8 Benefits of Using a Mobile Wallet

3/4/2020 12:00:00 AM - 4 min. read

8 Reasons to Start Using a Mobile Wallet

These days in America, it’s hard to find someone who isn’t embracing smartphone technology. When you think about it, most people use their phones for everything. In fact, over 60 million Americans are using their phones as a mobile wallet, according to eMarketer. Since mobile wallet usage has been rising steadily over the last few years, many traditional retailers have upgraded payment systems to make it even more convenient for these early adopters to complete transactions quickly and securely. If you’ve been thinking about making the switch yourself, there are some great benefits you may be missing out on. But before we get into that, let’s start with the basics.

 

What Are Mobile Wallets?

Mobile wallets are apps or virtual storage compartments that allow you to digitally store payment card information on your phone. These virtual wallets also make it possible to complete transactions for both online and in-store payments using only your phone – no physical card necessary! Mobile wallet options can vary but pretty much every smartphone already has at least one default option, such as Apple Pay®,36 Samsung Pay™,38 or Google Pay™37  already built in. How and where you’re able to use your mobile wallet will vary on individual merchants and their payment systems, but these new forms of payment are becoming more widely accepted every day.

How Do You Use a Mobile Wallet?

One reason for the increasing popularity of mobile wallets is their ease of use. Getting started is easy and only requires that you walk through a few simple steps. You’ll probably be done in less than a minute. After you’ve set up your virtual wallet with your information, it is simple to make payments and even send money to friends and family.

When it’s time to make your first purchase, all it takes is a payment terminal that’s compatible with your device. If you’re using a popular program like Google Pay or Apple Pay, most terminals in physical stores utilize Near-Field Communication (NFC) chips to read payment information when you hold your phone close enough to the terminal. Samsung Pay mimics the technology used in your magnetic stripe, so you can use it with any card reader. Depending on your mobile wallet’s security settings, you may also be able to set up a biometric authentication that would require you to scan your thumb or face to verify each purchase. When shopping online, just follow the prompts outlined by the retailer to complete your transaction.

Where Can You Use a Mobile Wallet?

As you’ve probably already noticed in major retailers, mobile wallet integration is quickly becoming mainstream. Some of the places you’re likely to be able to use a mobile wallet to make your payment include:

  • Online stores
  • Brick and mortar stores
  • Online payments between family and friends
  • Recurring bills

Are Mobile Wallets Safe?

As long as you are using a mobile wallet from a reputable source, you should not experience any trouble. In fact, in most scenarios, using a mobile wallet is actually safer than using a traditional debit or credit card. Because each transaction is encrypted, sensitive data such as card and account numbers are protected in a way they never have been before.

Are There Any Disadvantages of Using a Mobile Wallet?

Mobile wallets tend to be safer and more convenient, but there are some instances where you may want to keep your plastic card handy. For example, this new technology has not been adopted everywhere. While abroad, world travelers may run the risk of running into retailers who do not accept mobile wallet payments. However, the average card user in America today will be able to enjoy using her/his mobile wallet at many retailers – especially big box stores.

8 Benefits of Using a Mobile Wallet

Benefits of Mobile Wallet Infographic

Mobile wallets are a great option. Here are 8 benefits you can expect to enjoy if you decide to make the switch.

  1. Save Time

    Whether it is faster check out times or just less time fumbling for your wallet or purse, mobile wallets can help streamline your shopping experience. With the right mobile wallet, you can always be ready to step up and check out. Most tap transactions are processed in 2 seconds or less, whereas chip-card transactions can take upwards of 10 seconds to go through.

  2. Reduce Clutter

    For anyone who’s looking to cut down on the clutter, mobile wallets are a great option because they represent one less thing you have to have in your pocket. Remember, most mobile wallets allow you to store multiple cards and payment options so you can leave your cards at home and slim down your wallet.

  3. Be Safer

    Because your cards are safe at home, mobile wallets help eliminate the concern of your private information being stolen by credit card scanners or suspect cashiers. And like we mentioned before, a trusted mobile wallet will encrypt your transaction data, making it virtually impossible for criminals or hackers to steal.

  4. Get Rewarded

    Different mobile wallet options offer rewards, discounts, and even cash back to attract new users. Shop around when choosing a mobile wallet because you just may find something that pays you back. Just imagine, you could be pairing your mobile wallet incentives with debit rewards points if you have our Free Checking with Debit Rewards account.

  5. Share Easily

    If you’ve ever split the check at dinner or borrowed a few dollars for parking, you know just how frustrating it can be to pay back your friends if you don’t normally carry cash. Many mobile wallets have peer-to-peer transfer ability, making it easy to send money to friends and family quickly without incurring any fees.

  6. Manage Multiple Cards Easily

    Most mobile wallets allow you to set up multiple payment options, including both debit and credit cards. If you manage multiple accounts, this is a convenient way to keep your funds sorted out in a way that will help you reach your financial goals.

  7. Track Your Spending

    A mobile wallet may help you eliminate a mound of old receipts. Most wallets keep a record of your transactions and also include tracking features that will help you break down your expenses by category, date, or amount.

  8. Have an Easier Experience

    Most wallets for your smartphone are designed with user experience top of mind, this means most apps will be intuitive and simple to use. If you find that there’s a learning curve, don’t worry! Chances are you will easily find online tutorials and videos to help you navigate any issue that comes up.

Time to Get Started

Did you know that your First Service debit and credit cards are compatible with some of the most popular mobile wallets on the market? If you haven’t already, now is a great time to set up your debit and credit cards in the mobile wallet of your choice. You could be just seconds away from being set up for safe, convenient purchases with your phone. What are you waiting for? Let’s get started!

[36] Apple Pay: Apple, the Apple logo, and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. Apple Pay and Touch ID are trademarks of Apple Inc.

[38] Samsung Pay: Samsung, Samsung Pay, Galaxy S6, and Galaxy S6 Edge are registered trademarks of Samsung Electronics Co., Ltd. Screen images are simulated; actual appearance may vary. Samsung Pay is only compatible with select cards, carriers and Samsung devices; see the Samsung Pay Support page for compatibility information.

[37] Google Pay: Google Pay, Android, and the Android Logo are trademarks of Google Inc. The Android Robot is reproduced or modified from work created and shared by Google and used according to terms described in the Creative Commons 3.0 Attribution License.