The banking world is beginning to provide users with various electronic options for their banking. Online banking and traditional banking have a significant number of differences. These are six of them:
1. Customer Service
One of the major differences between online banking and traditional banking is the way the customers have to communicate with customer service representatives. Traditional banking allows clients to go into a branch at any time to handle important tasks. Online banking only provides electronic means of communication. They may not get a fast response to such communications.
It takes a lot less time for a person to perform online banking tasks than it does for that person to do traditional banking. Traditional banking tasks usually include driving to the bank, standing in line and then speaking to someone about the issue or transaction. That’s why online financial services like Western Union are usually the first choice for people who want to save time or send money online.
Online banking offers several options for contacting the customer service specialist. They can use telephone banking, or they can take advantage of the chat feature that many banks provide. The option to send an email to customer service is available as well.
4. Account Access
Traditional banking has a limit on accessibility. Customers can only visit the bank during hours of operation, and those hours are contingent upon the branch. On the other hand, online banking users can access their accounts any time of the day or night to perform a variety of transactions. They can check their balance, transfer funds, pay bills and perform various other tasks. Many people prefer online banking to traditional banking because of the 24-hour access.
5. Account Changes
Traditional banking allows customers to change various aspects of their accounts by visiting a branch. Customers can only make certain changes online. They can change their mobile phone numbers and addresses online in some cases.
In other situations, customers will have to visit a branch personally. A name change would be such a change that requires an in-person visit. A customer would have to visit a branch with a picture ID such as a license and a social security card.
There are usually no charges for online transactions unless the consumer does something like a stop payment from the computer. Getting help from a live customer service agent might require some type of fee.
What’s Best for You?
Traditional banking might be best for you if you like access to live people. Online banking might be best for you if you like to do things on your own, or you want to be able to access your account all the time. Fortunately, many banks offer both options to their customers.
Now that you know the difference between online banking and traditional banking, you can choose which option is best for you.