As related in a previous Curtis Money Blog post, online banks such as Ally offer higher rates of interest than traditional “brick and mortar” banks as well as other advantages such as interest-bearing checking accounts with no minimum balances.
But are there any drawbacks to banking online?
1) There won’t be a physical person you can talk in case of a problem.
2) Funds that you transfer from a “brick and mortar” bank will not be available for up to 5 business days.
3) You can’t deposit cash — and certainly not rolled up coins — into an online bank account.
4) You can deposit a check directly into an online bank account but you would need to use a computer or camera-equipped mobile device to do so.
5) You don’t need to own your own computer (or internet-enabled mobile device) to bank online but you would need to be wary of shoulder surfers when you access any private information while using a public computer.