Money
Getting the best deal
Web is way forward for financial products
The internet is increasingly popular among consumers looking to research and buy financial services products, writes Holly Thomas
A new study by research firm Global Reviews found that 78 per cent of credit card customers research deals online while 64 per cent said that they preferred to apply in this way.
Half of consumers say that they research their home insurance online, stating that they are extremely likely to purchase through the internet in the future.
Saga received the highest score across the personal finance industry for its home insurance online quote and application process.
One of the key criteria against which the websites were assessed, was the quality of their application process online. This is something that was found to be important to customers especially the ability to save application forms part way through the process.
Half of consumers have applied for a savings account online and 60 per cent want to be able to apply in this way. A massive 78 per cent of credit card customers research deals online and 56 per cent of personal loan customers want to be able to apply over the net.
Global Reviews director, Adam Goodvach said: "Customers are increasingly going online to research and buy financial products. However our research found that the customer experience on many websites could be significantly improved. In this online world, where competitors are only a click away, customers that do not find what they are looking for will vote with their feet."
Meanwhile online banking is increasing in popularity with more than half of web users relying on the internet to manage their affairs according to APACS, the UK payments association.
It reported that the number of adults using online banking has increased by 505 per cent in the past seven years from less than 3.5 million in 2000 to just over 21 million last year.
However, criminals continue to target online banking customers through "phishing" which is the name given to emails that claim to be from your bank but are actually sent by fraudsters.
These emails typically urge you to click on a link that takes you to a fake website identical to the real one.
Victims are then asked to verify or update personal security information but, by doing so, passes information to the fraudster who has created the fake website.
The fraudster then uses the details to access your online bank account and take your money.
APACS has published a Banking Safely Online advice guide which is free to download from www.cardwatch.org.uk and www.banksafeonline.org.uk
* Holly Thomas is an award-winning financial journalist and Deputy Personal Finance Editor at the Daily Express and Sunday Express. Holly's views represent her own opinions and are for general information only. Always seek independent financial advice.
