For many of us, digital banking is the norm nowadays, and having to go into a physical branch to manage our money feels like a distant memory. In fact, digital banking – through a mobile app or computer – is now the preferred banking method for 71% of the American population, and this number is only set to grow as the decline in brick and mortar branches continues. 

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For a large proportion of the population, these services are making banking more accessible and convenient. However, for those who have used traditional banking methods their whole lives, this digital revolution can be a difficult adjustment and an unsettling process. One of the most prominent concerns for senior citizens reluctant to make the switch is security. When our money is a number on the screen rather than physical cash, it can become much more difficult to feel in complete control of our funds. Plus, with information being acquired from online sources in 86% of identity theft cases, it’s natural to feel a little cautious when digitizing your money. 

Fortunately, you don’t have to be a tech wizard to manage your finances safely online. It’s important to make safety a top priority when using online banking and proceed with an element of caution, but you shouldn’t be deterred by the potential risks; with a little know-how, you can confidently manage your funds and join the digital revolution. 

Recognizing scams and fraudulent activities

Sadly, seniors are commonly targeted by scammers and cybercriminals due to their perceived vulnerability. Whether it’s because of a lack of technical knowledge or cognitive decline that often occurs as we age, older generations may find it more difficult to spot fraudulent activity and can fall victim to targeted scams as a result. In fact, in 2021 alone, people aged 65 and over lost a collective $1.7 billion to fraud. 

To help protect yourself or a loved one, it’s important to recognize some of the common scams criminals will look to leverage. Phishing emails and scam calls are two of the most popular types of cyber scams. Although it’s becoming harder to identify these types of fraudulent communications, there are some telltale signs to look out for: 

• A sense of urgency. Scammers often utilize psychological techniques to pressurize victims into acquiescing to their requests. Creating a sense of panic or urgency via a telephone call or email is one commonly employed tactic to prompt people into making rash decisions that play into the criminals' hands. 

• Spelling errors. If an email has raised your suspicions, it’s always worth checking the subject line, email address and body of the email for spelling or grammatical errors. Sometimes, spelling errors are a deliberate attempt by cybercriminals to evade spam filters.

• Suspicious requests. Scammers will often ask you outright to provide confidential information such as a PIN number or a password. Banks and professional outfits will never ask for this sort of information on a call out of the blue. Never pass on any sensitive personal details, hang up, and call your bank directly via the number on their website. 

Unfortunately, cybercriminals are constantly developing new, more sophisticated ways to access your personal information, so it’s important to stay informed.

Creating and managing secure passwords

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Creating strong, unique passwords is essential for safeguarding your online banking information. Start by crafting passwords that combine a mix of uppercase and lowercase letters, numbers, and special symbols like @ or $. Avoid using common words, birthdays, or easily guessed information, as these can be quickly uncovered by cybercriminals.

Instead, think of a memorable phrase or sentence and use the first letter of each word, inserting numbers and symbols to make it even stronger. For added convenience and security, consider using a password manager, which securely stores and organizes your passwords, so you only need to remember one master password. This is safer than traditional methods of writing passwords down and storing them in a wallet or handbag, which can easily be misplaced. 

As well as passwords, most banks now utilize biometric authentication technology or multi-factor authentication to add an extra layer of security. If you’re given the option to set these up, it’s always worth exploring; speak to your bank if you’re unsure how they work. 

Regular monitoring of accounts

Despite your best efforts to establish sound security measures, your account could still be compromised. If you’re unable to stop criminal activity in the first place, the next best course of action is to spot it as soon as possible. The quicker you’re able to identify and report it, the better chance you stand of limiting its impact. Get into the habit of regularly checking account statements and transactions. This can all be done online, often through an app or your bank’s website. 

For added peace of mind, you can set up alerts for unusual activities, meaning your bank will contact you in the event that a suspicious payment or movement of funds has occurred. 

As with any aspect of digital banking, if you’re unsure how to best look after your account, contact your bank to make the most of their support services. There are often schemes specifically designed to help seniors to set up and manage their online accounts. Friends and family members that are more familiar with the technology can also be helpful sources of support.

Author bio: Chris Ellis 

Chris Ellis is a seasoned freelance content writer with a sharp focus on financial topics. With a knack for distilling complex financial concepts into accessible and engaging content, Chris is passionate about empowering individuals to make informed decisions with their money.