Evaluating Banking Websites Privacy Statements - A New Zealand Perspective on Ensuring Business Confidence

Because banks deal with highly personal detailed and sensitive information, they need to establish and maintain the confidence of their customers more assiduously than most other businesses. The rise of internet banking and the advantages to be gained from the garnering of personal data from websites places banks in a position to exploit customer data in a way that might infringe ethical considerations. This investigation analyses the website privacy statements of New Zealand banks in terms of the provisions of the New Zealand Privacy Act. The intention was to find an objective basis for the assessment of business integrity, to explore how confidence in electronic commerce can be assured. The investigation finds that the use of privacy legislation principles as a means of evaluating website privacy statements is revealing and convincing. It is considered that customer confidence will increasingly impact on Internet businesses, and business integrity as demonstrated by comprehensive and relevant privacy statements will go a long way to provide those assurances.