Home » Cashless Payments Knowledge Hub » Having A Digital Wallet Vs. A Regular Online Bank Account
Thanks to technology, a completely cashless society is no longer a pipe dream. payit is created to ensure that the UAE eventually becomes an entirely cashless society. However, for a lot of people, the concept of a wholly cashless society looks pretty daunting. Many don’t even understand what a digital wallet is and fail to appreciate its advantages over a regular online banking account.
As a result, a significant portion of the population still shies away from using digital wallets. However, payit is here to change that. Here’s everything that readers need to know about a digital wallet, how it works, and what advantages it provides over a traditional online bank account.
A digital wallet, also known as an e-wallet, is a service that allows users to pay for regular products and services, usually via a mobile phone app. Aside from just storing money, digital wallets also hold traditional items that a standard wallet can hold. These include a driver’s license, a gift card, tickets, or a transportation pass.
Not only are digital wallets easier to carry, but they’re also more secure than a regular wallet. Traditionally, users access their digital wallets via a mobile app. However, it’s also possible for them to house the software on various other platforms such as smartphones or personal computers. However, the smartphone app variant is by far the most popular.
To make your e-wallet work, you’ll need to download the app, connect your bank account, or top up the wallet. Once your digital wallet is active and has money, you’ll need to find a POS that supports digital wallet payment. After finding a POS that supports digital wallet payment, you’ll be able to pay by bringing your smartphone close to the POS system or through the wallet app.
There are significant differences between a digital wallet and an online banking account. An online banking account allows users to complete almost all financial transactions online via an application or online software. For example, users can pay their utility bills, book tickets for movies, or transfer money from one account to another.
Online banking is so in-demand that almost every leading bank has a net banking application that allows users to access their accounts from their phones. These apps let users perform banking features on their smartphones that would previously require them to visit a bank. So while the service might be similar, it’s completely different from a digital wallet.
Online banking accounts only give you the option of performing banking transactions. You can’t pay in-store using your online banking account like you can with a digital wallet. Digital wallets, however, contain a lot of the features that online banking accounts may not offer.
Here are some of the advantages that users can expect with a digital wallet:
Owning a digital wallet is super convenient; instead of relying on an ATM to get cash for your transactions, digital wallets immensely speed up the entire shopping procedure. In this modern-day and age, almost everyone carries their smartphone around with them.
Instead of worrying about carrying a big heavy wallet that holds cash and different cards, you can take everything you need in your smartphone. Then, when you’re making transactions, instead of worrying about entering your code or sorting out the cash, you’ll have to bring your smartphone closer.
Not only can you use the digital wallet to make payments, but you can also use it to transfer money to other digital wallet holders. On top of that, most digital wallets also offer support for bill payments. These are all services that you’d generally need an online banking account to avail. However, with access to a digital wallet, you can easily take advantage of various services.
One of the most convenient features that a digital wallet offers is to transfer money from one account to another quickly. With more and more people coming on board, it’ll open up the pathway towards a cashless society.
Unlike a traditional bank account, you don’t have to visit the physical premise to deposit the cash. Instead, anyone can quickly deposit money into their digital wallet by using their online banking account, debit, or credit card.
Several ATMs now also give you the option to deposit money into your digital wallet through them. There’s no set charge for depositing any money either, so you don’t have anything to worry about.
Once you finish using the money in your digital wallet, topping up the account is an easy task. Then, you can refill it up to whatever amount you prefer and start using your digital wallet again.
Digital wallets look to offer users the most modern features possible. However, the organizations know that the wallet users rely on multiple different subscriptions for various purposes. That’s why e-wallets offer you the ability to schedule recurring payments.
As long as your digital wallet has a balance inside it, it’ll automatically make the payment on a set date for every month. These features help add to the wallet’s convenience and make it more attractive to users.
The recurring payments feature also comes in handy for setting up regular family support payments. These digital wallets give you the ability to use your wallet according to your set needs. It also helps you budget much better and be smarter with your purchasing.
We’re truly living in a global age, and international workers are working in countries all over the world. Back in the day, these workers would have to worry about using money transfer agents to send money back home. That would significantly increase the difficulty of the task. However, with digital wallets like payit, users can send money anywhere in the world at the press of a button.
All they need to do to transfer money is visit the transfer section in the application and select the country. After choosing the country, they’ll have to enter the respective bank account and add the amount they want to transfer. Enter all the necessary details and press next until you reach the send now screen. Once you click the send now button, you’ll have to enter your pin.
It takes around 2-3 business days for the recipient to receive the money. Users will not need to worry about checking the exchange rate because they provide them with currency rate updates. Payit’s internal currency rate system is updated every three minutes, and users can see the current rate before pressing send.
Most people tend to shy away from using digital wallets because they think they’re overly complicated. However, digital wallets are pretty simple to use. Many digital wallets offer users the ability to use their fingerprints to authorize payments. Instead of remembering a pin, users will have to press a button to make payments.
Another feature that makes everything simple is the bill splitting feature. If you’re going to a restaurant with your friends, then there’s always that awkward moment when it comes to splitting the bill. However, payit will save you the awkwardness and split your bill equally for you! A digital wallet will make things much more straightforward.
The only slight issue that arises with digital wallets is that there’s a lack of POS systems that support them. However, that’s slowly being rectified as more and more brands start to accommodate digital wallet payments. Many brands are also entering into partnerships with
Another advantage of using a digital wallet is that the companies behind these digital wallets often provide different promotions and offers. Payit digital wallet is entirely free; aside from charging minimal transaction and balance transfer fees, there are no subscriptions that users need to worry about.
Instead of taking any money from users, payit gives account holders many codes, promos, and offers that they can avail. These codes will be either cashback offers on different brands. Before using one of these codes, users must read the terms and conditions.
A digital wallet isn’t just for purchasing money, storing your card information, and making transactions. It can also function like a regular debit card. In addition, digital wallets offer users the option to cash out and withdraw their balance.
An increasing number of ATMs are starting to offer support for cash-out withdrawal for digital wallets. The way it works is that the application notifies the user when it’s in the vicinity of an ATM that offers cash out through the digital wallet. Then users can quickly enter the amount they want to withdraw and get it from the ATM.
There are many similarities between a digital wallet and an online banking account. However, there are certain advantages that a digital wallet provides in comparison to an online banking account. So, get started with Payit and enjoy all the benefits that a digital wallet offers!