What is a mobile wallet, and should you use one?

Title : What is a mobile wallet, and should you use one?

Digitization has changed all the sectors upside down and for almost everything we have mobile apps. Whether you want to pay your bills, go online shopping, order your favorite foods, and many more. All these habits have changed the user experience and habits and it is possible because of easy payment solutions. Yes! Your mobile wallets have played an important role in all this.

Digital wallets solution has replaced the traditional banking system where the user has to carry cash for each and every transaction. Now, people prefer mobile wallets over physical wallets and this blog will help you to understand what is a mobile wallet, why you should use it.

Understanding Mobile Wallets A mobile wallet can be best understood as a virtual wallet that can store the information from debit/credit cards, coupons, and loyalty cards within a mobile device. This mobile

wallet enables its user to make in-store as well as online payments without carrying physical cash or a wallet.

The information stored in your mobile wallet is well encrypted and hence makes it highly secure. Digital payment services are improvising on daily basis and mobile wallets are one of the best examples of this.

Once your customers install the mobile wallets on their smartphones or devices, they are required to store their card or banking details only once and can make payments using them anytime and anywhere. Mobile wallets are actually creating the future of digital banking by providing the simplest money transfer services.

How does a mobile wallet work?

The working of a mobile wallet is quite simple and this is the reason why mobile wallet technology is becoming popular among its users.

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Step 1: The user can install, and open the mobile wallet app on their smartphones. All the required banking information and card details are just entered at the time of registration. KYC and important information will be filled in by users to authenticate and make the process more secure.

Step 2: The mobile wallet app uses an NFC-enabled terminal for making payments.

Merchants can be easily identified through a contactless payment symbol. (in general, a sideways WiFi symbol) Step 3: Your user can wave or tap their mobile devices for making the payment on NFC enabled terminal. A message is sent to the merchant site for payment confirmation. The amount will be deducted from the customer’s account to be transferred to the merchant account.

Where can you use your mobile wallet?

A mobile wallet is a new and innovative way to carry cash in digital format. Mobile wallets are used everywhere as this is a convenient, easy to use, and secure way of making payments. Mobile wallets boost financial inclusions and show new steps in every sector of the fintech industry.

Mobile wallets and digital currencies are fueling contactless payment solutions and becoming the first choice of users. All the on-demand mobile applications, banks, and bill payment methods are integrated with mobile wallet solutions to streamline their payment methods.

Why should you use a mobile wallet?

Mobile wallets have many benefits which make them the first choice of every user. They are as follows:

Safe and secure access The mobile wallet use authentication methods like fingerprint scan, face recognition, etc. Also, it is can be locked using transaction pins, passcodes, and fingerprint or face recognition methods to protect it from unauthorized user activity.

Easy and quick accessibility Mobile wallets don’t need to enter card details for each and every transaction. Whereas, the traditional card payment method used has to enter the card details along with CVV

information and OTP. The user of the mobile wallet payment system need not find out cards from bags but can directly use their smartphones and pay.

A wider range of uses Mobile wallets are used almost everywhere and in all sectors, whether you want to pay your electricity bills, DTH payments, buy tickets, book hotels, order groceries, or order your favorite cuisine. Mobile wallets have become the first choice of every generation because it serves various purposes with some taps on smartphones.

Discounts and offers Mobile wallets generally have many promotional offers, reward points, gift cards, and cash-backs. This seems profitable for end users and they would like to pay through mobile wallets instead of traditional payment methods.

Easy money transfers and remittance Mobile wallets enable their users to transfer money within a few seconds. Unlike traditional banking methods, users do not need to stand in long queues and wait for long. Cross-border remittance has also been resolved and can easily be done with mobile wallet payment solutions.

The above are some key features of mobile wallets which prove that there are many reasons for you to move your business with mobile wallet integration.

Popular mobile wallets for a glance There are many mobile wallets launched in the market that offer similar features and security measures. It depends upon your business requirements and how would you like to interact with your customers through your mobile wallet app. The following are the popular mobile wallets: ● Apple Pay: Enables Apple devices to pay in a private way. It is easy and secures the mobile wallet having transaction authentication like fingerprint makes it stand out from any other mobile wallet.

● PayPal: It is the most widely used online mobile wallet though less used for retail business. It helps your users to secure online checkouts with all your card benefits. ● Google Pay: Google pay is widely used for android devices as a safe and secure way to pay and do money management. ● Samsung Pay: This is available with Samsung devices for secure payment checkouts.

Conclusion Today, the fintech sector is revolutionizing as people are becoming more and more dependent on phones and the internet. Mobile wallets are booming for cashless payment methods that give freedom for their users to pay for anything they want anytime and anywhere.

In this era of smartphones and internet connectivity, there is a mobile app for everything, and transferring and paying money for all the services has become more convenient with mobile wallet solutions. So what are you waiting for, this is the right time to integrate the one with your business.