Last week we learned that if you’re using an Android smart phone there was a way the PIN for your Google Wallet can be accessed using an app called Wallet Cracker. Since that hack surfaced, Google has maintained that its wallet service is secure. However, Google is taking steps to protect the prepaid credit cards that are linked to your Wallet account.
Google has disabled the use of prepaid credit cards with Google Wallet. The reason for disabling the prepaid cards is to prevent unauthorized access if the phone is lost or stolen. Apparently, debit cards linked to the Google Wallet accounts are still safe. Google is presumably working on a patch that will repair the vulnerability that Wallet Cracker exposed.
There were steps outlined last week that the user of the smartphone could take to plug the gap that allows the PIN to be accessed. This involved changing settings on the Android device such as activating a screen lock feature. I would bet Google would have a patch for the Wallet issue very shortly since the breach is hurting the trust consumers have in the application.