Popular Mobile Wallets Taking the Place of Cards and Cash

Banking CIO Outlook | Friday, June 14, 2019

FREMONT, CA: Digitalization and faster lifestyles have made a good case for the use of mobile wallets. The adoption of mobile wallets is not surprising as they offer significant advantages to the users. According to a study, the value of payments made with mobile wallets is projected to reach $14 trillion. This simple statistic demonstrates the full acceptance of the payment mode. To understand what has triggered this phenomenon, continue reading.

•  Convenience

Of course, convenience has to figure first in the list. With mobile wallets, the cumbersome nature of transactions is greatly simplified. Now nobody needs to stand in long queues to withdraw money from ATMs. One can walk to a store and pay with a couple of taps on their smartphones.

•  Enhanced Security

Carrying cards or cash means there are always chances of theft or loss. In the case of mobile wallets, the money and the account are encrypted and cannot be accessed by anyone even if they steal the device. Also, mobile wallets don't use the actual account information. Instead, they use encrypted payment codes, which adds another layer of security.

•  Wide Acceptance of Mobile wallets

The acceptance of mobile wallets at the smallest store to the most significant outlet has contributed to their popularity. Even for online purchases, mobile wallets are preferred as they already have all the account and card information stored, and the user needs to key in amount details and a couple of passwords to complete payment

•  Cashback and Loyalty Points

Mobile wallets give bonuses. Every time the mobile wallet is used, there are discounts and cashback on offer. Loyalty points accumulated can also be redeemed at applicable stores. All of these benefits attract people and increase the chances of creating loyal customers.

•  Auto-Pay through Wallets

It becomes challenging to keep track of all the bills, premiums and instalments that one has to pay every month, resulting in delayed payments and fines. Mobile wallets offer the option of auto-pay and reminders which can come in handy by paying amounts required or by reminding you to repeat a payment you regularly do.

The days of carrying note bundles in pockets or a stack of credit cards in the wallet are now gone. Mobile wallet offers the best services, standing as the clear winner! 

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