The MEDICAL BANKING REPORT, July/August 2007, Vol. 4, No.3
When it comes to the growth of online banking there is one factor that stands above all the others: Public Trust. According to a survey by Ponemon Institute, a think tank that advances responsible information management practices in business and government, 57% of consumers said if there was one privacy breach at their bank, they’d stop all online services. That’s a pretty small margin for error.
The survey (sponsored by Watchfire in April 2005) had 2,328 responses (17.2% response rate) and was conducted with a cross segment of customers from Wachovia, PNC, US Bank, Washington Mutual, National City and Citigroup.
The statistic isn’t entirely surprising. What banking service isn’t inextricably bound to Public Trust? It is much like the air that a banker breathes. Without Public Trust all bets are off that a bank will succeed.
This is one reason why banks today are locked into an Identity Theft Arms Race. No one likes to be compromised.