Mobile money has made itself known to be an excellent way to send and receive money, especially since the pandemic started. However, mobile money is not always perfect. Here are 3 reasons why mobile money has its limits.
1 – Not Everyone Has Access to Mobiles
Firstly, the main problem with mobile money is that not everyone has access to mobile phones or will want to own one. For example, someone in a very secluded area with no access to electricity will likely not own a mobile phone, so you cannot send or receive money from that person. Some people may not like mobile phones at all, so you may have to use another method to receive or send a secure payment.
Another thing to consider is that not everyone will have high-end mobile phones. Some apps require newer phone models to be downloaded. Otherwise, the app will not run. Therefore, someone will an older phone model may not be able to use the mobile money app that you have, and vice versa.
2 – Security
Not all mobile money applications are made equally. Some mobile money providers will definitely be safer than others. Even well known mobile money providers may have an occasional breach or have a slip-up, so your security is not always guaranteed.
You will still need to follow precautions when you send mobile money, even if the application is secure. For instance, you need to make sure that you use your own mobile device to send money. Some people can access your log-in details if they use the same device, so be very wary. Ideally, you should only send mobile money through a mobile device that you do not share.
You should also make sure that you use a private internet connection when you use mobile money like your own WiFi at home. Public WiFi connections make it easy for hackers to grab your personal details, including your mobile money accounts, especially if you use public WiFi for mobile money.
3 – Risk of Scams
A major disadvantage of mobile money is that scam artists use it to their advantage. Scammers will send you text messages, emails, or even calls that look and sound professional. These texts, emails, and calls often look legit to most unsuspecting people, so it is easy for them to accidentally give them their bank account details and other personal information.
So, how do you avoid scams? Firstly, you ought to check the number or email of the person contacting you; if it is not a legit contact from the mobile money provider, then you better ignore it. Be very careful of what links you click as well; some links that they send you will sap up your personal information. Some common ways that scammers use to encourage people to click a link are by saying that they need to change their password, a link to a “new” website, etc.
Mobile money is convenient and accessible for most people, but it is not perfect because it still has its limitations.