Is A Cashless Society Beneficial?
A world without cash. Is that even possible? Well, thanks to the rise of Fintech, it could already be on its way as more and more consumers make the move to digital payments. Countries such as Sweden, Denmark and Norway have already pledged to go cashless, and it looks like other countries will follow suit. But how exactly could people benefit from a cashless society?
Contactless Payments Are Speedy
Hate having to fumble through your wallet to get your cash when purchasing something from a shop? Well, with contactless payments you’ll never have to deal with that struggle again. Contactless payments save you a lot of time over the long-run as paying with a card is three times faster than traditional cash transactions.
Contactless payments are great for business too. Not only do they help reduce hefty queues and speed up the check-out process, but they also help increase sales which will boost your profits. Speedier transactions will help keep everyone happy.
More Secure Than Cash
Although there’s a possibility of your bank cards being stolen and fraudulently used, you can quickly freeze a bank account if this occurs and prevent any potential financial damage. Often, banks may also even reimburse the stolen funds. With cash, once the money is stolen, you’ll most likely never see it again.
For businesses, they can also help reduce the risk of robbery and staff theft. Staff theft alone costs UK businesses around £190 million a year.
Accumulate Reward Points
Who doesn’t like rewards?
Digital banks often provide users with incentives when spending a certain amount of money or shopping at a particular retailer. Neobanks such as Monzo and Revolut is a good example. They provide various rewards and cashback offers for their customers. When you use these banks, you can help save yourself money, compared to if you paid in cash. It’s a win-win in our books.
Can Track Your Money
Digital and contactless payments can help you track your spending as all transactions are recorded. This is particularly useful if you would like to budget more efficiently, as you can learn exactly how you spend your money and how to manage it more efficiently.
It’s also great for business as it simplifies the accounting process. Imagine not having to sift back through receipts and paperwork to try and discover a missing cash transaction, sounds good right? Going cashless not only simplifies accounting but also helps make it more accurate since there’s less likely to be human error.
International Payments Become Effortless
Not long ago if you wanted to purchase something abroad, you would first have to exchange your home currency to the local currency, which would not only take time but would also incur fees. However, with cashless payment solutions, transactions are fair and straightforward. Revolutionary Fintech apps such as Transferwise and Revlout make international payments a doddle and also provide you with the very best currency exchange rate.
Digital and Contactless Payments Are the Future
Digital and Contactless payments are more convenient, require minimal effort, and are most of the time free to use. It’s only a matter of time before more countries progress towards a cashless society.