How to ensure safety while using mobile wallet
Mobile wallet allows you to spend without swiping your debit/credit card. We bring you tips on how to use it safely.

Your phone and you are inseparable. It is your bank, GPS navigation device, watch, music player, and a lot more. It can be one more thing-your wallet.
Mobile wallet, which works like an electronic prepaid card, can be used to pay for things from grocery to rail tickets without the need to swipe debit/credit card. All you have to do is key in the username and password at the time of transaction.
To get started, you have to sign up for the app on your iOS (iPhone), Android or Windows phones. You can then load it with money either through debit/credit card or net banking. After this you can use it to transfer money, pay bills, book tickets and shop. Some apps can be used to pay at physical stores as well.
But how secure is the process? Amit Lakhotia, vice president, payments, Paytm, one such service, says, "You need a username and a password to transact. Moreover, in case of any suspicious transaction, we quickly take action."
Rajeev Ahuja, head of strategy, RBL Bank, says, "Mobile wallet allows you to do what your physical wallet does with more convenience, safety and simplicity and without the security hassles of credit/debit cards and internet banking. What this means is that you can top it up, empty it or use it to make purchases and transfer funds."
With increase in the number of players, the business done through mobile wallets has been growing. According to a report by Crisil, transactions through mobile wallets have tripled over the last two years to Rs 2,750 crore a year. One reason for this growth is increase in use of smart phones. HDFC Bank, for instance, reported a five-fold jump in digital transactions from Rs 795 crore at the end of June 2014 to Rs 3,540 crore at the end of October 2014.
Nitin Chugh, head, digital banking, HDFC Bank, says, "Last year, 85% transactions took place though non-branch channels. Mobile and internet channels contributed 55%. We will launch our mobile wallet soon. It will be very different from what is already there in the market." The current services include Paytm, Oxigen, iKaaz's MOWA (in partnership with DCB Bank) and RBL Bank's Shmart (in partnership with TranServ).
ICICI Bank also recently launched 'Pockets'. Also in the fray are telecom service providers such as Vodafone Plc with m-pesa and Bharti Airtel with Airtel Money.
In a market where everyone from ecommerce websites to banks are launching payment solutions, choosing the right service provider can be a difficult. So, we offer a little help. But first, you must ask the right questions
The cost varies from wallet to wallet. Check out how much you are charged per transaction. Lakhotia says, "We charge around 2-5% to the merchant for the service. Users are charged only at the time of transferring money." Mobile wallets are yet to pick up but they can certainly help you control expenses by making it easier to track expenditure.
Your phone and you are inseparable. It is your bank, GPS navigation device, watch, music player, and a lot more. It can be one more thing-your wallet.
Mobile wallet, which works like an electronic prepaid card, can be used to pay for things from grocery to rail tickets without the need to swipe debit/credit card. All you have to do is key in the username and password at the time of transaction.
To get started, you have to sign up for the app on your iOS (iPhone), Android or Windows phones. You can then load it with money either through debit/credit card or net banking. After this you can use it to transfer money, pay bills, book tickets and shop. Some apps can be used to pay at physical stores as well.
But how secure is the process? Amit Lakhotia, vice president, payments, Paytm, one such service, says, "You need a username and a password to transact. Moreover, in case of any suspicious transaction, we quickly take action."
Rajeev Ahuja, head of strategy, RBL Bank, says, "Mobile wallet allows you to do what your physical wallet does with more convenience, safety and simplicity and without the security hassles of credit/debit cards and internet banking. What this means is that you can top it up, empty it or use it to make purchases and transfer funds."
With increase in the number of players, the business done through mobile wallets has been growing. According to a report by Crisil, transactions through mobile wallets have tripled over the last two years to Rs 2,750 crore a year. One reason for this growth is increase in use of smart phones. HDFC Bank, for instance, reported a five-fold jump in digital transactions from Rs 795 crore at the end of June 2014 to Rs 3,540 crore at the end of October 2014.
Nitin Chugh, head, digital banking, HDFC Bank, says, "Last year, 85% transactions took place though non-branch channels. Mobile and internet channels contributed 55%. We will launch our mobile wallet soon. It will be very different from what is already there in the market." The current services include Paytm, Oxigen, iKaaz's MOWA (in partnership with DCB Bank) and RBL Bank's Shmart (in partnership with TranServ).
ICICI Bank also recently launched 'Pockets'. Also in the fray are telecom service providers such as Vodafone Plc with m-pesa and Bharti Airtel with Airtel Money.
In a market where everyone from ecommerce websites to banks are launching payment solutions, choosing the right service provider can be a difficult. So, we offer a little help. But first, you must ask the right questions
The cost varies from wallet to wallet. Check out how much you are charged per transaction. Lakhotia says, "We charge around 2-5% to the merchant for the service. Users are charged only at the time of transferring money." Mobile wallets are yet to pick up but they can certainly help you control expenses by making it easier to track expenditure.