What are the risks of using mobile smart phones for payment of services?
There are variety of concerns being raised by consumer advocates as the tech and banking industries advance our payment systems. Soon, consumers will be able to wave their smart phone at an electronic payment reader and their credit card will be charged or their bank account debited.
Consumers Union, the nonprofit publisher of Consumer Reports, is urging regulators to develop guidelines for use of the technology.
Part of the risk is unauthorized use that resulted from theft of the smart phone, fraud, bank errors, disputes with merchants over charges and transactions.
It is important for consumers to understand their financial institutions' policies when it comes to use of this technology to ensure the same protections for use of the smartphone as there are for a credit or debit card.
Here are tips for mobile payment customers: