Smartphones have become so ingrained into our daily lives that they’re used for pretty much anything. They can play games, take pictures, stream music, manage your day, function as a GPS, and even pay for items. In order to pay for items, a wallet must be stored on the phone.
Here you can learn about mobile wallets and why every smartphone owner should have one installed.
A mobile wallet is essential the digital equivalent of a wallet that people carry in their pockets or purses.
It’s an app that stores payment information, specifically information from debit and credit cards. When it’s time to make a payment at a retailer, a smartphone owner can simply use their phone wallet at a terminal to purchase items.
Multiple wallets exist and they have different levels of compatibility with the smartphones that are on the market. The wallets will only function at a retailer if the retailer accepts them.
Samsung Pay, Apple Pay, and Google Pay are the most well known mobile wallets, and these are usually included with Samsung, Apple, and Google phones respectively.
Other wallets from specific banks and merchants can be downloaded through apps stores, such as the Paypal and Capital One wallets. When a wallet is chosen, all the user has to do is enter the information from these cards and select a default card that will be used for purchases.
Everyone should have a mobile wallet because of how convenient they area. Using a mobile wallet, anyone can carry around their card information without needing the physical cards themselves.
This even means that some people won’t need to carry around a physical wallet, since they only pay with cards. Transactions made with mobile wallets are usually quicker than their paper and plastic counterparts as well.
Credit cards often come with rewards when certain purchases are made. Mobile wallets can take advantage of these for the most part, and the reward activation is usually reflected on credit card statements.
There are some cases where rewards linked to a specific merchant may not be correctly categorized by the wallet, so the card issuer should be contacted before using the wallet for these purchase situations.
There are some rewards that are specific to people who use mobile wallets.
For example, Chase will give a 5% cash back discount occasionally to those who use their mobile wallet. The same can sometimes happen with Samsung Pay, and reward points can be gained that can be redeemed on Samsung items.
Another benefit of the mobile wallet is that it’s a more secure form of payment. Cash can easily be lost and stolen, and so can credit cards. Credit cards can also be copied with the right technology.
Mobile wallets encrypt card information, and payments can only be made when a device is unlocked with a fingerprint or pass code when these features are enabled. A strong pass code will prevent unauthorized attempts.
There are a couple of drawbacks to mobile wallets, but they aren’t too major.
Since the wallets are stored on smartphones, they can only be used when the phone is on, which requires power. If a phone runs out of battery power, a person won’t be able to access their mobile wallet until they can recharge their battery or get to an outlet.
Also, some mobile wallets issuers will collect data about a users spending habits, something that isn’t done with credit cards or cash.
One other minor issue is that since some mobile wallets only work at a particular retailer, it can be a little annoying to have multiple wallets for all of the stores that a person may frequent. For some with limited phone space, it may not be possible to juggle many wallet apps at once.
Mobile wallets are the most advanced form of payment available. Although there are some people who will stick to paper and plastic payment methods, they always have the option of venturing into the world of mobile wallets and seeing how great they really are.
The first purchase with a mobile wallet will be easy and satisfying.