The first question that comes to our mind is what exactly is mobile money? Well, to make it simple mobile money in often called as an electronic wallet which refers to financial transactions that can be actioned using your mobile devices, such as smartphones or tablets. People using phones are able to send and receive money through this service.
It’s gaining immense popularity day-by-day as people of every age groups in our country are encouraging the use of it. Post demonetisation, when cash supply was hard hit, mobile money transfer and mobile wallets were most benefitted from it and were in high use and demand during the times of currency crisis. People found it convenient and safe to send and receive money through mobile wallets. Nowadays, since almost everyone owns a smartphone and an internet connection, the ease of transacting through mobile money has become easy. Even for individuals who does not have smartphones, various services through SMS features were introduced for transacting through their mobiles. Hence, mobile money became a viable replacement instead of cash transactions.
What make mobile money so popular are the services it provides to its end users. It allows its users to make a number of transactions for various purposes like online shopping, bill payments, buying movie tickets, booking train or air tickets, purchasing grocery items or even booking hotel rooms.
Now the question that arises is that actually how does it work? The answer is simple. Funds are secured in an electronic account which is linked to a person’s phone number. You can access funds and use it for transactions. You just have to open an account, link your bank account and phone number with the account, verify your details and you can have a mobile wallet. You can add funds to your wallet and use the funds for transferring and receiving funds to and from people.
Learning how to use mobile money transfer isn’t a difficult task. It is as simple as sending a text message to a person. It is very convenient and manageable. All you need to do is select the relevant service from the user’s mobile money service and use it for transacting.
People often wonder that whether mobile money is a safe option or not. It is convenient and safe as the account is protected by financial regulators. The user needs to go through specific identification checks which make it secure and guarded. These checks reduce illegal services and protect the account from criminals and swindlers. Moreover, there is a Two-Factor Authentication feature wherein your transactions are verified through OTPs sent to your registered mobile number. Only after you provide the OTP, your transaction is authenticated and you can send and receive money through your mobile wallet.
You also get a statement for your mobile wallet which shows the transfers you made and the money you received. In addition to that to there is a requirement of a secret PIN every time the customers log in.
There is a service through which the customer can know more about mobile money service. It even provides the facility through which the customer can visit his/her local website.
With growing technology and advancement people are getting into the concept of going digital rather than spending hours at the banks. This is pretty much easier and convenient than in a queue and waiting for your chance.
Telecom operators are generally the ones who are assigned to do this work. To give their customers assurance they are even given a license by the government which proves their validity. National financial services check all the payments made through electronic devices. There is a chance where the bank itself is going to present the option of electronic payment.
The registration process has been simplified through the years. All you need to do is carry an identification card with yourself. It can be an Aadhaar card, passport, driving license or any sort of government ID. But keep in mind that some providers may charge you a small amount of money if you do not have a bank account registered.
With the introduction of mobile money service in the virtual world things have become easy. Now money can be sent, stored and received in a very safe and sound way. You don’t need to worry about cash because every transaction made has been recorded electrically. This system results in reduced corruption and larceny. It tracks the movement of your money which can be of upmost help during any technical error or glitch.
Now the question that comes to your mind is that does mobile money service has any benefit over regular bank accounts? The answer is yes, it does. Thus service is a supreme way to increase your financial inclusion. Financial inclusion means a suitable way through which individual, groups, firms etc. can have an access to financial services. This is helpful for people who do not have a bank account. It has proved to be the most successful in developing countries such as India, Bolivia, Indonesia, Georgia, Bhutan etc. Economic growth and development has been observed in these countries.
For example: A recent initiative has been made by international forums across the globe such as G20 Partnership for Financial Inclusion, Better than Cash Alliance and Bill and Melina Gates Foundation. These three forums are working with the government by promoting digital services which are leading to better transparency between the government and the citizens in many countries. Digital payments made are superior in many aspects, such as speed, cost efficiency, security and transparency.
Since the concept of mobile money service has come into play many app developers have tried including it in their apps. For example: Paytm, M-Pesa, TransferWise Money Transfer, Mobile Money Transfer, World Remit, MoneyGram, DOP etc.
Mobile money transfer has proved to be a blessing in India. It has proven wrong all the orthodox ways and promotes the idea of ‘Digital World’ in the best way possible. Economic growth has been seen and even people belonging to the rural areas have started using mobile money transfer systems to bank and transact.