Online Banking Reaches New Highs

It has been an interesting week in online banking, as internet banks around the world released a series of banking advancements, extended services and record setting interest rates to make using the internet for banking applications easier and more profitable for anyone who wishes to open a checking or savings account.

The most recent of the new online banking advancements has been modifications to the internet banking software used by Bank of America. BoA’s new internet banking system allows their online banking customers to have access to new tools that assist with automatically tracking expenses, setting and managing budgets, and monitoring the performance of all financial instruments in real time. These tools are all free of charge, and available through the “My Portfolio” section of Bank of America’s web banking web site.

"The combination of My Portfolio and these new money management tools gives consumers a comprehensive picture of their income and expenses at one convenient site," says Sanjay Gupta, e-commerce executive for Charlotte-based BofA (NYSE: BAC). "This is a simple and easy way for consumers to get more control over their finances without manually transferring or downloading information to financial management software programs."

Meanwhile, Landmark Bank has added a deeper level of internet security to their online banking security platform. The new security system, branded ICON, allows users to select a graphic icon, to write a brief phrase, and to choose three challenge questions. This information can then be transmitted back and forth between the online bank and the customer as an additional method for each to verify the other’s identity.

"Our new security features will provide customers confidence when they login to our online banking system that they are accessing a legitimate bank site and not an imposter," said Patrick L. Alexander, Landmark National Bank President and CEO. "As more and more customers choose to use our online banking services, providing a more secure site is of the utmost importance."

But when it comes to the bottom line, it is the online banking system provided by HSBC that will catch the eye of most customers. The online bank of HSBC’s Malta branch is offering some of the highest interest rates available at any internet bank in the world. As part of a promotion to advertise their new Online Banking Current Account, customers who open an internet bank account will receive an interest rate of 2.5% until August 31, 2007, and an interest rate of 1.5% after this date. That is better than most mutual funds are paying.

New customers can apply online by visiting the bank’s website hsbc.com.mt while existing HSBC customers can upgrade their current or savings account through the same site.

From new features, to new security methods, to record setting interest rates, customers of online banks have plenty of reasons to be happy this week, and plenty of options when searching for a new internet bank that meets their needs.