The main factors that make information technology so important in the banking sector are:
The speed in which transactions can be carried out has increased dramatically since the introduction of information technology into the banking sector. Payments can be made online, and this speeds up the process of receiving money into accounts. Whereas before a payment would normally be paid by check, which could take up to seven days to clear into an account, now payments can be received into accounts and cleared on the same working day.
The accuracy has increased as transactions are generally saved onto computers and they can be checked against previous transactions to the same company. Specific transactions can be searched using different fields and this enables banks to see the state of customers' accounts at a quicker speed than before.
The fact that different fields can be searched in customer accounts, means that cross-checking can be easily done, whereas before, checking could have taken some time, due to the amount of paper in use for any transaction.
The trust in information technology was low at first, but is now on the increase as people become used to the technology and the way it affects them. People are becoming more comfortable using the new facilities, such as Internet banking, available to them.
People are more aware now about fraud, due to the rise of the use of the Internet, and are more likely to take measures to protect themselves and their identity.