Digital transactions through e-wallets are rapidly increasing and so does the risk of frauds.
Due to this sudden rise and lack of security, users are concerned about usage and security of their money in e-wallets.
Safeguarding the money of the consumers from any risk if the phone is lost, e-wallet giants introduced various protection plan to ensure money in the e-wallet remains safe.
Paytm has introduced ‘app password’ feature that will enable users to secure their e-wallet through password, pin, pattern or fingerprint. Currently, the feature is available for android app only.
The feature will allow users select desired security password by going using the ‘security’ option in the ‘setting’ menu. Same password will be used to access the app and each time before completing any transaction.
“The security of our customer’s money is of utmost importance to us. The launch of the new App Password feature is yet another step in that direction as your Paytm wallet is protected even if you lose or misplace your phone. This will not only offer greater peace of mind to our 164 million strong user-base, but also serve as a showcase of our unmatched commitment to our customers.” said Paytm’s Deepak Abbot.
On the other hand FreeCharge partnered with Reliance General Insurance Company Limited to provide wallet insurance free of cost to all its users. The underlying wallet balance of all the customers will be insured up to a limit of Rs 20,000, as long as the user is transacting at least once a month.
In case the phone is lost or theft the customer needs to file an FIR under 24 hours and needs to report the same to FreeCharge through e-mail or calling customer care.
To keep the consumer money safe at all the times, the company operates an in-house fraud & risk management system.
Commenting on the development FreeCharge’s CEO Govind Rajan said, “We have realised that consumer perception of wallet safety is critical to drive both adoption and retention of our customers and hence we are offering this plan to our consumers free of cost. FreeCharge is faster, convenient and more efficient than cash and now much safer too. We believe this is another step to help realise the vision of a less cash India.”
“What we are witnessing is a digital revolution of sorts with an ever increasing focus on digital payment instruments. In keeping with the times, an insurance product around the same was both needed and logical. Through our partnership with FreeCharge, we are taking a step in that direction and hope to play our part in the country’s vision of going cashless,” added Reliance General Insurance‘s Rakesh Jain.
According to a report by chipset maker Qualcomm e-wallets and mobile banking apps in India are not using hardware level security which can make online transactions more secure.