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How safe are your mobile wallets?

December 26, 2016 07:09 IST

How safe are your mobile wallets?

It is suggested that you get your SIM locked with which the wallet account is mapped, says Rajiv Anand, executive Director, Axis Bank.

My bank is promoting the use of its mobile wallet after demonetisation. Can I make all kinds of payments like debit card?

Is it as safe as my debit card?

What will happen if my phone gets stolen?

Can someone use my wallet?

Also, can I transfer money back to my account if I need to?

Mobile wallet is a convenient payment method which is linked to your mobile number directly. You may use mobile wallet to make person to person fund transfer instantly.

Mobile wallets are increasingly becoming popular as a payment option similar to debit cards/credit cards with additional convenience of not needing to carry any physical card separately and payment can be made directly using your mobile number.

Many wallet providers are also offering virtual cards linked to wallet account which can be used as your regular debit cards.

Transaction via debit card requires two factor authentication whereas wallet transactions require only one factor authentication as per RBI regulations.

Currently, wallet accounts are restricted to limit of Rs 20,000 per month for non-KYC customers and Rs 1 lakh for KYC customers.

Some banks follow two factor authentication for wallet transaction as well for making wallet transaction as safe as debit card transactions.

In case your phone gets stolen you can anytime call customer care and get your wallet account blocked to prevent misuse of funds lying in your wallet.

It is also suggested that you also get your SIM locked with which the wallet account is mapped.

Wallet can be accessed only by using legitimate credentials (Mobile number/\device mapped to account and/or password).

Most of the wallet service providers allow transfer of funds back to your savings account. However, there might be applicable charges as decided by the service provider.

I am planning a foreign holiday and want to take some money in a forex card. If there is money remaining in my card, can I transfer it back to my account once I return?

Any left over foreign currency balance in your forex card can be transferred back to your account any time.

If I transfer money into my PPF account through NEFT will I still get a challan to show as proof for my tax exemption purposes?

Once the money is transferred to customer's Public Provident Fund (PPF) account by any means, the customer can get the statement of his/her PPF account through his/her internet banking immediately which can be shown as proof of investment for claiming tax exemption.

I am planning to book my pass online after the demonetisation, but my bank does not show in the dropdown options for debit cards on the IRCTC Web site. I don't have a credit card. What can I do?

After my home loan is repaid how long will it be before I get my property documents? What is the procedure to close the home loan account?

I have converted a large transaction on my credit card into a 12 month EMI. I have finished six months. I now have funds to repay the remaining amount, but my bank is saying I cannot do it. Are they right in saying so?

The views expressed are the expert's own. Photograph: Kind courtesy, Ikaaz Software

Rajiv Anand
Source: source image