Top Benefits of Using Mobile Wallets to Make Payments

The use of mobile wallets is really taking off in India, with an increasing number of consumers using them to do everything from making utility payments and paying for mobile and DTH recharge, to splitting bills efficiently after a meal with friends. 

Mobile wallets are essentially a way for consumers to make cashless payments and even pay for things without the use of credit and debit cards. The Indian marketplace is moving toward more reliance on this type of payment.

So what are the benefits for mobile wallet users and what should you know about them?

There Are Different Types of Wallets

Before exploring the specific benefits of mobile wallets on the consumer’s end, it’s a good idea to outline the types of platforms. In India, digital wallets fall int one of four main categories: open, semi-open, semi-closed and closed.

Open wallets are used to buy products and services, and also get cash from ATMs. There are also options like Airtel Money, which is semi-open so users can have an Airtel contract and pay merchants.

Closed accounts are used by many e-commerce companies to protect the merchant against cancellations or returns, and then there are semi-closed wallets like Paytm, which can be used at affiliated merchants to make purchases or pay bills.

Security

Perhaps one of the biggest benefits of using a mobile wallet as opposed to cash or card is the fact that there is a greater sense of security. A mobile wallet can’t be stolen, and while a mobile device can be, it would be much harder for a thief to put the funds to use, as opposed to taking an actual wallet full of cash.

There’s also a greater level of protection for banking data because the merchant isn’t receiving your debit or credit card information directly.

This is important to consumers, particularly with the number of hacks and data breaches growing in number.

Special Deals

Many of the top mobile wallet platforms in India are known not only for convenience and security but they also frequently provide coupons, promotions, cash back and discount codes to users. For example, you can regularly find options such as PatyTM DTH recharge offers and mobile recharge offers, providing everything from a discount on the cost of the service to direct cash back.

As well as cash back, many digital wallet providers in India will also offer percentage discounts on all transactions made using the platform.

With most mobile wallets you’re actually earning money for using the service, which is perhaps one of their greatest advantages in the eyes of the majority of consumers.

Better Money Management

A final benefit that’s important to note about the use of mobile wallets? They can give consumers a greater sense of control and visibility when it comes to their finances and how they manage money.

It’s easy to see where your money is going at any given time, and you have your transaction history right on your mobile device wherever you are. Many consumers find that mobile wallet platforms actually help them stick with their budgets more easily.