Internet Banking Seen as Increasingly Secure

Consumer attitudes towards the safety and security of Internet banking are improving rapidly according to a recent survey conducted by Barry Leeds and Associates in the USA. 70 per cent now agree that Internet based transactions are 'safe and secure' compared to 49% in 2000 and 56% in 2001.

The perceived safety of online transactions handled by financial institutions is also increasing relative to that of telephone transactions. The percentage agreeing that 'Internet based transactions were more secure than telephone based banking transactions' has risen from 32% in 2000 to 41% in 2001 and 47% in 2003.

Ease and accuracy are important considerations alongside security, and the Internet is also delivering in these regards. Three-quarters of consumers' report that they believe Internet based transactions to be accurate and easy to conduct in 2003.

Commercial banks are increasingly seen as the most technologically innovative type of financial institutions, when serving customers. Fifty per cent of consumers rank commercial banks as the most innovative, with Credit Unions a distant second on 19% and brokerage firms third with 14%.

Generally the results suggest that Internet-based services are becoming a standard and accepted part of the package offered by financial institutions, and that those who fall behind in terms of online services are likely to lose out in overall customer satisfaction.

The survey was conducted via the Internet with 846 consumers in June 2003 and is a module of Bankerpro.net the company's real time customer satisfaction measurement program. For more information see www.barryleedsassoc.com

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.

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