By GalTime's Consumer Watchdog Mary Schwager
Mobile Payment AppsThey're new. They're hip. They're fast! Mobile payment apps are simple to use. They work by just waving your phone at the cash register and you can pay for your latte, your lunch and even merchandise in seconds.
There's no signing a credit card charge slip, or getting asked for identification. While that's quick and convenient, it has security expert Hemanshu Nigam worried. "None of that is required, so that's a huge security risk."
FTC Reviewing Consumer Pro's and Con's
That's just one reason the Federal Trade Commission is about to take a closer look at this growing high tech way to pay, especially what happens if someone steals your phone. Attorney Patricia Poss who heads the FTC's "Bureau of Consumer Protection's Mobile Technology Unit" is leading the charge. "One of the things we are going to look at is the authentication issue, which is how does the retailer know that's the right consumer who has that phone?"
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