Online Banking

Pros and Cons of Online Banking.

 

IMG_1241.JPG

I am going to be tell you about online banking. Online banking services allow you to do many of the same things you would do in a bank, all from the privacy of your home computer. When having an online bank account you have have multiple accounts, such as checking account and savings account. This way you can transfer money into which ever bank account you want. Most people now-a-days like using online banking because it gives them the ability to receive and pay bills electronically.

Virtual Bank

Virtual bank is only accessible online or over the phone. You can use virtual bank’s website to handle many common banking tasks, just as you can with the website of a traditional bank. There are several pros and cons of using an online bank. Pros are paying bills, like I said earlier it is very easy to pay your bills. Also it is a simple set up and use, all you need to do is set up the account and a few clicks away you have a new online banking.

Online Banks

Online banks can be accessed 24 hours unlike usual banks. There are some cons that come with online banking such as security. Security is a big issue people have because there are computer hackers and identity theft. Nothing can stop these people that are doing these types of things. Also there is no ATM online bankers can go to without having a transaction fee. This means that every time online bankers want to use an ATM to get money out they are charged a $3 fee to their account because they done use the banks that the ATM machine requires. Finally there are some pros and cons of online banking.

Advertisements
Credit Risk

Credit Risk

3D Credit Risk Crossword

Credit Risk, first off what is credit risk, it refers to the risk that a borrow may not repay a loan and that the lender may lose the principal of the loan or the interest associated with it. Interest payments from the borrow or issuer of a debt obligation a lenders rewards of assuming credit risk.

There are many different types of credit risks including market risk, operational risk, liquidity risk, business risk, systemic risk, etc. There are many different tips to help try to avoid credit risk, one is Debt-to-Income Ratio. This is when you are evaluating someone credit. The debt-to-income ratio can tell you a lot about the potential borrower’s financial situation.

Second one is Credit Score this is a number derived from a formula that looks at the persons credit history.

The third one is  Incomein order to repay the debt, the borrower will have to have a certain amount of income.

You need to decide how much income an individual should have based on how much money he was trying to borrow.

Last but not least, Cotllateral this will help you recoup the money that you have lent if the loan goes into default.