Owing to information security concerns, most Arab small and medium enterprises depend on traditional interactions and have not moved their operations online. The insufficient preparation for the information and communication technologies revolution led to few offering online transaction platforms, information security features and credit facilities. One of the security concerns is a lack of data validation. Data that are not validated or not properly validated is the main issue for serious security vulnerabilities affecting online banking applications. In this article, the influences of security issues on Arab banks will be discussed. A number of data validation methods will be also reviewed to date to provide a systematic summary to banking environment. On the basis of the advantages and disadvantages of each method, the IT developer will decide which is best suited to develop the systematic online banking application. From this analysis, a global view of the current and future tendencies of data validation will be obtained and therefore provision of possible recommendations for solving the security and privacy issues in the online banking in the Arab world.