Thanks to technology, we no longer need to carry cash to complete payments or buy things. Instead, our smartphones have taken over the roles traditionally performed by Credit Cards, Debit Cards, and cheques. Apart from this, with the introduction of digital wallets, people have started completing their transactions using them.
Courtesy of their speed, ease of use, and convenience, digital wallets are rapidly being adopted by consumers, as well as businesses, as a means of payment. However, if you are unsure about them, the following pointers explain more about digital wallets and highlight their several benefits.
About digital wallets
A digital wallet is also known as an electronic wallet or e-wallet. It refers to a payment method that lets you pay and transfer money without the need for physical cards or cash. Essentially, an e-wallet is a web or mobile application. Such an app stores payment information, making transfers quicker and easier.
Benefits
Digital wallets are pretty popular due to the various benefits they provide. These include the following:
- Enable quick transactions
A digital wallet app enables you to complete your transactions easily and in no time. Hence, it saves time and effort.
- Are easy to use
Usually, e-wallets are user-friendly and relatively easy to use. This helps you complete your transactions with ease.
- Offer convenience
You can access an e-wallet app from anywhere and at any time. You just need a smartphone that supports the app and uninterrupted internet connectivity. Some apps let you choose your preferred method, like UPI, prepaid wallet, Debit Card, or Credit Card when transferring money. Hence, you do not need to use several Banking Apps to complete your payments using your preferred method.
- No minimum balance
When you use a digital wallet for payments, you can add as little or as much money as you want to it. In fact, there is no minimum balance requirement for digital wallets.
- Ensure secure
Your digital wallet is protected by a password. This provides an added layer of security.
- Multiple transactions possible
You can use your digital wallet to pay offline purchases by adding a mobile number or scanning a QR code. You can use this smart pay option to pay your utility bills, like electricity, gas, and water bills, online. Apart from this, you can use it to complete mobile recharges, pay for train and flight tickets, and more.
You can also use the digital wallet app to pay your Loan EMIs or your Credit Card bill on time.
- Peer-to-peer money transfers
You can use your digital wallet to pay money to individuals. This eliminates the need for cash when sending money to someone.
- Access to rewards
Some e-wallet apps provide cash points and offers on various transactions.
Conclusion:
As evident, digital wallets offer multiple benefits to individuals. In fact, these e-wallets today could be a secure and convenient alternative to a physical wallet.
