The use of on-line banking gives an SME power to control their finances on a day-to-day basis. They have the ability to transfer funds to a savings account, to maximise interest on this surplus, as well as moving money back into the account to cover any shortfalls, and avoid paying any bank charges.

Advantages include:

• No queuing;
• No rushing to the bank before it closes;
• Access to the account 24 hours, 7 days a week (some accounts do close for maintenance during the night);
• Savings on bank charges;
• Prevention of late penalties on bill payments;
• Access to the account from anywhere (depending on the bank);
• Better financial management.

 

NatWest claims that "using on-line banking could reduce your bank charges". For example, using on-line banking to pay bills may reduce the cost of cheque fees, together with the possibility of reducing postal charges.