Telenor Xpress 1 - 2001

Time is Money

In our fast-paced society, Internet banking presents another way of saving valuable time. Bank customers frustrated by long queues, inconvenient hours and the lack of up-to-the-minute account information are turning to the web to access their savings. Banking transactions are only a click away!

"People use the Internet mostly for accessing information about their bank accounts," says László Szetnics, business development manager for banking solutions at Telenor Hungary. He also predicts that virtual banking will become a worldwide trend. According to the onlinebankingreport.com, only one financial institution offered worldwide net banking services in May 1995. By May 2000, that single digit had been multiplied by 3000. In the US alone, users of online banking services have grown from 5000 to seven million in just a few years. And Europe is not far behind.

European acceptance
"There's been a solid growth in the number of Europeans using the Internet," Szetnics says, with the Internet-hungry Scandinavians and Finns leading the way. Take Hungary itself, for example. Of a population of 10.3 million, 110,000 were using the Internet in 1997 and the figure is expected to reach one million by the end of 2001.

"More and more Hungarians are using the Internet for banking services. While the number was only 10,000 in 1999, it increased to 41,000 in 2000, and that figure is expected to triple in 2001," he continues. There is, however, some level of scepticism in people's attitude towards Internet banking, mainly as a result of security issues. "Computers now offer some sophisticated security solutions which can help accelerate the spread of the online banking services in Hungary as well," comments Szetnics. While Internet banks commonly allow customers to pay bills, view account information, etc. online, other financial services such as online brokerage and stock purchasing are also gaining popularity. Like credit cards, these services are playing a role in changing the way we use money.

A cash-less society?
"It seems clear that we are moving towards a cash-less society," Szetnics claims. Although recognising that coins and notes will remain, he emphasises that people are carrying less cash than before, meaning there is less cash in circulation. Having said that, he thinks it likely that actual spending will increase.

"Some people may spend more than they have when they can't actually see the money itself," Szetnics says, then goes on to underline the importance of controlling one's spending, whether it be cash, plastic or virtual money. "When used properly, Internet banking and financial services save customers time, give them easy access to account information and help simplify their lives," Szetnics concludes.