Mobile Wallets

Gone are the days when we had to carry a fat wad of cash in our pockets. A lot of modern technology has come up that facilitate easy and cashless transactions Various mobile wallets have been launched in India with which one can pay for almost anything as well as transfer money. Mobile wallets are accepted almost everywhere these days - they can be used at the supermarket, restaurants, movie theatres, online shopping, cab rides - practically everywhere. Mobile wallets are designed to allow secure, hassle-free and quick payments for goods and services.

This payment mechanism allows you to make 'tap-and-pay' purchases and use a single wallet for all purchases, be it online or offline. A mobile wallet usually uses a bank account or an atm card information for processing payments; the payment details are stored in an encoded and secure format. These wallets are economical and they help reduce the payment processing time and potential frauds. Mobile wallets are very easy too you just need to install the application on your smartphone and then register for the service.

What is a Mobile Wallet?

A mobile wallet (or an e-wallet) is a digital version of a physical wallet, where you can add money to make purchases of various goods and services. You can set up this service on a smartphone after downloading an app, entering the necessary personal information like your name and payment information. The mobile wallet can be used in place of debit cards, credit cards or cash. You can make payments by just tapping your smartphone or tablet. Mobile wallets offer you the ease and convenience of purchasing things online and transferring money as well.

Types of Mobile Wallets in India

Many types of mobile digital wallets are available in India. The types are:

Open mobile wallets: These are usually issued by banks. You can transfer money, purchase goods and services, and also withdraw money using these mobile wallets.

Semi-open mobile wallet: These allow you to purchase goods but not withdraw money. You have to load money into the wallet and then use it for any type of purchase.

Semi-closed mobile wallets: These allow you to make merchant payments to certain specified merchants that the company is tied up with.

Closed wallets: These don't provide any cope for withdrawal and a certain specific amount of

How to Register for Mobile Wallet Services?

• Download the app
• Sign up by providing all necessary details
• Link your debit/credit card with the wallet
• Setup a strong password,
• Add money and use it!

How Do Mobile Wallets Work?

Mobile wallets use QR code technology or Near-Field Communications (NFC)-enabled technology. They store payment-related information digitally, in an encoded format, for security purposes. The way of storing such information varies from company to company. Other information like store coupons and loyalty programs are also stored. Mobile wallets work by communicating with terminals through different types of information transfer technology

How to Use Mobile Wallets?

• Open the app
• Enter your PIN
• Select the desired type of transaction
• Make payment

Advantages of Mobile Wallets

It gives access to cashless transactions at the tap of a button: You don't need to carry cash and look for change. You don't need to carry your cards either. It is an extremely convenient procedure.

Secure and safe: Carrying a lot of money is not wise as you might lose it or it may get stolen. Mobile wallets keep your money secure as you do not have to carry your credit/debit cards or money. Digital wallets are extremely secure because they use encrypted data.

Convenient: Mobile wallets are quickly becoming the most convenient form of payment. It is quite simple to use and doesn't require anything other than a phone with a working internet connection.

Fast and streamlined payments: Mobile wallet-based transactions are much faster. You just have to 'tap and pay.' Moreover, a single mobile wallet application can be used for all types of purchases.

Multiple accounts: The greatest advantage of mobile wallets is that one wallet app can store multiple card and account information. You can choose whichever payment mechanism you wish to use.

Usage of Mobile Wallets

Mobile wallets can be used for multiple purposes:

• Transferring funds to another mobile wallet
• Making online purchases
• Booking flight, train and bus tickets
• Paying for cab fare
• Paying utility bills
• Recharging your phone
• Making in-store purchases
• Paying for petrol at a petrol bunk

FAQs

Can mobile wallets be used to pay utility bills?

Definitely.

What are the transaction fees or charges levied for using a mobile wallet?

There is none. The facility is free.

How to load money into a mobile wallet?

One must use their bank account, credit card or debit card to load money into their mobile wallet accounts.

What will happen in case of an error in a transaction where the money is debited from the wallet?

In cases of such technical glitches, the money will be returned to the wallet within two working days.

Who can one send money to using a mobile wallet?

To anyone who has a mobile wallet.

What is the upper limit on the amount that can be sent?

There is no such established maximum limit; it entirely depends upon the company's discretion whether they wish to impose a certain prescribed limit.

What happens if money is accidentally sent to a wrong mobile number?

Immediately contact the customer care executive of the concerned company for a refund.

How to make payment through mobile wallets on e-commerce websites?

Go to the online payment gateway of the e-commerce site, select the mobile wallet from the payment mode and proceed to pay using it.

How to view the mobile wallet balance?

It is generally displayed on the app's home screen.