I have been banking online for years and very much enjoy the ease of it. I view my account information, transfer funds, pay bills and get billing history - all free of a monthly service charge. However, if I were to enter the physical bank to make a deposit, I would pay a small fee. But online and ATM are free. And I save the postage.

Online banking is growing in popularity, with nearly 23 million Americans expected to pay their bills and access their financial accounts on line by 2004, according to one estimate. The Internet offers the potential for safe, convenient new ways to shop for financial services and conduct banking business, any day, any time. However, safe banking online involves making wise decisions that will help you avoid costly surprises or scams.

When you are selecting a traditional bank or an online bank that has no physical offices, make sure that it is legitimate and that your deposits are federally insured. The Better Business Bureau, along with the Federal Deposit Insurance Corporation (FDIC) offer the following tips to those considering banking over the Internet:

• Read key information about the bank posted on its web site. Most bank web sites have an "About Us" section or something similar that describes the institution. Look for a brief history of the bank, the official name and physical address of the bank's headquarters.
• Verify the bank's insurance status. Look for the familiar FDIC logo or the words "Member FDIC" or "FDIC Insured" on the site. Keep in mind that not all banks operating on the Internet are insured by the FDIC. Many banks that are not FDIC-insured are usually chartered overseas. If you choose to use a bank chartered overseas, it is important for you to know that the FDIC may not insure your deposits.
• For insurance purposes, be aware that a bank may use different names for its online and traditional services; this does not mean you are dealing with separate banks. This means, for example, that to determine your maximum FDIC insurance coverage, your deposits at the parent bank will be added together with those at the separately named bank web site and will be insured for up to the maximum amount covered by one bank.
• Find out about online fees. Read the fine print. Free may mean unlimited access to your account, or it may mean for a certain number of sessions or transactions, after which fees are incurred. Compare all online fees to any off-line account fees.
• Check to see what type of customer support is offered. Look for a customer support telephone number or e-mail address on the site, in case you have a problem or question.
• Be sure the site is secure. To assure yourself that you are in a secure area on the bank web site, look for these two clues: 1) In the address window of your browser, the first part of the bank's URL changes from http:// to https:// when you put in your name and password; and 2) a lock or key appears in the lower corner of the web page.