Plans are in process for your cellphone to also become your credit and debit card. You will just need to wave your cell phone and you will be charged for the item the same as you would if you swiped your credit card.

These mobile wallets will simplify life but are expected to be slow to be adopted in the United States because of the competition to control the money generated by the mobile wallets. The banks, credit card companies, and the mobile phone carriers all want a portion of the funds. The United States alone generates billions of dollars in hidden fees with the use of credit cards.

This new payment system has definitely generated a tremendous amount of competition. Consumer watch dogs have expressed concern that the mobile wallets will cost consumers higher fees. Gwenn Bezard, research director specializing in the financial services industry feels that the use of mobile wallets is imminent and we are moving in that direction.

Peter Ho, product manager for Wells Fargo’ credit card services states that collaboration with mobile carriers has been difficult because of agreement on financial terms. Verizon, AT&T, T-Mobile and Discover are expected to deliver their own mobile wallet. This project know as Isis is projected to be available next year.
It will be interesting to see how consumers react to the mobile wallet.