Many smartphone users resist using a wallet app because of security concerns. However, the best mobile wallet apps have superior payment security; they utilize tokenization and encryption technology that make point of sales transactions made using mobile wallets more secure than those made by swiping physical cards through magnetic stripe card readers.

The biggest security threat isn’t inherent to the transaction process but rather to the physical loss or theft of your phone. Because of this, if you choose to add an electronic wallet to your phone, it’s critical that you protect your device by locking the home screen using a PIN, password or thumbprint. It’s also important to know how to locate your phone and deactivate it or erase the data remotely using services such as Android Device Manager or Find My iPhone.