Benefits of digital wallets

A digital wallet is a handy tool that makes payments simpler. They securely store all your payment information in one place, complete with all your passwords for the different websites your purchase from. On top of this, a digital wallet can be used alongside mobile payment systems allowing you to use your smartphone to make contactless payments. Below we explore the benefits of digital wallets.

Increased safety

Online banking solutions can help protect you from fraud and ensure your payment details remain secure. Digital wallets are just one example of this. If someone steals your physical card, they can quickly harvest your personal information. It’s harder to do this with a digital wallet. Usually, they require biometrics such as a fingerprint or a face scan to grant entry. As such, even if somebody steals your phone, it’ll be extremely difficult to break into your digital wallet.

Additionally, all your digital details are heavily encrypted to ensure that hackers can’t access your data. In fact, your account number isn’t even sent across during a transaction. Instead, a token is created and shared with the merchant. This token provides just enough information to complete the sale and can’t be deciphered afterwards.

Easier to manage

A digital wallet can be easier to organise and manage than a physical one. They remove the need to carry physical cards or cash around. With all your financial information inside the digital wallet – plus the ability to withdraw money from an ATM – you’re not missing out on any of the utility a physical wallet brings. Your digital wallet is also capable of storing virtual IDs, tickets, boarding passes and gift cards making them a versatile form of technology.

The ability to store more than your card can be extremely helpful to individuals with memory issues, as the need to remember extra items such as a railcard or concert ticket are reduced as they’re already stored on the phone. It also makes sending gift cards to loved ones easier as virtual ones can be obtained and sent to their wallet, taking away the need to wait for physical postage.

Better e-commerce experience

Digital wallets can lead to a smoother e-commerce experience too. As long as your wallet is compatible with the request website, you should be able to fill in your details with just a few short clicks. All you need to know is one password for your wallet, rather than for many accounts. For instance, if you’re using Google Pay, and a website has the appropriate software you can securely add your payment details with a click rather than typing everything out again.

Digital wallets are making payments safer and smoother than ever before. If you’re tired of cluttered physical wallets or remembering countless passwords, then they could be ideal for you.