China's Online Banking Security And To Improve The Exploration Of The Security Measures

Continuing technological innovation and competition among existing banking organizations and new entrants have allowed for a much wider array of banking products and services to become accessible and delivered to retail and wholesale customers through an electronic distribution channel collectively referred to as Internet-banking. As early as the 1960s, America and other developed countries have already begun to construct the electrified bank and brought the fruit of computer, the new technology, into the banking industry. After decades of development, Internet-banking and even transnational banking management information system network have been formed, establishing the open, comprehensive and any-time electrified bank. Compared with the developed industrial countries, the development of electrified bank started rather late, but recently bank electrified construction in some large and medium cities has reached the level of developed countries. The constant improvement and development of bank electrification provides better condition for the building of Internet Banking which is the newest banking service form and also the hot topic of the development of domestic commercial bank in recent years. However, the rapid development of Internet-banking capabilities carries risks as well as benefits. As security is crucial for a bank, such risks must be recognized, addressed and managed by banking institutions in a prudent manner according to the fundamental characteristics and challenges of Internet-banking services. However, the operation and management of Internet Banking still need to conform to the three principles of the commercial bank---"safety, profitability and liquidity", and on the basis of prudence, overall planning should be ensured; creative business range should be developed and business risk management and internal controlling should be strengthened.The Internet-banking is not the result of simply putting the traditional commercial bank and Internet together. It has its own characteristics and advantages, also brings series troubles. It is affecting the banking deeply. With investigation into some financial institutes in our country,this paper has pointed that traditional banking risks may also arise from Internet-banking activities, and traditional theories of risk management is still applicable. With the development of Internet-banking, how to enhance the risk analyses and management, how to reduce all kinds of risks of the service provided by Internet-banking, and how to minimize the possibility of loss in the service, or rather minimize the loss, are really burning questions. Internet-banking develops fast with its innovation, and this will bring in new elements of risk, and cause changes in the old elements.This article is based on the present situation of Internet-banking of our country and has specially the future of Internet-banking in mind. First, the article introduces the general idea of Internet-banking and the general situation of Internet-banking of our country. Then on the basis of systematic analysis of the cause and the classification of Internet-banking risks, the article gives some advices based on present situation of the three aspects and problems existed in the three aspects.