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Technical problems affect banking confidence

Technical problems affect banking confidence

Category: Banking
Author: Lieke Braadbaart
Date: 07/08/2018

With some high-profile technical issues having dominated the banking news over the last few months, it's understandable that some consumers are feeling less confident in online banking. Indeed, 25% of customers say they've been affected by banking system failures, according to Consumer Intelligence.

As a result of all this uncertainty, 49% of those surveyed furthermore said they have changed their behaviour. Some (27%) are going back to the security of cash money, carrying more around than they had previously done, while 82% have said they are being more careful with their data to try and prevent security breaches.

While banks are certainly not helping matters when they update old systems and things go wrong, customers have a responsibility to make sure their online presence is safe. That doesn't only mean not clicking on dodgy links, but also not being complacent when it comes to passwords. And yet, 32% of bank customers admit that they have never changed their online passwords, while 23% say they change them less than once per year.

Andy Buller of Consumer Intelligence commented: "Systems are feeling the strain as digital banking expands and the pressure to implement Open Banking reforms means it is likely there will be more problems … As customers, we can blame the banks for issues and data breaches, but many of us leave ourselves open to issues by not changing passwords regularly and using the same password across all accounts. Once a hacker has one password they have access to all your accounts."

So, while it's understandable that 43% say they would be put off applying to a bank that has suffered technical issues, there are things you can do no matter who you bank with to keep yourself safer online. Or, you could look for a bank that allows you to manage your funds in branch or over the phone and avoid online banking altogether.

Whatever you decide to do to help restore your confidence in your bank account, make sure you are getting a good deal at the same time, so you can feel confident in both your security and the competitiveness of your current account.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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