Page 1 of 8

European Journal of Business &

Social Sciences

Available at https://ejbss.org/

ISSN: 2235-767X

Volume 07 Issue 05

May 2019

Available online:https://ejbss.org/ P a g e | 1036

Problems & challenges of e-wallet and remedies to overcome the

limitations

PIRANI SOHIL ALTAF RESEARCH STUDENT MUMBAI UNIVERSITY

SUDEEP TALUKDAR RESEARCH STUDENT MUMBAI UNIVERSITY

ABSTRACT

Overall usage of E-wallet is dwindling and there are many challenges

associated with E-wallet.The purpose of this study is to find out the most key

& supreme factor that affects the Usage of E-wallet. Using factor analysis

technique this study analysed the most prime factor that affect the Usage of E- walletThe most important and key factors that affects the limitation of e- wallet is dependency on other devices & limited merchants.

KEYWORDS : E-WALLET, MOBILE WALLET, E-COMMERCE.

INTRODUCTION

E – wallet is an online prepaid account where one can stock / store the

money through transfer from bank account and used it as an when required.

And as it is a pre-loaded facility consumer can buy a range of products such

as airlines tickets,petrolpayment,grocery shopping etc. without swiping a

debit card or credit card.

There are various types of E-wallet in India such as

1) Telecom booked wallet

 Idea money

 Reliance jio wallet

 M rupee mobi wallet

 Airtel money

 Vodafone m pesa

Page 2 of 8

European Journal of Business &

Social Sciences

Available at https://ejbss.org/

ISSN: 2235-767X

Volume 07 Issue 05

May 2019

Available online:https://ejbss.org/ P a g e | 1037

2) Independent Wallets

 Paytm

 Mobikwik wallet

 Payu money

 Google pay

 Phone pe

 Oxygen wallet

3) Wallet by banks

 ICICI bank

 State bank Buddy

 Citi masterpass

 HDFC pay zapp

 Pingpay by Axis Bank

Advantages

1) Rewards / discounts / promocodes / offers on every purchase using E- wallet.

2) Extra cashbacks for every amount spent using e-wallet

3) Refund in case of failure in the transaction

4) Security pin to open E-wallet

5) Credit facility available in case of shortage of funds

6) E-mail or SMS notifications after Every transaction

7) Linking of bank accounts.

8) Unlimited transfer

9) Confirmation call in case of large Amount.

10) Manage of account with the help of mobile phone.

Page 3 of 8

European Journal of Business &

Social Sciences

Available at https://ejbss.org/

ISSN: 2235-767X

Volume 07 Issue 05

May 2019

Available online:https://ejbss.org/ P a g e | 1038

Disadvantages / limitation / challenges

1) Danger of losing money

2) Lack of practical literacy

3) Network and internet issues

4) International restriction

5) Long process of solving issues (customer service / toll free numbers)

6) Problems of galleries (E-wallet offline stores)

7) No transaction without internet

8) High processing fees

9) Lack of regularity and supervisory body

10) Dependent on other devices (Laptop / smart phones etc)

11) Problems of refund policy

12) Limited merchants (not accepted by all the merchants)

Review of literature

Shemon , Even in his research paper on “electronic wallet” states that E- wallet looks like a small pocket calculator with a plug which enables

electronic connection which other wallet. He states that E-wallet , is a safer

than cash money as only legitimate owner who knows the password can

operate it.

Signal nidh (2016) in his research paper on “Acceptance of E-wallet

services”. A study of consumer behavior discuss that mobile wallet loads

money for payment of bills which is waste free and saves time, topics

mentioned include the high success rate on making payments with

transactions in less than 10 seconds and it also throws a light on loading of

money there is no risk on debit / credit card.

Holmes , Tamara (2012) in his article advices on how to protect one’s

financial information in digital wallets from getting into wrong hands It

warns of spoofed invoices which look legitimate and request payments