cancel
Showing results for 
Search instead for 
Did you mean: 

How safe is internet banking

Community Veteran
Posts: 8,450
Thanks: 917
Fixes: 9
Registered: 02-08-2007

How safe is internet banking

Most of us will be aware of the recent problems TSB had with a recent software upgrade but this is just one of several incidents if we also include payments by card.

This seems to be happening on a more regular basis and whilst we are constantly reassured that no customer will lose money that does not compensate for the lost time and inconvenience customers are put to.

I recall one,' computer expert' saying he would never trust internet banking which I thought silly at the time but with some of the recent incidents perhaps he may have been right after all ?

Sure most of us are stuck with internet banking and card payments but is internet banking getting more risky as time goes on ?

Could we ever see a situation where your data was wiped completely and your savings lost ? Not a big problem for me as they do not amount to much.

Smiley

Anyone any opinions on the above ?

15 REPLIES
ffox
Rising Star
Posts: 293
Thanks: 29
Registered: 08-06-2011

Re: How safe is internet banking

If a bank goes bust your savings are protected up to £85,000 pp.  I would hope the same thing applies if they are accidentally wiped out but can't be sure.  Does anybody know?

Many people are stuck with internet banking because the local branches have closed.  I guess we have to trust the banks.  Let's hope the TSB fiasco will give them an incentive to be more reliable in the future.

Community Veteran
Posts: 1,982
Thanks: 5
Fixes: 3
Registered: 01-08-2007

Re: How safe is internet banking

I use internet banking alot, but only use it from my own laptop, with the associated card reader the building society gave me, for authentication purposes. I won't go near smartphone apps for internet banking, I just feel they are not secure, as much as I have misgivings around android pay.

idonno
Rising Star
Posts: 140
Thanks: 16
Registered: 22-10-2015

Re: How safe is internet banking

I've used internet banking for what must be well over 12 years now and, touching a big plank of wood, no problems so far.

 

Like @penfold I'm not into smartphone apps. Just too many eggs in one basket. Contactless payments are another I'm not comfortable with. I know of someone who forgot their card in one retailer, only to have it used minutes later in a fast food outlet. Nice freeby meal for someone. Yes, he did get his money back but so much hassle.

The TSB debacle hasn't really affected me as such. Yes, it did stretch into 4 days or so but I don't rely on just one bank account. Spread the money around. Only a fool thinks electronics / mechanical things never ever go wrong. It's also one reason I usually carry cash. Good old plain cash. Can't be beaten. I've had a card swallowed by an ATM. When that happens, you suddenly realise how hard up you can get - even with lots of money in the bank. And it's when you go to a country that operates mainly using cash, you realise that cards (and banks) are a complete waste of space.

 

jab1
All Star
Posts: 1,912
Thanks: 425
Fixes: 6
Registered: 24-02-2012

Re: How safe is internet banking

I've also used internet banking almost since NatWest offered it, and can't remember a single problem. I do use the iPad app, for convenience - it's so much quicker than the PC version, but only on secured, known networks.

I always carry about £20.00 in cash, just in case, and for the occasions when contactless is either a bit silly, or not available, such as getting my weekly bus ticket, but otherwise all my spending is electronic.

John
8BKA
Aspiring Pro
Posts: 118
Thanks: 32
Fixes: 2
Registered: 01-12-2016

Re: How safe is internet banking

I think one of the main advantages of using internet banking is that you don't get statements sent out in the post monthly which can get lost or stolen because everyone knows what they are.

But everyone should use two-factor authentication not the memorable data method to log in as this method is not secure it may take longer but is better.

 

 

Brian A

Community Veteran
Posts: 8,450
Thanks: 917
Fixes: 9
Registered: 02-08-2007

Re: How safe is internet banking


@idonno wrote:

I've used internet banking for what must be well over 12 years now and, touching a big plank of wood, no problems so far.

 

Like @penfold I'm not into smartphone apps. Just too many eggs in one basket. Contactless payments are another I'm not comfortable with. I know of someone who forgot their card in one retailer, only to have it used minutes later in a fast food outlet. Nice freeby meal for someone. Yes, he did get his money back but so much hassle.

The TSB debacle hasn't really affected me as such. Yes, it did stretch into 4 days or so but I don't rely on just one bank account. Spread the money around. Only a fool thinks electronics / mechanical things never ever go wrong. It's also one reason I usually carry cash. Good old plain cash. Can't be beaten. I've had a card swallowed by an ATM. When that happens, you suddenly realise how hard up you can get - even with lots of money in the bank. And it's when you go to a country that operates mainly using cash, you realise that cards (and banks) are a complete waste of space.

 


Juggling your words around the statement...' Good old plain cash. Can't be beaten'....I would suggest that in some parts of the country you may well get beaten if it was known you had cash on you, not hard to spot someone taking cash out of a machine

 

Smiley

Community Veteran
Posts: 3,612
Thanks: 396
Fixes: 5
Registered: 05-04-2007

Re: How safe is internet banking

I think, as the old saying goes it is a double edged sword.

My opinion is internet banking is generally safe, but it is open to attacks. Like any other server and we don't know how they are maintained.

I've seen many some of servers getting hacked exposing personal details. Not just that, the admins may have made a mistake.

Same with anything manually such as post. There could be a dodgy person at the PO.

I've had some malware on my parents PC. Back before chip and pin readers you had a five digit passcode and had to enter two digits. This one was clever - it done something which when you got to the stage of putting in your passcode it must have manipulated the https response and asked for the full passcode. I suspected something was up and removed it with AV software at the time.

