On-line Banking A Reality
Personal Investment
Wednesday July 31, 1996
Mark Fenton-Jones runs through the realities of
using the latest technology
The best of the home pages on the World Wide Web offer lots of information, usually about that particular bank's products and services, and sometimes bundled with some interactive options such as a calculator. (See page 76 for a run down of web sites.)
Banks are trying to work out how to let customers pay for something via the Net without having some hacker intercepting the cash transfer. That's why suppliers' offers on the Net usually carry an on-screen reminder that others could be watching and waiting.
Some banks expect to be able to offer security on transactions later this year. Customers of Advance's QuickPhone service can access their accounts with the Advance card number and QuickPhone PIN when they enter the bank's World Wide Web site. Unlike the telephone service, which details the last six transactions, the Internet version gives the last 20.
So-called Internet banking is moving from the purely informative to the more inter-active and practical. Advance has ambitions to put all banking transactions on the Net, including making withdrawals by incorporating smart card technology into the process.
Most bankers agree that real home banking is just over the horizon. Jonathon Poole, a senior product manager in Westpac's consumer product management area, says security issues need to be addressed before people can do their banking over the Net, although technically the issue is not a problem.
Despite the lack of complete banking on the Internet, you can still use your computer to undertake your banking needs by using PC Banking. This is more expensive than Internet Banking, but it has the advantage of establishing a direct communication link with your bank that excludes of third parties.
Westpac offers Deskbank for commercial customers and Handyline Videotex for both commercial and personal customers. To use Videotex you need a modem, Videotex communications software, telephone line and a password.
All these developments by local banks are well and good. But the big question mark is how will they deal with customers who decide to go offshore to do their business via the Internet.
Because international borders are no hurdle on the global computer network, you can access Lombard Institutional Broker in New York and get detailed economic analysis or question some of their experts by e-mail. Or you can ask the Insurance Quote home page, another US company, for the latest premiums for life insurance.
It does not seem too far fetched to expect that one day you might be able to get a better deal from a bank in New York than in Sydney, Melbourne or Perth.
© 1996 Personal Investment
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