Banks (Edexcel IGCSE Ict)
Internet Banking
Spec point —
4.1.1
What is internet banking?
- Internet banking is a secure online platform for accessing and controlling a person's bank account
- Internet banking can be accessed via the internet through a secure website or by using the banks' official app on a smartphone
- Internet bank allows for transfers, bill payments, account management and much more
Advantages and disadvantages of Internet banking
| Advantages | Disadvantages |
|---|---|
| - Convenience and 24/7 access - Easy account management - Reduced need for branch visits (saving time and money) - Interest rates may be better - Secure transactions/payments using encryption - Easier to shop around for the best account | - Requires a reliable internet connection - More risk of fraud - Easier to make errors (typing in the wrong information) - Physical cash can't be deposited/withdrawn |
Exam Hint Sometimes the question will be about advantages and disadvantages of going to the bank rather than using online banking. Read the question carefully (you can reverse the statements in the table above)
Worked Example Zain uses an online banking service. List two features of an online banking service.[2]
Final answer: Answers
Increased access (to chat / support / service at any time [1]
Encryption / secure payments / secure data transfer [1]
Anti-fraud measures (e.g. matching name of payee) [1]
Instant mobile notifications [1]
The service can carry out multiple transactions simultaneously / no queuing [1]
One mark max for any general banking service:
Check balance [1]
Payments / transactions / transfers [1]
Order cards/chequebooks [1]
Reporting cards lost/stolen [1]
Set up a new (bank) account [1]
Loan applications [1]
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