Several victims of online banking crimes have lately made the news. A depositor practically lost all of his savings. Someone has apparently found a way to access his account and clean it out. Other depositors have experienced an unexpected increase in their balances, only to find out they were withdrawn a day or two after. Their accounts have served as bridges to transfer money, making it harder for authorities to trace. We've heard of ATM accounts cleaned out after a depositor just made a transaction. No one will argue the convenience of online banking, whether to pay bills or transfer money. With traffic the way it is, being able to do these things whether at home or anywhere else is convenience indeed. But criminals are also fast to keep up with technology. The convenience enjoyed by many also serves to make criminals steal money conveniently.
The only way for a thief to gain access to an account is for him to know your password. And they have several ways to attain this. Getting information is something the internet has unfortunately made a lot simpler. So if your password of the usual birthdays or names of family members, then chances are a hacker will gain access to it and clean you out. Skimming is another way a thief attains access to your account. A device is placed on top of ATM card readers. The unsuspecting depositor then makes a transaction, which the skimming device reads and records. As he leaves the ATM, the criminal then uses the information gathered by the device to gain access to the account, with devastating results.
Banks are responsible for making their systems, whether online or ATM, more secure and less prone to these hi-tech criminals. Anti-skimming devices must be installed on all ATMs. ATMs must also have their own CCTV, preferably from several angles, to record those who use the machines. Transaction records and videos will point out a specific person that starts to clean out an account. Perhaps a program gets activated once several large withdrawals are being made on an ATM. The bank gets in touch with the client, and confirms either by PIN or security questions if they are indeed withdrawing money at this or that branch, if not actually talking to the depositor. Choose an ATM that is in a well-lit place, preferably inside a mall, and with a security guard present even if the bank is closed. Avoid making withdrawals at night.
As for online security, banks must have the latest software to counter hackers. As depositors, passwords should also be frequently changed and non-standard. Avoid names of family and even friends. Jumble up letters and numbers, with both upper and lower case letters. The idea is to make a password strong and harder to figure out.
I also recommend keeping an account that is not enrolled in online banking, to shield it from digital access. Sometimes the best way to fight hi-tech is to go lo-tech. Just keep enough money in your online account to pay the bills and whatever, while utilizing the isolated account for other concerns. Some have floated the idea that some of these online banking crimes are inside jobs, which is not totally far-fetched. That has to be addressed.
Convenience always comes with a caveat. What is convenient for you is also convenient for a criminal.