6 Tips for Using a Digital Wallet

What is one tip you have for using your digital wallet on your device? 

To help you use your digital wallets responsibly, we asked fintech professionals and business leaders this question for their best advice. From avoiding public wi-fi to keeping track of your expenses, there are several pieces of advice that may help you enjoy the full benefits of using a digital wallet. 

Here are six tips for using digital wallets:

• Avoid Public Wi-fi
• Ensure Your Information is Always Current
• Carry Physical Cards as Well
• Opt for Fingerprint Security Over Facial ID
• Have a Backup Payment Option Alongside
• Keep Track of Your Expenses

Avoid Public Wi-fi

One great tip I have for someone using their digital wallet on their phone, tablet, or computer, is to never make purchases and use your digital wallet on a public Wi-Fi connection. Although public Wi-Fi can be helpful at times, it most certainly isn't secure. This may seem like paranoia to some, but public Wi-Fi connections are always vulnerable to cyber hacks and if you make a purchase while connected to public Wi-Fi, it may be possible that someone could view your financial information and then try to use it to commit some form of fraud at a later time. A much safer way to use your digital wallet on your devices is to use your phone’s cellular connection or a virtual private network (VPN) when making transactions online.

James Burati, 1-800-PackRat

Ensure Your Information is Always Current 

If you're keen to use your digital wallet, keep your information as updated and safe as you would with a traditional wallet. For instance, check your info and numbers before submitting payment to ensure everything is correct. It's too easy with a digital wallet to accidentally use the wrong card or have incorrect payment information that creates a bigger headache than is necessary. Be as diligent and responsible with your digital wallet as if you're pulling out your cards for a brick-and-mortar purchase.

Eric Elggren, Andar

Carry Physical Cards as Well

While people can start to rely heavily on their digital wallet as it is very user-friendly, you should still carry your physical debit and credit cards with you. For instance, there may be times where you need to give someone your actual card number, and this entire number is not usually visible in your digital wallet. Keep all forms of payment on you just in case.

Drew Sherman, RPM

Opt for Fingerprint Security Over Facial ID

Opt for thumbprint security features over Face ID to unlock your phone. Using your phone as your digital wallet offers you great convenience, but it means the security for your device is at a premium. The tech Face ID is still developing, which means it’s still less secure than thumbprint-based security features. There have been numerous documented times of Face ID unlocking a phone for a different individual than the phone’s owner–so don’t leave your digital wallet vulnerable to that possibility.

John Jacob, Hoist

Have a Backup Payment Option Alongside

My biggest tip for using your digital wallet is to ensure you have at least one backup card/bank account on file. When I’ve misplaced one of my debit/credit cards, I’ll typically need to reorder a new one from the issuing bank, and if my card is hooked up to my digital wallet, it’ll fail the next time I go to make a purchase! 

That’s why I always suggest having at least two payment methods hooked up to your digital wallet in case one fails when you go to purchase an item in-store or online.

Nick Cotter, newfoundr

Keep Track of Your Expenses

One of the perks of utilizing a digital wallet on your device is its ease of use. This can become a problem though, as many people feel like they thoughtlessly purchase items because it seems almost different from using cash or a card. Like any other purchase, it is important to follow your spending and utilize a budget to stay out of credit card debt. Most digital wallets do keep track of expenses, but it is important to transfer this data over to any kind of budget tool you use.

Riley Adams, CPA, Young and the Invested

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