What are the risks and controls in Telephone banking?

Answer 1

Unauthorized access or Phishing is one of the main risks in internet Banking. If a customer provides his internet banking credentials in a website that is not a legit bank website, his details can be used by the fake website to access his bank account and make transactions.

To control this - customers should be educated about phishing and asked to validate the authenticity of the website before they enter their credentials. Also customers must keep their credentials memorized and if they have written it down, they must keep it in a safe place that can be accessed only by themselves.

Answer 2

Unauthorized access is one of the main risks of Telephone Banking. Since the customer care executive on the other side of the phone cannot see the customer he would not be able to 100% validate if the person calling is indeed the customer or an imposter.

To prevent this, the customer care officers ask a few verification/validation questions like date of birth, mothers maiden name etc to validate the authenticity of the cutsomer. But still, this is not 100% fool proof.

Answer 3

It is relatively safe as long as you have your own computer at home. It is not safe if you plan on doing internet banking on a public computer. Someone might be able to figure out your pin number and will steal your identity.

If you can't afford your own computer at the moment, then use a family member's computer.