Mobile Wallets – A possible chance?

Remember the early days, in the 1980’s, when the “mobile” phone was about the size of a brick and nearly as heavy? Very few people had the ability to possess one in those days, simply due to 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 our grandparents, are sporting their very own phones. The non-public cellular phone is now a product we just cannot live without. If you’re like nearly all people, it’s probably among the first things you check each morning and the past thing before you hit the sack for the night. Nevertheless now, phones are more than phones, aren’t they?

Through the years, our personal/mobile phones have become “smart “.They could do a lot more than make phone calls create passbook passes. They could buy your meal, open the doorway to your car or truck, turn on the security system at your property, book an accommodation and on and on. They could 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 code to get more information regarding a product or service. We can also receive mobile texts, once opting in, from merchants to alert us of the “deal” for the day.

In most recent times, cell phones have begun to be utilized, 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. You will find products like Square, PayPal’s Triangle, Intuit’s GoPayment and many others. We’re also seeing that numerous merchant services providers are offering FREE cell phone POS devices. But most of which is addressed in a forthcoming article.

However, with all nevertheless, the key intent behind this information is to talk about making use of your phone as a “mobile wallet “.Allow me to be considered 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 replace the plastic cards within our real wallet with some data stored on our phones “virtual” wallet. What’s the likelihood that we’ll see mass conversion to this kind technology within the US? Really, the thought 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. However the question that I pose for your requirements here is this… does it sound right to position your entire personal and financial information on your phone? Could we potentially transfer to a cashless society and would consumers quickly adopt to the technology to make use of their phone like a budget?

With identity theft continually on the rise, it’s unlikely anytime soon that consumers will soon be willing to expose themselves to the potential risk. Developers because of this technology assure us that the information transferred to your cellular phone is encrypted and therefore safe. Usage of the stored data can only be accomplished by the utilization of a six digit pin number. So, while this brings an amount of comfort, in my own mind, still the gear necessary to even process transactions, making use of your phone is pretty scarce. Mobile wallets can only work, with current technology at the least, on NFC (Near Field Communication where you simply wave your phone in front of a payment device) enabled phones which are 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 might be the direction we’re headed, as a community, don’t try to find it to take place anytime soon on a grand scale. So, meanwhile, 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 company I also offer my comprehensive, FREE, email course, on the subject of credit card processing with NO SOLICITATION or HYPE. You are able to enroll by visiting the following website:

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