Is mobile banking safe? 5 major security risks in 2024 - Norton (2024)

Mobile banking is generally a safe and convenient way to manage your funds, but there are some cybersecurity risks to be aware of. Those who ask, “Is mobile banking safe?” might wonder how vulnerable banking apps are to various online threats. Here, we’ll review five major mobile banking risks and how services like Norton 360 Deluxe can help reduce their severity.

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How safe are mobile banking apps vs. other banking methods?

If you use an app on your phone to deposit checks and track your spending, you might wonder, "Is mobile banking safe?" Mobile banking apps are generally secure and convenient alternatives to other banking methods.

Most banking apps offer a bevy of features meant to protect your sensitive information and identity that traditional banking websites might not. Some of these cybersecurity measures include:

  • Encryption: Most mobile banking apps encrypt, aka disguise, sensitive data like login information and bank statements.
  • Frequent software updates: Mobile banking apps regularly receive support from developers that fix glitches and address vulnerabilities.
  • Biometric authentication: Many smartphones and tablets let users log into banking apps with features like Touch ID and Face ID.

In comparison, online banking sites use cookies to save information about visitors—which hackers can access in the event a website is compromised.A 2022 survey revealed that 78% of American adults prefer to manage their finances with mobile banking apps. With so many people managing their funds on the go, the importance of mobile banking security solutions can’t be stressed enough.

Risks of mobile banking

It’s difficult to find software or technology that is entirely risk-free, and that holds true for mobile banking apps. The 2021 Nokia Threat Intelligence Report indicated that 50% of banking malware is targeted toward Android users, because Androids run on a fully open-source operating system. Cyberattacks triggered by hackers, unexpected glitches, and user mistakes can all undermine an app’s security. Here are some of the more common mobile banking app security issues to be aware of.

Hacked Wi-Fi

Hackers may abuse unprotected public Wi-Fi hotspots to dispense malicious software onto your device or steal login credentials. For this reason, avoid opening your mobile banking apps while connected to public Wi-Fi if possible and consider using a VPN to encrypt your connection.

Data breaches

Data breaches occur when cybercriminals exploit website or system vulnerabilities to gain access to sensitive information. A bank may experience a data breach if they don’t prioritize cybersecurity—and hackers can also use stolen data to compromise mobile banking apps.


Downloading suspicious files can have long-lasting negative effects, such as embedding ransomware onto your device. As the name implies, ransomware can compromise your device until you pay a specified amount of money. For example, a ransomware program can lock up your smartphone and bar you from unlocking it until you pay the ransom.

Fake mobile banking apps

App marketplaces are filled with various mobile payment apps, which allow users to find the right option for their preferences. But bad actors may occasionally sneak fake banking apps that imitate trusted software onto these platforms. Carefully read the description of any apps you plan on downloading, and only install apps from your device’s native app store (the Apple App Store for iOS and Google Play for Android).


Keyloggers pose another threat to mobile banking apps, as they can copy a user’s inputs, such as passwords and PINs. If a keylogger is installed on your smartphone, it will secretly record you as you send out text messages or unlock your device with your passcode.

Many modern devices have built-in security measures to defend against these risks, but vigilance is key. Boosting your cybersecurity knowledge can also reduce the likelihood of experiencing certain attacks.

5 cybersecurity tips for mobile banking

You can improve your device’s security by being mindful and taking some extra steps. The following cybersecurity tips can pay dividends while using mobile banking apps.

1. Use a VPN

Using a virtual private network (VPN) can protect you from cyberattacks, especially while you’re connected to public Wi-Fi networks. VPNs encrypt data, making it harder for anyone to access it if they don’t have permission. Norton Secure VPN offers several robust safety features, such as anonymous internet browsing and a no-log policy for user activity.

2. Set up two-factor authentication

Many mobile banking apps offer two-factor authentication (2FA), which asks users to sign in with a password followed by another login method, like a verification code or an authenticator app. If a bad actor gains access to your login credentials via a data breach, 2FA can serve as an extra layer of protection for your accounts.

3. Create complex passwords

Building secure passwords that use a mixture of symbols and characters makes it harder for hackers to hijack your accounts and install ransomware. In addition, updating those passwords every three months can help reduce the likelihood of cyberattacks. Products like Norton Password Manager simplify this process by keeping all your login info in one location.

4. Regularly update your device’s software

Developers strive to provide software updates for apps and operating systems year-round. When security updates are available for your smartphone, laptop, tablet, or mobile banking apps, install them as soon as possible. In certain cases, developers will even release “hotfix” updates to quickly address major issues like fake mobile banking apps.

5. Activate security alerts

Mobile banking apps encourage users to enable security alerts for various activities. For example, if a transaction is made that exceeds a limit you determine, you’ll receive a text message and email notification. If someone copies your password or PIN with a keylogger, security alerts can warn you about login attempts on unfamiliar devices.

Strong cybersecurity practices can go a long way. Try to regularly incorporate these tips to prevent your mobile banking apps from being compromised. You can even reduce the likelihood of experiencing other types of scams, like a Venmo scam, by safely using your banking apps.

Use mobile banking more safely with Norton 360 Deluxe

When it comes to dealing with mobile banking risks, it helps to cover all your bases. A service like Norton 360 Deluxe provides a wealth of security tools such as a VPN, parental controls, and malware protection to help keep you safe online, whether you’re using a mobile banking app or doing anything else online.

