After the much-debated ban on the high currency notes by Modi Government, a big segment of population is left confused over the idea of cashless society. ‘Will it be beneficial or is it going to be a big trouble?’- This is the common question that seems to perturb everyone in search of a better living. However, if you are also baffled enough to get to a single verdict, you have come to right page! This post is giving you the chance to explore the common benefits and drawbacks of going cashless.
Huge cut rates- Although the idea of going cashless has raised a glut of concerns among people, the announcement of a number of lucrative discounts on digital transactions has actually opened a new slide for the entire country. The recent abdication of Rs 2,000/- on the service tax is one of the best incentives ever declared by the Government. A great medium to promote digital transactions, this exclusive step has also introduced a spur of freebies and concessions. So, if you are looking for a good saving, nothing can be better than making the best use of these deductions. From the railway tickets to the highway toll, a digital payment can actually save your pocket to a great extent. Moreover, the cash back offers of the digital wallets have perked up the cash flow to a significant level.
Smart and easy – The convenience of monetary transactions is one of the main advantages of going digital. Standing in long queues for money withdrawals will just become a myth as soon as the Government makes digital deal a compulsory choice. Apart from being smart and easy, it will also come to the best use in any case of emergency.
Minimum risk factor- With the top-rate advancement of technology, blocking a credit or debit card is no longer a challenge. When getting your stolen money back becomes more than impossible, blocking your money wallet or the monetary cards takes no less than a minute! Also, with the proposal of launching biometric ID cards, it’s going to be much safer as well as risk-free.
A disciplinary method – Better budgeting is always one of the most important ways how you can improve your cash flow. The concept of going digital will help you keep a better track on your spending and give you a clear sight of your budget. The top-end applications for digital transactions will give you an exact detail of your expenditure at the end of the month, thereby seizing the chance for budgetary leaks.
No good for the tech-unsavvy crowd- In a developing country like India where a greater segment of people are still illiterate and making their living as laborers, the concept of cashless country is nothing but a threat. Also, the elder people who are not much acquainted with the modern technology may find themselves out of the loop. So, digital transactions may prove out to be a curse for many of them who need more time to be familiar with the technology.
Lose your phone and you will lose everything – As digital transaction is completely reliant on the applications of smart phones, losing it can really make you face a number of hurdles. It will not only leave you helpless, but can also lock you out of the world, as you will not have any other payment mode to adhere to. Also, you have to keep your phone charged for the maximum time, as doing otherwise can get you in serious trouble.
Extravagance – Researches show that people having physical cash are less likely to misuse money than that of those who prefer to opt for card transactions every time they purchase things. Thus, according to the financial experts, using cards will lead people into more recklessness.
Also, the threat of cyber-attacks can never be ignored and hence, to suggest a cashless economy, the Government has to consider all the benefits as well as the drawbacks simultaneously. Still, to conclude, going cashless has a lot of advantages to offer for the expediency of common people as well the Government.