What is an e-wallet?
An e-wallet or digital wallet is an electronic service, which can be used online or on a mobile phone. It securely stores users' payment information and passwords and allows you to make and receive electronic payments. It can be linked to a bank account.
Where have you heard about e-wallets?
Both your bank or your mobile phone provider might have offered you e-wallet services allowing you to tap and pay using your phone in shops or to transfer money.
What you need to know about e-wallets.
Some of the best known providers of e-wallets are Android Pay, Apple Pay, Samsung Pay and PayPal.
When choosing an e-wallet you have to decide what features work best for you as they don't all offer the same services. Some allow you to tap and pay, while others focus on transferring money to a friend, or collecting loyalty points from retailers. The same principle is true when considering which e-wallet to use for your online trading, as not all brokers accepts all types on e-wallet and there are different features that might suit your needs better. A secure wallet app can take the place of your credit and debit cards, meaning you don't have to carry them around as well as your phone.
Some people worry about the security of the process, but in truth the biggest security threat is the loss of your phone - so making sure it locks securely is essential. Some wallet apps will also require the use of a PIN.