Accessibility: Accessing an ATM which is out of service is annoying especially when one is in need of money during desperate times or when one is in a rush. The only way to getting your money out other than the use of ATM would be to go physically into the bank and withdraw. Daily Cash Withdrawal, Card Swallowing and Fake money: Every bank has its ATM machine on withdrawal limit. This is a drawback when one needs to extract a large amount of money. Especially when the banks are closed and the only way is by use of these machines.
Therefore there is nothing else to do but wait till the very next to, again, withdraw the same amount of limited money. So once more the only way out of this bother is to stride to the bank when it is at its working hours and leave out with the amount of money that you had the intention of getting. As for the card swallowing, this occurs when a credit card owner enters the PIN three times wrongly in which it will take time to retrieve it. So one must be very careful when entering the PIN.
There are also cases reported in China where fake money is withdrawn from ATMs. Fake 100-yuan notes, most starting with the serial number “HD90,” have been reported in more than ten Chinese provinces and cities since the end of 2008 (ChinaView, 2009). Location, Theft and Fraud: ATMs are usually located in secure places. Although this is for the purpose of safety but for someone with an urgent matter they may not be available in remote places. This will require an individual, by any means of transport; get to the area where an ATM will be available for use.
And since unlike banks, where security guards and tellers are present to make sure that the person performing a transaction receives privacy, there is not much guarantee when using an ATM. People may try to spy on users as delicate information appears on the screen, without the user being aware even though ATM robberies are not common but they still count when it comes to safety (Michael Wolfe, 2012). As for fraud, the potential for identity theft is a major disadvantage related to automatic teller machines.
Fraudulent card readers, called skimmers, are placed over the authentic reader to transfer numbers and codes to nearby thieves. Spy cameras are also used by password voyeurs to collect access codes. Bank by phone: Compatibility and Cost: Mobile banking is not available on every device. Some banks do not provide mobile banking at all. Others require you to use a custom mobile banking application only available on the most popular smart phones, in this case BOC mobile banking. Third-party mobile banking software is not always supported.
If you do not own a smart phone, the types of mobile banking you can do are usually limited. There are a large number of different mobile phone devices and it is a big challenge for banks to offer mobile banking solution on any type of device. Some of these devices support Java ME and others support SIM Application Toolkit, a WAP browser, or only SMS. As for cost, of mobile banking might not appear significant if you already have a compatible device, but you still need to pay data and text messaging fees. Some financial institutions charge an extra fee for mobile banking service, and you may need to pay a fee for software.
These extra charges quickly add up, especially if you access mobile banking often. (Daniel Foster, 2012) ‘…Article 4 Charges: Bank of China Limited may make, adjust and/or modify the charging standards, method and/or periods for mobile banking service and customer of mobile banking service shall pay any and all service fees, fees of identity authentication tools, and transfer fees in accordance with the aforesaid charging standards… ’ (Bank of China, 2012) Security: Security experts generally agree that mobile banking is safer than computer banking because very few viruses and Trojans exist for phones.
That does not mean mobile banking is immune to security threats, however. Mobile users are especially susceptible to a phishing-like scam called “smishing” It happens when a mobile banking user receives a fake text message asking for bank account details from a hacker posing as a financial institution. Many people have fallen for this trick and had money stolen through this scam. Network: Whether one uses WAP or SMS to do their banking transactions or work through the mobile, network is still the actual core if there isn’t any, the mobile won’t be able to access anything if there isn’t any network signal.
Although this is a little problem but when one is far or rather out of range, nothing will be done in terms of banking. E Banking: Accessibility: It is in fact an electronic online banking system, therefore if the internet goes down; a customer will not be able to access their bank account. Customers do get frustrated in case online services are not available due to any technical or communication problem when the customer is in a remote location. Not everyone enjoys the luxury of having a stable and fast Internet connection at home.
Aside from having a personal computer or laptop, having stable Internet access at home is a basic prerequisite to performing electronic banking. Of course, people can always use a public computer with Internet access; however, the security of public computers is always a concern. Difficulty in using the online services: Of course technology changes with day to day. With the increasing popularity of the internet, more and more industries are seeking ways to utilize this popular medium in an effort to keep up with the changing technological preferences of their customers.
In this case, it works hand in hand with the staff members at the bank. There is always that great aggravation on both parties due to constant learning and keeping pace with new technology. So staff members need to develop ongoing training and awareness whereas customers need some time in learning how to get the internet bank account started, as it requires a lot of paperwork and for some ask for photo identification which can be very inconvenient especially for the elderly who during this generation have a hard time when it comes to such issues.
Some people avoid using e-banking services because they find it difficult to understand how it works. Also, the fact that a wrong click can cause monetary losses may be a deterrent. Most if not all banks will offer an online banking tutorial. Security: This is by far the biggest concern surrounding internet banks. With the prevalence of key loggers, phishing emails, Trojans, Hackers and other online threats, it is natural for people to be concerned with the security of their identity, funds and electronic banking transactions.
