Digital Banking Safety: Protecting Your Family's Finances Online

Most of us are doing our banking from our phones now, checking balances while we're in line at the grocery store or paying bills from the couch.

It's incredibly convenient, but it also means we're putting our financial information out there in ways we never did before.

This convenience comes with risks that a lot of families might not be thinking about yet. And it’s not just about keeping your own accounts safe.

If you have kids or aging parents, there are a few extra things to keep an eye on. Scammers are getting smarter, and they tend to go after the people who are most vulnerable.

The Rise of Digital Banking

According to recent studies, over 80% of Americans now use some form of digital banking. That's everything from checking your account balance on your phone to using apps like Venmo or Cash App to split dinner bills with friends. We have banking apps, online platforms, digital wallets, and even our watches can make payments now.

That convenience is a big part of the appeal. You can deposit a check just by snapping a photo, instantly transfer money to your kid’s account, or set up automatic bill payments so you don’t have to worry about missing a due date.

But with every online transaction, there’s also a small window where something could go wrong. It's like having more doors to your house. Sure, it's convenient, but each door needs to be locked properly.

What’s really changed is how much of our financial lives now happen online. It’s not just about checking balances anymore.

Many of us are applying for loans, managing investments, and even getting financial tips through apps or chatbots. The more we rely on digital tools, the more important it becomes to stay aware of how to keep everything secure.

Common Online Threats to Watch Out For

So what are we actually dealing with here? The threats are more varied than you might think, and they're constantly evolving.

Scams

Email and text scams are probably the ones people run into most often. You’ve likely seen those texts about missed toll payments or delivery issues. These scams are getting harder to spot.

They use real company logos and create websites that look almost exactly like the legitimate ones. Sometimes, you really have to look closely at the URL to catch what’s off.

There are also phone scams, especially ones aimed at older adults. Scammers might pretend to be a grandchild in trouble or claim to be tech support needing remote access. They play on emotions, which is why these scams work. They're preying on people's natural desire to help their family.

Read also: Scam Watch

Malware and Keyloggers

Malware and keyloggers are sneaky programs that can end up on your device if you click a bad link or download something suspicious.

Once they’re in, they can quietly record what you type, including things like passwords and account numbers.

Account Takeovers

This is when someone actually gets access to your account and starts using it like it’s theirs. It can happen if they get your password or convince your bank that they’re you. Once they’re in, they might even change your contact info so you don’t realize something’s wrong right away.

Public Wi-Fi

Public Wi-Fi is super convenient, but it comes with risks, especially when you’re doing anything sensitive, like banking. When you’re connected to a coffee shop’s network, for example, it’s possible for others on that same network to see what you’re doing.

Best Practices for Digital Banking Safety

So, what can you actually do to stay safe while banking online?

Use Strong and Unique Passwords

Let’s start with passwords. It’s really important to use strong, unique passwords for each of your financial accounts. That means avoiding the temptation to reuse the same one for everything. If that sounds like a hassle, a password manager can help by creating strong passwords and remembering them for you.

Turn On Two-factor Authentication

Two-factor authentication is one of the easiest—and most effective—ways to add extra protection. It means that even if someone gets your password, they won’t be able to get into your account without a second step, like a code sent to your phone.

Keep Your Apps Up to Date

Make sure your banking and financial apps are always updated. We know the update reminders can be annoying, but those updates often include important security fixes. If it helps, you can turn on automatic updates so you don’t have to think about it.

Set Up Account Alerts

Setting up text or email alerts for purchases is a great way to keep an eye on your accounts. That way, if something suspicious does happen, you’ll catch it right away. You can usually choose to get alerts for all transactions or just ones over a certain amount.

 Be Careful with Public Wi-Fi

Try to avoid doing any banking over public Wi-Fi. If you’re out and need to check something quickly, it’s safer to use your phone’s cellular data instead. Public networks aren’t always secure, and using your data connection adds an extra layer of protection.

Monitor Your Accounts

Keeping an eye on your account activity is one of the easiest ways to spot anything suspicious early. This is especially important if you share accounts with your kids or help manage finances for older family members. Try to review your statements every month and take a quick look online at least once a week. Catching something early makes it a lot easier to fix.

Read also: Protecting Your Identity Online

Teaching Your Family Good Digital Habits

Not everyone in your family is going to be aware of the risks that come with digital banking, and that’s totally normal. A lot of the time, it falls on you to help guide them and share what you know.

 Talking to Kids About Online Safety

When it comes to kids, it helps to start with the basics. Talk to them about how things online aren't always what they seem, and that they should never give out personal info like addresses, phone numbers, or anything about money. If they have their own account or debit card, show them how to check their statements and encourage them to come to you if anything looks off.

It’s also a good idea to set up parental controls where you can. Some banks even offer special youth accounts with built-in safety features and parental oversight. Those are definitely worth looking into.

Building Healthy Skepticism

Try to build a bit of healthy skepticism across the board. Teach your family to pause and question things, especially unexpected messages or requests. If something seems too good to be true or pushes them to act quickly, that’s usually a red flag.

Make sure they know that legit companies, especially banks, won’t ever ask for personal info like passwords through a text, email, or phone call. If something seems off, the safest move is to call the company directly using the number on the back of their card or the one listed on their official website.

Supporting Older Family Members

Helping older family members stay safe online can take a little more patience, especially if they’re not super comfortable with technology. Focus on the essentials, like not giving out sensitive info over the phone or email, and knowing when to double-check things.

If they ever feel unsure, remind them it’s always okay to slow down and ask for help. Setting up regular check-ins to go over their accounts together can give everyone a little more peace of mind.

Steps to Take After Suspicious Activity

If you ever notice something that doesn’t look quite right in your account, don’t panic, but do act quickly.

Start by reaching out to your bank right away. Most have 24/7 fraud hotlines and can freeze your account if needed. The faster you report it, the better your chances of resolving it and possibly recovering any lost funds.

You’ll also want to report the issue to the appropriate authorities. This might include your local police, the FTC, or other agencies depending on the situation. Make sure to save any emails, messages, or documents related to the issue. Those can come in handy if you need to follow up later.

It’s a good idea to write everything down, such as dates, what happened, who you spoke with, and what steps you took. Having that info organized can really help if you need to dispute a charge or provide details to your bank or law enforcement.

Conclusion

None of this is meant to scare you away from using digital banking. It really can be safe and convenient. The key is just staying a little proactive.

Take some time this week to review your digital banking habits. Are you using strong passwords? Do you have two-factor authentication turned on? Are you monitoring your accounts regularly? These small steps can really help you in protecting your and your family's finances.

At our credit union, we always prioritize digital safety for all our members in Lafayette, Acadia, Vermillion, Iberia, and St. Martin parishes.

Our mobile app includes robust security features. But even with all the security measures we have in place, your habits and awareness are the first line of defense. With the right knowledge and habits, you can enjoy all the benefits of digital banking while keeping your family's finances secure.

If you have questions about digital banking safety or want to learn more about the security features in our mobile banking app, give us a call or visit one of our local credit unions near you in Lafayette or New Iberia. We're here to help you bank safely and securely, whether you're doing it from your phone or in person.