Internet Banking in the United Kingdom - Coursework Example

The Internet Banking industry is something I find thoroughly effective and helpful, and I feel as though this revolutionary technology should be shared.

Most of the UK's major banks started off in the mid-90s offering services such as checking bank balances, transferring money between your own accounts, and paying bills, however, this has now accelerated allowing consumers to transfer money to other people's accounts both in the UK and in different countries, apply for mortgages, loans & credit cards, or download account details to spreadsheets allowing them to manage their cash flows (BBC News, 1998).

One of the markets leading internet banks egg.com allows individuals to do all the above plus it allows for costumers to get insurance quotes for their cars, homes, travels, lives & health and emergency cover against thefts or losses of keys, wallets, and cards, etc (Egg.com, 2006).

HSBC is trying to cut counter opening times at branches as online customers are cheaper costing less than one-tenth of normal branch customers, It is thought that many are in favor of online banking, while others are opposed to the thought of online banking, below are the views of a computer literate, middle-aged working woman:

‘I can manage fine with ATMs, internet banking, and so on. But think about those who are elderly, visually impaired, or otherwise struggle with technological advances. A friendly face at a counter is what they are used to and is probably what they want. My 80-year-old father no longer uses an ATM out in the open. He gets his cash from a supermarket checkout, as he feels safer.’ Carolyn Jones, UK (BBC News, 2002).

            Barclays also announced that they are closing 200 banks leading to the loss of around 6000 jobs somewhat due to the materialization of internet banking It is also believed this will result in cost reductions of £200m a year (BBC News, 1998).

1.2       Research Question

The basic purpose of my studies is to distinguish the extent to which the internet is affecting banking in the UK, the effects this is having on local branches, and the views of customers and the community. In addition, the research will address