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3. Electronic or Digital wallet
An electronic wallet or E-wallet is defined as an encrypted medium for storage or holding credit card and other confidential financial information that can be used to complete electronic transactions without re-entering the stored data at the time of transaction itself. Access to E-wallet requires password or “keys”.
3. Electronic or Digital wallet
3. Electronic or Digital wallet
Functions of Digital wallet

• Managing of one’s payment and accounts.
• Getting of offers from traders one knows and can depend upon.
• Storage of digital receipts and warranty information.
• Getting of alerts about one’s account and one’s spending.

Security issues associated with Digital wallets

• Providing protection through password as well as providing physical protection to the devices which are to be used to access the payment options such as PC, mobile phones, laptops, tablets etc.
• Only the owner can access sensitive information such as including User name, password, PINs and answers to security options.

3. Electronic or Digital wallet
Advantages of Using Digital Wallet

• Time Saving- Many times when you go for online shopping or for mobile recharge, you even wouldn’t have time to enter your Credit card details.
• Security
• Track the Expenditure
• Attractive Discounts- If you’re using digital wallet of any online wallet provider, you may find some discounts

Disadvantages of Using Digital Wallet

• International Restriction- Every country has different services and so the different digital wallets.
• Limited Merchants
• Dependent on the Devices
• Danger of Losing your Money

4. Stored value Card (Smart card)
A stored-value card is a payments card with a monetary value stored on the card itself, not in an external account maintained by a financial institution. Stored-value cards differ from debit cards, where money is on deposit with the issuer, and credit cards which are subject to credit limits set by the issuer. Another difference between stored-value cards and debit and credit cards is that debit and credit cards are usually issued in the name of individual account holders, while stored-value cards may be anonymous, as in the case of gift cards. Stored-value cards are prepaid money cards and may be disposed when the value is used, or the card value may be topped up, as in the case of telephone calling cards or when used as a fare cards.
Like Amazon gift card, Metro ticket cards, Big bazar cards.
These cards are two type-

• Closed loop Stored value Card .
• Open Loop Stored value Card .