One of my earliest memories of the internet is going to the bank with my parents in, oh, the mid ‘90s, when our bank was handing out packets with a floppy to help you get started using internet banking. The floppy included a browser (Netscape, perhaps, but I’m not sure), and a tutorial about how to get on the “world wide web” and magically manage your bank account from the comfort of your home. The Jetsons’ era had arrived.
Over a decade and a half later, there are still many people who are scared of managing their finances online. Some fear irrationally that someone could hack their computer and somehow download all of their money from their bank account, while others more rationally fear the privacy concerns surrounding financial web apps. Most banks let you at least manage some of your banking online, and apps like Quicken and iBank can download your statements to make it easier to manage. We’ve gotten used to that, and it doesn’t seem frightening now, but many are still scared to let apps like Mint.com bring in all of their financial info.
Or, then, you have the other extreme: people who do all of their banking online. I personally have an online bank account with ING Direct, a bank that has no physical bank locations, and love it. Then, new banking options like Simple are trying to reinvent banking online, with beautiful interfaces and new services. I, for one, can’t wait to give it a try.