Do you know anyone who is afraid of the internet? See how it's costing them...

Ways fear of the Web costs you

In 2009, making financial transactions online isn't just mainstream -- it's quickly becoming the norm.

A July 2009 study by Fiserv found that 69.7 million households now use online banking services, and 64.4 million households pay at least one bill online.

Numbers on that scale mean cost-cutting banks and other businesses increasingly are focused on taking their services online, and consumers who can't -- or won't -- do business online may end up paying high fees and missing out on great deals.

The following are five ways that fear of the Web may be stealing money from your wallet.

Banking -- higher fees. Banks have been trying to shift transactions online since the Internet came into its own. Why?

"(Online banking) is a cheaper channel to service customers," says Emmett Higdon, a senior analyst for Forrester Research.

Higdon cites the example of Bank of America, which recently announced it would close up to 10 percent of its branches because so much of its customer traffic has moved online.

In past years, some financial institutions -- like Bank One (now part of JPMorgan Chase) -- even tried charging a fee of $3 on some accounts for the privilege of visiting a teller. Needless to say, the fees were unpopular.

"We learned this lesson the hard way a few years ago," says Higdon. "A lot of people voted with their feet on that particular measure, and we learned very quickly that customers will not be forced into using a particular channel."

Today, banks are less likely to browbeat customers into going online. Instead, they offer perks to savers as a way of enticing them to take the online leap.

For example, Higdon says customers who check their fee schedules may notice that some online transactions -- such as transferring funds to another account or sending money overseas -- are much cheaper than the same services performed at a brick-and-mortar branch.
Technology analyst and BlackPlanet.com co-founder, Omar Wasow, agrees banks generally have moved away from the online-banking hard sell and now are trying to woo customers with perks.

"If you're trying to open up a certificate of deposit, for example, you're able to get better rates online. Right now, it's more carrots than sticks," he says.

Meanwhile, customers who still insist on receiving paper correspondence may pay a price. Many banks are now charging customers extra to mail hard copies of canceled checks, a service the banks used to routinely perform for free, Higdon says.

Banking Luddites also may miss out on one small bonus: Some banks now offer a statement credit of a few dollars when you stop the stream of paper statements coming to your home.