All You Need to Know About Digital Wallets

Categories: General Tips

It’s 2020 and the vast majority of us have our smartphones glued to our fingertips at all times. So why not ditch your bulky physical wallet and start using a mobile wallet on your smartphone? Mobile wallets can seem complex and confusing at first glance, but we’re breaking down for you what exactly they are, how they work, security considerations, and more.

What is a digital wallet and how does it work?

A mobile wallet is just what it sounds like–an app on your mobile device that securely stores all your payment information from credit and debit cards alike. This means you can use your smartphone to pay for purchases on the go. It’s important to keep in mind that mobile wallets only work at retailers that accept a device as a form of payment.

How do I choose a digital wallet?

In most cases, a mobile wallet app is integrated right into the device you already have, like iPhones equipped with Apple Pay,. Boom! You’re ready to go. Depending on your financial institution, you can choose other mobile wallets to download, too. Some retailers even have their own mobile wallets; for example you can use the Starbucks mobile wallet at Starbucks.

Why would I want to use a digital wallet?

The biggest factor here is convenience! With a mobile wallet, your transactions will be touchless and you won’t have to fumble to pull the right debit or credit card from your wallet while in line at the grocery store. Plus, you don’t have to carry a hefty wallet every time you leave the house. You’ll never have to worry about misplacing your card again. And it makes transactions a lot quicker, especially since you don’t have to count out change. .

Should I be worried about security issues?

Many people have security concerns about using a mobile wallet, but the security is actually very tight. Mobile wallets are encrypted, plus your device has a passcode and you need to enter a separate passcode or use your fingerprint ID to unlock the mobile wallet itself. If you’re extra concerned, we’d recommend installing a find my phone app so you can locate your phone if you lose it and wipe the data remotely.

Is there anything else I should know?

Keep an eye on your battery life while you’re out and about. If your phone dies, you’ll be stranded without working credit cards, which could be a problem. Consider throwing a car charger in your vehicle or a portable charger in your purse, and you should have your bases covered!

Apple, the Apple logo, Apple Wallet, iPad, and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. Apple Pay, Touch ID, and Face ID are trademarks of Apple Inc. View the Apple Pay Terms and Conditions.

Having a basic checking account – with mobile and online connectivity – is a good first step to understanding how to manage money.

Sign up for an online checking account – a new way to bank!