Get Norton 360 Deluxe

Is mobile banking safe? 5 major security risks in 2024 - Norton (3)

  • Emma McGowan

Emma McGowan is a privacy advocate & managing editor at Gen, formerly a freelance writer for outlets like Buzzfeed & Mashable. She enjoys reading, sewing, & her cats Dwight & Poe.

Editorial note:Our articles provide educational information for you. Our offerings may not cover or protect against every type of crime, fraud, or threat we write about. Our goal is to increase awareness about Cyber Safety. Please review complete Terms during enrollment or setup. Remember that no one can prevent all identity theft or cybercrime, and that LifeLock does not monitor all transactions at all businesses. The Norton and LifeLock brands are part of Gen Digital Inc.

Is mobile banking safe? 5 major security risks in 2024 - Norton (2024)


Is mobile banking safe? 5 major security risks in 2024 - Norton? ›

Hackers may abuse unprotected public Wi-Fi hotspots to dispense malicious software onto your device or steal login credentials. For this reason, avoid opening your mobile banking apps while connected to public Wi-Fi if possible and consider using a VPN to encrypt your connection.

Can hackers access your banking app? ›

Mobile banking or any other activity that exposes your sensitive data should never be done on public Wi-Fi. If a hacker is monitoring the public Wi-Fi or hotspot you are using, they could potentially intercept the data being transferred to and from your phone and use it to access your banking account.

Which is safer online or mobile banking? ›

Banking apps can be safer than using an online banking portal due to biometric-enabled login options for your phone and the app itself. Your face, your fingerprint and your phone are a lot harder to hack than your username and password.

Is mobile banking app safe? ›

Is Mobile Banking Safe on iPhone / Android Phone? Mobile banking can be safe on both iPhone and Android phones, it has built-in security features, regular security updates to protect you against malware or unauthorized access but it also has potential risks depending on how informed you are.

Is online banking safe from hackers? ›

Online banking is generally safe and not easy to hack — as long as you take the right steps to protect your information. This means setting up strong passwords and changing them frequently, and using additional tools like two-factor authentication to give yourself an extra layer of protection.

What is the difference between mobile banking and online banking? ›

The biggest difference between the two is their functionality. Internet Banking allows you to conduct online transactions through your PC or laptop and an internet connection. On the other hand, mobile banking can be done with or without internet. Many banks nowadays have their mobile apps for mobile banking.

How do I know if my banking app has been hacked? ›

Change in login credentials: If you are suddenly unable to log in to your bank account using your usual username and password, or if you receive notifications that your login credentials have been changed without your knowledge, this could be a sign that your account has been hacked.

What is the safest device to do online banking? ›

You don't know who has access to the network traffic and whether they can view the data you send. For better online banking security, Marchini advises using your cellular network.

Are there any disadvantages to online on mobile banking? ›

Are there disadvantages of online banking? Online banking does have some potential disadvantages. These include a lack of face-to-face customer support, cash deposit services and a risk of technology failures or security breaches.

What are the disadvantages of mobile banking for banks? ›

  • Risk of hacking and identity theft.
  • Tech issues or bugs can affect usability.
  • Some mobile banking apps charge fees.
  • Features aren't the same for all apps.
Feb 7, 2024

What are the problems with mobile banking apps? ›

The two most significant issues with financial and mobile banking apps that users experience are app freezing and a dropped internet connection. Next in line is the inability of apps to display transaction details or to connect with a customer service executive directly.

Should I use a mobile banking app? ›

Cybersecurity experts say mobile banking is safe, but urge consumers to take certain precautions. “If you download the mobile app from a secure store, that is just as safe as visiting a bank branch,” says Paul Benda, senior vice president for operational risk and cybersecurity at American Bankers Association.

Which of the following cannot be done through a mobile banking app? ›

Expert-Verified Answer

Withdrawing cash cannot be done through a mobile banking app; one needs to use an ATM or visit a bank for that. Mobile banking, however, does allow deposit making, balance checking, and money transferring.

What bank is the most secure from hackers? ›

Flushing Bank, a regional institution serving New York City, finished No. 1. Other smaller banks filled out the top 10 along with more familiar names such as PNC (No.

What bank has the tightest security? ›

Summary: Safest Banks In The U.S. Of April 2024
BankForbes Advisor RatingLearn More
Chase Bank5.0Learn More Read Our Full Review
Bank of America4.2
Wells Fargo Bank4.0Learn More Read Our Full Review
1 more row
Jan 29, 2024

Can hackers see my bank account? ›

They count on moments of vulnerability—when you might never even notice—to break into your bank account. But that's not their only tactic. Hackers can slip through security measures by using tricks like credential compromise and fake public Wi-Fi, and by sending out phishing emails.

What happens if your online banking is hacked? ›

If your bank notices the signs of identity theft, it may close your account to prevent further fraudulent activity. Your card is suddenly declined. Hackers can break into your account and have a new card issued, which would deactivate your card. Your bank can also cancel your card if account fraud is suspected.

Can hackers see your bank details? ›

Often, they'll include a link to a fake website that steals your bank account number or login information. Cyberattacks such as hacking and malware. Hackers can break into your computer or other internet-connected devices (such as mobile phones) and find any personal and financial information that you've stored on it.

Can someone hack your bank account with routing number and account number? ›

Someone with access to both your account number and routing number could withdraw money from your personal bank account. They could also use these account details to shop online, pay bills, create counterfeit checks or apply for new credit accounts.

How do hackers get access to your account? ›

Hackers steal your passwords through a variety of methods including data breaches, password cracking, guessing, physical theft and malware. This can have serious consequences, especially if the hackers gain access to your accounts, but there are ways to protect yourself.


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