The Bankwatch

Tracking the consumer evolution of financial services

Online banking users value security before convenience – Javelin

 New survey from Javelin, reported on here at Networkworld conclude something that should be of no surprise given the identity theft issues over the last 3 years in particular, and the visibility in the media to the problem.

Stephen Knighten, a statistical analyst at Javelin, said: “We identified an important shift in what concerns consumers most about banking online.

…..

the financial services industry must go beyond zero liability protection and offer more comprehensive identity safeguards to gain the trust of consumers

Source: Online banking users value security before convenience – Network World

I remember thinking and debating back in the 90’s that the concept of the Bank vault had to be morphed into a virtual metaphor for Banking customers.  I cannot claim any success there, and this survey suggests to me that Banks’ remain behind customers expectations.

The irony in the headline, is that customers desperately want the convenience, but Banks’ are not providing adequate security in the eyes of customers.  Adequate in this sense is probably better described as complete security, and while security guarantees are now considered table stakes, its not about guarantees, its about ensuring that no problem occurs. 

Slightly off topic, but very related …… somehow in the future, I see a better system than the current Credit Bureau system being required to prevent identity theft.  I know from personal experience, there are enormous gaps in the current system.  Control over provision of the information, needs to be in the hands of the customer … 100% control.  That is not the case today.

 

Written by Colin Henderson

April 5, 2007 at 15:40

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