Mobile Wallets — A possible chance?

Remember the early days, in the 1980’s, once the “mobile” phone was about how big is a stone and nearly as heavy? Hardly any people had the opportunity your can purchase one in those days, simply because of the cost of over $3,000 a piece. Now, let’s flash forward to today where now virtually everybody from elementary school age kids to your grandparents, are sporting their very own phones. The personal cellular phone is now a product we just cannot live without. If you’re like the majority of people, it’s probably one of many first things you check in the morning and the last thing before you hit the sack for the night. But now, phones are far more than simply phones, aren’t they?

Over the years, our personal/mobile phones have grown to be “smart “.They can do a lot more than simply make phone calls create passbook passes. They can purchase your meal, open the door to your vehicle, switch on the security system at your home, book a hotel room and on and on. They can access the internet with lightning speed utilizing WIFI connectivity, 3G, 4G or whatever cell service. We also utilize them to take pictures, text quick messages to friends or colleagues or use their QR reader or the phone’s camera to learn a rule to get more information regarding something or service. We could also receive mobile texts, once opting in, from merchants to alert us of their “deal” for the day.

In latest times, mobile phones have begun to be used, especially by smaller merchants, to process payments for goods or services. That is accomplished by attaching a “dongle” or mini POS type card swiper to the audio jack of the phone. There are products like Square, PayPal’s Triangle, Intuit’s GoPayment and many others. We’re also seeing that many merchant services providers are offering FREE smart phone POS devices. But every one of which will be addressed in an upcoming article.

However, with all that said, the key intent behind this informative article would be to talk about using your phone as a “mobile wallet “.Let me be described as a bit clearer on exactly what it is when we’re speaing frankly about a “mobile wallet “.Basically it would allow us, as consumers, to restore the plastic cards in our real wallet with some data stored on our phones “virtual” wallet. What’s the likelihood that we’ll see mass conversion to this type technology here in the US? Really, the notion of utilising the phone as a “wallet” is nothing new in Kenya or Japan, for example. In other countries like Sweden and Canada, mobility is taking off. Nevertheless the question that I pose to you listed here is this… does it sound right to place all your personal and financial information on your phone? Could we potentially move into a cashless society and would consumers quickly adopt to the technology to make use of their phone like a wallet?

With identity theft continually on the rise, it’s improbable anytime soon that consumers is likely to be prepared to expose themselves to the potential risk. Developers with this technology assure us that the information transferred to your cellular phone is encrypted and therefore safe. Access to the stored data can only be accomplished by the usage of a six digit pin number. So, while this brings a level of comfort, in my own mind, still the equipment necessary to even process transactions, using your phone is pretty scarce. Mobile wallets can only work, with current technology at least, on NFC (Near Field Communication where you just wave your phone in front of a payment device) enabled phones which are very limited today.

In Europe, as an example, talk of Mobile Wallets becoming more mainstream has been going on since 2004 and still, hasn’t really gained a strong foothold there. So, while this can be the direction we are headed, as a culture, don’t try to find it to take place anytime soon on a grand scale. So, for the time being, just grab the plastic, keep spending and do your part to move the economy along. See you next time.

My name is Michael Saum and I’m a 64 year old semi-retired, merchant services rep. In my current capacity, I write informative, articles in accordance with the acceptance of credit/debit cards in your business I also offer my comprehensive, FREE, email course, about them of charge card processing with NO SOLICITATION or HYPE. You can enroll by visiting the following website:

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