Mobile Wallets May Soon be Insuring Customers’ Cash

A mobile-based virtual wallet is where you preload a certain amount in your account created with the mobile wallet service provider and spend it at online and offline merchants listed with the mobile wallet service provider. Anything and everything! Right from utility payments to e-tailing and offline payments, you can perform most of your daily transactions using mobile wallets.

To make a rapid move towards using digital cash, the government is planning to bring in changes in the way money is handled on mobile wallets. The government is looking at introducing insurance in the mobile wallet similar to the debit and credit card space.

Your wallet can be snatched, misplaced or pickpocketed, your mobile wallet cannot be. But remember, your mobile can still be stolen. The government puts in an effort to make cyber laws tougher and more effective and have also decided that cyber labs, which examine evidence, be notified soon.

This would help make IT-based evidence admissible in courts.

“We are in the process of giving it final touches. It is necessary as cybercrimes are increasing and laws need to be stronger to deal with them,” said an IT ministry official.

The government is mulling over bringing insurance in the segment, on the lines of debit and credit cards. It has already held three meetings with mobile wallet and insurance companies and hopes to bring in the new regulations to make it mandatory for mobile wallets to insure money.

Sources said that the government plans to notify at least two to three cyber forensic labs in each district.