With all these threats on the rise, Internet banking customers have to place a certain amount of trust in the bank that their account information and personal information are safe. And again trust being another problem that most people lack. How many times have you performed transactions online and wondered whether you did the right thing? The reason that not many people have started using e-banking is because they do not trust the services of the bank through the net. Some human beings prefer to trust others like them and may have some difficulty in trusting a machine, especially in the matters of money.
They may always have a doubt about whether their money is safe, while being processed through e-banking. Using antivirus and similar programs is not full-proof. Although it is rare nowadays with enhanced security measures, these threats still exist. In BOC, there have been few case of forgery have been reported in online banking. There are some frauds or proxy websites, which can hack information (user name and password), entered by a person for some transaction, and later misuse it. In such cases, people lose their money without knowing and by the time, they get the bill, huge losses may have been incurred.
Here is some proof that was established by the organization about fraud websites from customers; (Bank of China, 2005) Bank of China received from a client the report on the fraudulent website of Bank of China (BOC) on February 25. The fraudulent website, much alike the former English website of BOC, was registered in North America. The BOC overseas branches and subsidiaries have taken necessary measures in accordance with the local laws and regulations, as well as making notifications and explanations to clients. The fraudulent website has already been suspended.
Loss of Human Touch: Some people still value talking and interacting with bank tellers, managers and other bank clients. Electronic banking takes the majority of these “human interactions” away, leaving the banking experience as a very hands-off, impersonal process. With e-banking you can’t speak to a customer service representative in person; you must either send an e-mail or call a number and wait for your call to be answered. If it’s a sensitive question or if you are dealing with a mistake on your statement, you might get an answer faster if you go to a bank branch.
At some point, less personalized customer service may reduce cross-selling. Impact of Technology: Twenty years ago, banks were the buildings you visited to make a deposits or withdrawals, now they are facing new opportunities and markets created by technological developments. They started offering online banking in the 1990s, allowing customers to view their accounts in real time, pay bills without writing checks and schedule recurring transactions. Technology has now radically changed the way we live, behave, operate and work within the banking industries doing away with space and time.
Bank of China (BOC) is that country’s oldest bank, and also one of its four largest banks. It was backed up by a network of more than 12,000 branch offices. It entered the U. S. market in the early 1980s as well, starting with the opening of its first branch office in New York in 1982. Throughout the 1980s and into the 1990s BOC established a powerful domestic banking network. At the same time, BOC developed a full range of both consumer and corporate banking services. Among these was the issuing of China’s first credit card, the Great Wall Credit Card, in 1986.
Into the 1990s, BOC played a prominent role in adding new technologies, as the Chinese banking system rushed to catch up to its foreign counterparts. In 1991, it became the first Chinese bank to offer telephone-based banking services. In 1994, the bank also became the first to install an automated teller network and to begin issuing debit cards to its customers. BOC also continued to expand its own foreign banking network. In April 2004, for example, it announced its intention to open a branch office in Bahrain, marking its entry into the Middle East market.
Generally, in terms of impact; For the customers: Remote banking where a customer is connected to the respective branch through a modem, enabling the customer to make inquiries regarding his accounts, on-line, without having to move from his office or basically any time and anywhere. Telebanking which is a 24-hour service through which inquiries regarding balances and transactions in one’s account can be made over the phone. And lastly ATMs in which a user can withdraw and deposit money during times when the bank may be closed.
For the Bank: It has created the availability of a wide range of inquiry facilities, assisting the bank in business development and follow-up. This has made faster and bulkier volumes of transaction processing. Technology has also created storage of large volume of customer’s records and documents which resulted to faster search and retrieval and reducing paper work. The reports and analysis are now also more accurate. Machinery equipments has also increase production and made delivery of services such customer queries without the need for referencing to ledger-keeper as terminals faster to Managers and Chief Managers.
In other words, faster and up-to-date information transfer enabling speedier decisions, by interconnecting computerized branches and controlling offices. For the Employees: Made the work of accurate computing of cumbersome and time-consuming jobs such as balancing and interest calculations on due dates easier. Automatic printing of covering schedules, deposit receipts, pass book / pass sheet, has freed the staff from performing these time-consuming jobs, and enabling them to give more attention to the needs of the customers.
All in all, it has created flexible work schedules, allowed most of them to work from home or while travelling and efficient operations which are now less labour-intensive. References: Daniel Foster, 2012, The Disadvantages of Mobile Banking, online, retrieved 10th May 2012, from http://www. ehow. com/list_6683378_disadvantages-mobile-banking. html. Answers, 2012, Gale Directory of Company Histories:, online, retrieved 10th May 2012, from http://www. answers. com/topic/bank-of-china. Bank Of China, 2012, Bank Of China, online, retrieved 10th May 2012, from http://www. bank-of-china. com/en/index. html.