Hey Ken,
I looked into the error you are receiving and it appears to be that way by design. Basically when you root the device, Google Wallet will display that message to cover their own butts in case anything happens. Google wallet should still be fully functional though.
Basically, when you root, parts of your phone can be accessed that weren't possible before. If somehow you install a malicious app and it reads your credit card data from Google Wallet, they don't want to be responsible for it. Though banks and credit unions these days are pretty efficient at dealing with fraud.
If you decide to remove root from your phone, that should not affect your firmware (radio). I personally wouldn't worry too much about it, but if you need help with the unrooting process, let us know and we can get you pointed in the right direction.