According to the American Banking Association among Baby Boomers, 35% rely mainly on mobile banking and 41% on online banking via desktop or laptop. For seniors, electronic banking can give them autonomy and convenience. This accessible handbook explains online banking for seniors in easy-to-understand terms, and offers fraud and financial scam protection too.
Regardless if you are new to internet banking or just want to be safe, this article will walk you through banking over the internet securely.
What Is Digital Banking?
Digital banking means using the internet or a mobile device to do everyday banking tasks. With digital banking, you can:
- Check your bank account balances
- View recent transactions
- Transfer money between accounts
- Pay bills online
- Deposit checks using your smartphone camera (mobile check deposit)
- Set up automatic payments
- Receive security alerts and payment reminders
- Contact customer support through chat, phone, or email
Digital banking is available 24 hours a day, 7 days a week, and can be used on a computer, tablet, or smartphone.
Why Digital Banking Is a Smart Choice for Seniors
1. Convenience at Your Fingertips
No need to drive to the bank. You can do everything from the comfort of your home, at any time of day.
2. User-Friendly Interfaces
Many banks design their apps and websites to be senior-friendly with large fonts, simple navigation, and helpful prompts.
3. Stay Financially Independent
Manage your money without relying on others. Digital banking puts you in control.
4. Monitor Your Accounts in Real Time
Track spending, detect fraud, and keep an eye on account activity instantly with real-time alerts.
5. Save Time and Money
Avoid long lines and reduce fees. Many digital-only banks offer better rates and low or no fees.
Common Digital Banking Features
Online Banking vs. Mobile Banking
- Online Banking: Use your bank’s official website on a computer or laptop.
- Mobile Banking: Download your bank’s mobile app on a smartphone or tablet. Mobile apps often include features like face recognition, fingerprint login, and mobile check deposits.
Paperless Statements and Alerts
- Go paperless and get monthly statements through email.
- Set up alerts for low balances, large transactions, or unusual activity.
Online Bill Pay
- Pay utilities, credit cards, medical bills, and more with online bill pay.
- Set up recurring payments so bills are paid on time every month.
Send and Receive Money Securely
- Use tools like Zelle, Venmo, or your bank’s own transfer system to send money to family or friends.
Deposit Checks Without Visiting the Bank
- Use your phone’s camera to take a picture of your check and deposit it in seconds.
Online Banking Safety Tips for Seniors
Online security is very important when using digital banking. Follow these key safety tips to stay protected:
1. Create Strong Passwords
- Use at least 8 characters, with a mix of letters, numbers, and symbols.
- Avoid using your name, birthday, or common words.
2. Enable Two-Factor Authentication (2FA)
- Adds a second layer of protection by sending a code to your phone or email.
3. Use Secure Wi-Fi Only
- Avoid public Wi-Fi in cafes, airports, or hotels. Use your home internet or a VPN (Virtual Private Network).
4. Keep Devices Updated
- Always install the latest updates for your smartphone, tablet, or computer. These updates often include important security patches.
5. Beware of Scams and Phishing Emails
- Don’t click on suspicious links or open attachments from unknown sources.
- Banks will never ask for your password or personal information by email or phone.
6. Log Out After Each Session
- Always log out when you’re done, especially on shared devices.
7. Monitor Account Activity Regularly
- Review your bank statements and account history every week.
- Report anything unusual immediately.
How to Choose the Best Bank for Online Banking
When selecting a bank for digital services, look for these features:
- Strong encryption and fraud protection
- 24/7 customer support (phone, chat, email)
- Easy-to-use website and app design
- Compatibility with your devices (iPhone, Android, etc.)
- FDIC insurance for protection of your deposits
Popular digital banks and services for seniors:
- Chase Online Banking
- Bank of America Mobile App
- Wells Fargo Online
- Capital One 360
- Ally Bank (great for low fees)
Helpful Tools for Secure and Simple Banking
- Password Managers: Use trusted apps like LastPass or Bitwarden to store passwords safely.
- Budgeting Apps: Try Mint, PocketGuard, or YNAB (You Need A Budget) to track spending.
- Voice Assistants: Devices like Alexa or Google Assistant can help with simple tasks like checking balances.
Getting Started: A Step-by-Step Guide for Seniors
Step 1: Sign Up for Online Banking
- Visit your bank’s website and click “Enroll” or “Register.”
- Follow the instructions to create a username and secure password.
Step 2: Download Your Bank’s App
- Go to the Apple App Store (iPhones) or Google Play Store (Android).
- Search for your bank and install the official app.
Step 3: Log In and Explore
- Use your login details to access your account.
- Familiarize yourself with checking balances, transferring money, and bill pay.
Step 4: Set Up Alerts and Autopay
- Customize alerts to notify you of any important activity.
- Set up autopay for monthly bills like rent, utilities, or subscriptions.
Step 5: Use Safe Habits Every Time
- Don’t share your login info.
- Use security settings on your phone like PINs, face ID, or fingerprint login.
Don’t Hesitate to Ask for Help
If you’re unsure about anything, help is available. You can:
- Ask a trusted family member or friend
- Call your bank’s customer service line
- Visit your local bank branch for assistance
- Attend digital literacy classes at your library or senior center
Many banks also have senior support teams trained to help older customers feel confident using digital tools.
What to Do If You Suspect Fraud or Scams
If you think someone has accessed your account without permission:
- Call Your Bank Immediately
- Most banks have a 24/7 fraud hotline.
- Report the Scam
- Contact the Federal Trade Commission (FTC) or your country’s consumer protection agency.
- Change Your Passwords
- Create new, secure passwords for all financial accounts.
- Check Your Credit Report
- Visit AnnualCreditReport.com or a similar service to see if new accounts have been opened in your name.
Final Thoughts: Take Control of Your Money With Confidence
Internet and phone banking can be an excellent way for older adults to remain in charge of their money. It’s easy with a bit of practice to discover that online banking is secure, convenient, and empowering.
By following safe practices, asking for help when necessary, and choosing the proper tools, you can manage your money independently and confidently in the modern world.
Explore many other tips for seniors in our articles:
