choose A Strong Password
When choosing a password, use a combination of both upper and lower case letters and numbers. This will make it harder for hackers to hack into your account. Don’t use a simple password as a name with some numeric digits. Use a robust and unique password that will be easy for you to remember.
Change your online banking passwords regularly for added protection.
3. Never Share Personal Information
Your bank may contact you by text, email, or phone, but they will never ask you for your credentials like passwords and security codes over the phone. So never respond to calls like this where they ask you to disclose your personal information.
4. Check Your Account History Regularly
Always check your monthly bank and credit card statements. You can also review transactions more frequently online with your mobile app. If you see a transaction you did not make, report it immediately to your bank.
Whenever you have any questions and concerns about a transaction contact the bank to verify it.
5. Always Use a Secured Source
Be cautious when using free public wifi to conduct financial transactions. Public wifi is less secure than your wifi and hence is more comfortable to hack into and steal valuable information. While downloading apps, only download those provided by the bank or a reputable app store suggested by your bank.
Pros and Cons of Digital Banking
- The Pros
In this lockdown, anything regarding digital banking is a pro since just stepping outside the house can be a health hazard. Aside from that, digital banking offers mobility and saves tons of time. You don’t have to step in any line to make a transaction.
- The Cons
The pros outweigh the cons, but still, there are some drawbacks you might face. Firstly, you might be reluctant to make large payments digitally despite a strong security system.
Secondly, sometimes you might get annoying ads and get sucked into online shopping to get the cashback you initially got because of digital banking.
Difference Between Online Banking and Digital Banking
A lot of people mix these up. In all honesty, it is pretty easy to mix it up since both are conducted online. Digital banking far exceeds the features and functions of online banking. Online banking limits you to a lot of features like payment reminders and NEFT transfers.
The severe drawback of online banking is that you can not deposit or withdraw money by using online banking. With digital banking, you can go way beyond this by getting all the extra benefits and features we discussed above.
The surge of digitalization has been accelerated to a great length. The banking sectors have encompassed this opportunity to utilize their resources and to find alternative solutions for the people to enjoy their banking activities even during this pandemic. Digital banking is one of the most convenient services that allow us to fulfill all our banking needs and make our lives a lot easier in this lockdown.