Different ways of keeping your money always emerge along with time. Some time back, people mostly relied only on cash but as time passed out, the trend of plastic money (ATM Cards) became popular and it’s really secure and more comfortable. But, it didn’t end there. Now, you would hear the trend of digital money or most people might be using digital wallets.
I hope you know that a digital wallet is an electronic device that contains your stored amount online behind a password to make eCommerce and other online transactions comfortable and instantly.
In this article, I will tell you the important advantages and some disadvantages of having digital wallets.
Benefits/Advantages of Using Digital Wallet
Here are some benefits of having a digital wallet. These benefits of digital wallets will make you eager to have one for you.
Time-Saving: Many times when you go online shopping or for mobile recharge, you even wouldn’t even have time to enter your credit card details. So, for that time you would miss a digital wallet. If you keep some amount in your digital wallet, it will be easier to make payments online without having to enter the card details. It’s really time-saving.
Security: If you’re thinking that your money is insecure in digital wallets, then you’re wrong because all the wallets offer a password security service to lock your wallet very well. And most of the wallets provide the extra security to keep your money secure from unauthorized access.
Track the Expenditure: Every amount spent on your mobile wallet or each of your transactions can easily be tracked through your account. How many dollars you add to your wallet from your bank account, how many dollars you spend every day, and everything you can track through your digital wallet account.
Attractive Discounts: Sometimes you can get lots of attractive discounts for buying products online. If you’re using the digital wallet of any online wallet provider, you may find some discounts but for this, you will have to make payments only with your digital wallet. So, it can also be a great benefit of having a digital wallet.
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So, this proves that with digital wallets you can not only save your time but also money. But, still, there are a few disadvantages of digital wallets that you should know before start using them.
Disadvantages of Digital Wallets
International Restriction: You know every country has different services and different digital wallets so you can’t use your country’s digital wallet to make payments while you’re in another country. So, it can be a great hurdle for those who often need to travel to different countries.
Limited Merchants: However, the number of mobile wallets supporting merchants is increasing day to day but now they are not that much. Some platforms supports digital wallets are Paytm, Mobikwik, Ruplee, Payumoney, and more. Still, many online stores don’t offer digital wallets and Amazon is a great example in this list.
Dependent on the Devices: As you know digital wallets can only be used online and via your devices like a laptop, smartphone, or tablet, so the use of digital wallets is highly dependent on your device. If anyhow you’re unable to reach your smartphone or laptop such as due to battery problems or any other reason, digital wallets are of no use. This is the main reason why digital wallets can’t beat credit and debit cards.
Read Also: Best PayPal Alternatives for International Transactions
The danger of Losing your Money: Digital wallets are not as safe as credit or debit cards because most of the banks provide a 3D secure password and without knowing your 3D secure password, nobody can use your card for making payments. But, this is not the case with digital wallets. In case you miss your smartphone, then anybody can use your wallet money with your digital wallet app and if there is a password, there are lots of ways of cracking the password. So, wallets are not as secure as your bank’s debit or credit cards.