Even with ATM's - I've have tried to have been scammed three times (in person). The first two were local, where they stick a flap over where the cash goes out. You don't notice. I pulled it off. The third was when someone behind me - the section when you get the amount on the left and right hand. Person behind me reached out and pressed £300 (the max) and tried to put a newspaper over my eyes. I thought them off and got my money. Didn't lose anything, just had £300 in my wallet on a Friday night out and I only wanted £50. Guy standing near me said "They tried it with me, that was a pretty poor attempt". Glad he was right. They could have harmed me, say if they had a weapon and done a runner with my £300. 

Like anything in life, all you can do is get on with it. When you feel something isn't right - it probably isn't. I am not going to let the bad people control what I want to do.

Jonpe
Aspiring Champion
Posts: 1,813
Thanks: 479
Fixes: 5
Registered: 05-09-2016

Re: How safe is internet banking

On a consumer programme a couple of years ago there was a woman who'd 'lost' some £20,000 from a savings account.  She had a passbook showing the money had not been withdrawn, but the bank (one of the biggies) insisted she must have withdrawn the money, despite also insisting that they wouldn't have paid it out without the passbook.  So things can go wrong with 'the old system' as well.

Moderator
Moderator
Posts: 18,207
Thanks: 2,698
Fixes: 208
Registered: 06-04-2007

Re: How safe is internet banking


@idonno wrote:
<snip>
I know of someone who forgot their card in one retailer, only to have it used minutes later in a fast food outlet. Nice freeby meal for someone. Yes, he did get his money back but so much hassle. <snip>

I'm surprised his money was returned as it was his own carelessness that caused his loss. After all, you couldn't go to the Bank of England requesting they replace £30 you left on a counter.

 

I started with Abbey National's telephone banking back in 90's then moved to internet banking with them when available. Now use several banks both for myself and my mum as PoA. Over the years I have had some fraudulent activity but noticed it within hours if not minutes thanks to internet banking including apps. Always got my money back in those circumstances often prior to any investigation. Once when it was the bank's fault I got £500 compensation.

 

I hope that all the banks have many backups of our data but without a paper trail that may end up being pointless?

 

Forum Moderator and Customer
Courage is resistance to fear, mastery of fear, not absence of fear - Mark Twain
He who feared he would not succeed sat still

nanotm
Pro
Posts: 5,702
Thanks: 117
Fixes: 2
Registered: 11-02-2013

Re: How safe is internet banking

 

having used online banking for around 20 years, the only problem  I have had has been related to login errors and lost bank cards

 

although I never once used any of those stupid card calculator things that are designed to make you think what your doing is safe whilst the t's & c's actually mean your less safe (and logically speaking its impossible for them to function as claimed, they are a formulaic number generator based on time and date from a limited database, and emulators for every version are freely available online, so if your account gets compromised emptying it out takes seconds for savy crims) the OTP message function is similar but unless they compromise the banks computer (in which case they can just empty every account) your pretty safe using it (especially since it doesn't infringe on your rights to make claims against illegal access of your account) 

 

and I dislike mobile banking apps and mobile payments (mostly because I loose my phone all the time) and I use rfid blocking wallet and card pouches so my plethora of contactless cards cannot inadvertently get scanned (although I do like the convenience of contactless payments) hmm maybe when we get pc's built into our neurological systems we can move to 2 factor auth (personal payment token + hand waved over the card reader type thing) then have the joys of contactless with the bonus of no more spoofed payments Tongue

 

 

 

 

just because your paranoid doesn't mean they aren't out to get you
RobPN
Seasoned Pro
Posts: 1,171
Thanks: 239
Fixes: 3
Registered: 17-05-2013

Re: How safe is internet banking


@nanotm wrote:

 

 

 

... hmm maybe when we get pc's built into our neurological systems we can move to 2 factor auth (personal payment token + hand waved over the card reader type thing) then have the joys of contactless with the bonus of no more spoofed payments Tongue

 

 


Not quite as secure as what you're referring to, but this story was in the news a while back;

Biohacker fined for travel card implant

 

Community Veteran
Posts: 3,612
Thanks: 396
Fixes: 5
Registered: 05-04-2007

Re: How safe is internet banking

Errrgh - nice.
Why would someone want to that to their body is beyond me.

Someone told me, don't know if this is true - but it sounds plausible. With the London Oyster cards you can cut the chip out and attach it to a watch. TfL have warned you can get fined for that as they don't like it.

Yes - I have an Oyster card.
No - I have no intention of cutting it open and using the chip inside or outside of my body. Police

nanotm
Pro
Posts: 5,702
Thanks: 117
Fixes: 2
Registered: 11-02-2013

Re: How safe is internet banking

in many respects it makes sense, if your prone to loosing your wallet or payment card, this way even at 3am when your totally smashed and just been removed from a lamppost by the local plod on their post stag party sweep through the town you can still pay for your transport home despite being buck naked....

 

about a decade ago there was a spate of people getting their credit card rfid chip placed into subcutaneous capsules amongst the jetset party goers, a lot of folks thought it was crazy but then again who can wear a minidress and be stylish without a purse and still pay by waving their hand over the card reader …..

just because your paranoid doesn't mean they aren't out to get you
Community Veteran
Posts: 3,612
Thanks: 396
Fixes: 5
Registered: 05-04-2007

Re: How safe is internet banking

Yep - I think we've all been there at some point. Though I try to make it infrequent.

There are some buses in London (but none near me) that run 24 hours a day. I can picture the conversation at the bus garage:

Manager: This is the rota, you're on at 3am.
Driver: (Thinks Wonderful) OK.

I feel sorry for the said poor driver, it must not be pleasant.