It used to be that banks were only open 9 am to 5 pm Monday through Friday. If you didn't get to the bank during those hours, you were out of luck. Times have changed! Thanks to technology, people can do their banking in the middle of the night if they choose. How? Using online banking services. It's one of the cheapest and easiest ways to access your account.

Whether you have used it or not, you have probably heard a lot about online banking. Maybe you or your parents do some or all of your banking online to pay bills and deposit checks. Maybe you have even applied for a loan or a home mortgage online. Are you a total convert to online banking, or do you still have reservations about the process?

Online banking doesn't change what you spend your money on or whether you keep tabs on your accounts. It's only a service that enables you to access your accounts over the Internet so that you can bypass the time-consuming, paper-based aspects of traditional banking at a branch in order to manage your finances more quickly and efficiently.

Online Banking

So, why would you decide to bank online? With online banking you can do things such as:

• Transfer funds between your checking and savings accounts
• Get account information, for example account balances, deposits, etc.
• Make loan payments
• Pay your bills online
• Communicate to a banking representative through e-mail or chatting

View this presentation to see all about online banking. It will help you weigh the pros and cons of online banking to decide if it is right for you.

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For more information about online banking, visit the website of your local financial institution to see what programs are available.

Traditional Banking

Still not sure whether you want to bank online? Take a look at the costs and benefits of traditional banking to see if it helps you decide what's best for each situation.

Technology and Financial Institutions

Financial institutions have also changed the way that they use technology to do business. For one, these institutions use the Automated Clearing House (ACH) to process electronic monetary transactions among institutions. In addition, some government regulations have been passed to help banks perform essential services faster and cheaper. For example, The Check Clearing for the 21st Century Act, or Check 21, makes check processing easier and less expensive for financial institutions by creating substitute checks that can be exchanged electronically. Consumers can take advantage of this law by using a computer scanner to scan checks or a mobile phone to capture images of checks and deposit them electronically, a process known as remote deposit. This service is not available at all banks.

TRADITIONAL BANKING
Benefits	Comfort of the familiar Confidence about privacy and security Availability of expert advice and customer service
Costs	Limited access More paper to file Possible account fees