Glum with emptying your cash and having another run-of-the-mill trip to the ATM? Exhausted with long queues and how your wait is totally wasting your time? Then go CASHLESS!!! After the Covid-19 pandemic, the use of digital transactions has dramatically increased, especially the use of digital wallets. Let’s dive deeper inside the mysteries of these wallets.
Pay conveniently across the board with digital wallets. Make instant payments and enable a touchless experience by using voice. Eliminate checkout barriers and quicken payments.
Table of Contents
What are Digital Wallets?
Due to blockchain technology, the term “Digital Wallet” is more popular than ever. Finally, many people have warmed up at the idea of digital wallets.
But what is a digital wallet? A digital wallet electronically stores your details to help make your transactions easier. To get started using a wallet, you just have to download the app (in most instances) and in the tap of a finger, you can foot the bill. You can create strong passwords without an essential prerequisite to remember them, you can store loyalty card info and digital coupons, etc. They are straightforward to use.
Are they safe to use?
Yes, digital wallets are generally more secure than other methods of payment although there are a few drawbacks. One of the main reasons that the preponderance use bank cards instead of wallets are because they do not trust them. They cannot be hacked as the hacker can easily be caught. Nevertheless, hackers can steal your money and send it to other digital wallets including yours and convert the digital money into real currency. They can also access your details and sell them in the underground market on the Dark Web.
Pros and Cons of digital wallets
Pros of Digital Wallets
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Track your disbursements
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With digital wallets, you can track your expenditure. You don’t need to scribble down all your expenses.
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More convenient
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In the mere blink of an eye, you can complete a transaction. Just one touch on your smartphone and your payment is finished. Your life just became much easier.
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Heightened security
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Unlike purses, wallets can’t be stolen from so easily. Even if your mobile gets robbed, your digital wallets will be well out of the reach of thieves as they will be protected with passwords.
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State-of-the-art
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Digital wallets are the most advanced of its kind and it’s hard to find anything better than it. Also, it saves you some lugging. If you’re carrying a heavy wallet and trying to find your cash, there is no need when you are using a digital wallet.
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Use the card of your preference
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Some people prefer to use a debit card for one payment, a credit card for another. With a digital wallet, you’re on the fly.
Cons of Digital Wallets
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Desideratum of strong protection
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If your protection is weak and you’ve not safeguarded it with strong passwords, there is a high risk of your wallet being hacked.
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Not acceptable everywhere
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In many places, digital wallets have still not been permitted. So, it’s back to old school in these situations. You have to drag your huge purse once again.
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Dependent on devices
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What if your phone did not have enough battery life? Or maybe your phone has had a trip to the repair shop and you see something that you want so much. Then, you’re helpless. These wallets make you totally dependent on your devices.
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Requires sensitive info
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To activate a digital wallet, it is a necessity to give sensitive information to the wallet. A lot of people will be concerned about this, thus making this a huge disadvantage of digital wallets.
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Risk of company collapsing
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Imagine the company providing you a digital wallet had closed down. With your money in it. Who could say if the company refunds your money or not? Who knows if the company is reliable? You just have to be sure to read the T&C.
Other Wallets
There are three different kinds of wallets. Digital , mobile and e-wallets. You might think that this is a case of tomaytoes vs tomahtoes but they’re not. These three are absolutely different from each other.
e-Wallets
A digital wallet stores your information and payments are directly deducted from your debit/credit cards. However, an e-Wallet requires you to reload the money in the wallet. You have to keep topping-up the money in your account.
Mobile Wallets
In mobile wallets, you can just “tap-to-pay” using NFC – Near Field Technology – unlike in an e-Wallet, which requires you to scan a QR code, etc. You may ask what the difference is between a mobile wallet and a digital wallet. There is one major difference. A mobile wallet is an application in a mobile device but a digital wallet can be used in mobile phones, laptops, desktops and so on.
The differences
A Digital Wallet directly withdraws money from your bank cards using any device. An e-Wallet requires you to regularly reload the money in your account. A Mobile Wallet uses NFC to make it a “one-touch-pay” but you can download the app only on a mobile.
A few major wallets
There are loads of wallets. A few of the major ones are –
