Do you think online banking and paying by credit card, etc. are too risky?

There have been several recent reports of serious hacking into the databases of many large companies. In these and other cases, the personal data (including social security nubmers and credit card numbers) have been stolen. Do you think online banking and paying by credit card, etc. are too risky? How can we balance the convenience of buying and paying online versus the need to protect our personal and financial information?