Internet banking is a relatively fresh term in the world of finances. First Internet services were launched in 1994 in the USA; however, the very beginnings of e-banking, where Internet banking originates, date back to as early as the 70s. The recent decade has brought in a rapid development of Internet distribution channels. The wave of new technologies also reached Poland; however the first Internet banking service was launched as late as in 1998. E-banking presents a chance for today's banks. It helps reduce costs, both on the part of the customer and the bank, it is convenient, provides for the sales of various value-added services and is available round the clock. However, there exist many threats to e-banking, which may hamper the development of this type of service and in some cases even discontinue the functioning of certain products. The development of Internet banking entails many types of frauds, with their number and legal and technical complexity enormously increasing. Internet banking in its broad sense, which includes Internet transactions, payment cards and cross-border bank transfers, is a venue of daily struggles of fraudsters and organisations that hunt for them. The paper presents the chances and threats related to Internet banking, and the development of this channel in selected countries worldwide. What is interesting, there is no single recipe for the success of this channel. Depending on the size of the country, its development level and its banking system, Internet banking services have evolved differently. Spectacular failures of some Internet banking pioneers have also been observed, whereas numerous non-bank institutions that had undertaken this kind of activity experienced legal and economic difficulties. Internet banking in Poland is currently at the stage of dynamic growth, and no developments may possibly bring this trend to a halt. Common application of the qualified electronic signature is still a chance that has not yet been taken by the Polish banks.