The safest way to bank

According to Chris Kotze, CEO of First National Bank (FNB) Online, using the internet as a banking channel can be considerably safer than any other method of banking, since it removes the threat of physical attack.

"There are certainly risks, but the well-informed user who takes the necessary precautions becomes so secure that good banks are prepared to fully insure them against losses. That is how reliable the available technologies to secure your account are," he says.

Various technologies are supplied by banks to safeguard online banking. These start with the username and password system common to all online banking solutions.

Other measures can include anti-hacking systems such as intrusion detection solutions, which can identify potential attacks and firewalls, which ensure that only authorised users can enter their systems. Then there is the digital certificate, an electronic ‘credit card’ that establishes your credentials when doing business or other transactions on the web.

In terms of the customer’s responsibility, Kotze says awareness of potential threats is the key to ensuring a fully secure experience.

"Access is probably the major issue; stick to the basic rules and you can feel safer online than in front of an ATM," he adds.

Choose an obscure password

Choosing a hard-to-guess username and password is the first step. Use numbers and letters in your password, and pick one that's obscure. Don't use a birth date or the name of a pet or child.

"It’s a good idea to memorise these, or to write them down in separate places. These should also be regularly changed to ensure they cannot be compromised," advises Kotze.

Get antivirus software

"Keeping your computer software up-to-date is also critical. Antivirus software is essential if you are on the internet, and your Windows operating system should also be updated regularly," he adds.

Fraudsters are always looking for an opportunity to access easy money, but by following basic rules that have always applied to ATMs, online users can protect themselves.

"A key 'basic' is never to give your access details to anyone. Recent frauds take advantage of people’s trust; con artists are so called because they take the victim into their confidence.

Don't fall for phishers

"These ‘social engineering’ scams can involve ‘phishing’, where emails are sent to customers, mimicking the bank, asking for these details. The bank will never ask for these details by way of an email or phone call, and you should be aware that you should never hand them over. Remember that, and scammers can’t succeed," adds Kotze.

"Having to ensure that these precautions are taken may sometimes seem like a hassle. But when these protect you, you will be the happier for it. With online banking, it’s the same. The bank has certain responsibilities, and the customer has certain responsibilities when using the service. Know what these are, and you are highly unlikely to suffer any loss," concludes Kotze.

Simple tips for safe banking

• Choose a username and password that cannot be guessed easily and change these regularly.
• Ensure your computer software is up-to-date.
• Ensure that you have an updated anti-virus and spyware programme; perform regular system scans.
• Avoid using public terminals (such as internet cafés) for internet banking.
• Check that the URL in your browser is in fact the proper one (the one it is purporting to be).
• Check for the padlock in the lower right of your browser window (it indicates a secure site). You can click on this padlock to verify the site "owners".
• Never give your password over the internet (by email) or over the telephone to persons purportedly from the bank.
• Don’t trust a .pdf payment proof unless verified by the bank. These documents can be manipulated easily by fraudsters.