The idea of a cashless society is growing rapidly in popularity bringing up questions like ‘Is cash dead?’ and ‘Are we on the brink of a cashless world?’. Well, the truth is we are not, or at least not yet.
But with the rise of contactless payments, debit cards and mobile apps, cash will soon become a thing of the past.
But here comes another question – why all the above-mentioned forms of payment are better than cash?
We’ve got 5 good reasons why you should ditch cash and embrace card and mobile payments.
1. You don’t have full control over your money and spending with cash
When you use cash for everyday purchases, you can easily lose track of your spending. You kick off the day with a wallet full of cash and the money just flies away before you know it. Sometimes, you cannot even recall how you’ve spent all that money.
Unlike cash, debit cards usually come with a web account, or even better, a mobile app which helps you track every cent you spend. You can check your payments in real time and see how much you spent in the grocery store or at the restaurant last night.
2. Cash doesn’t allow confirmation of each purchase and detailed transaction history
Cash is untraceable, so are all purchases paid in cash. So, it’s almost impossible to manage your finances effectively and improve your budgeting if you always pay in cash.
With digital forms of payment like debit cards and mobile apps, you can get a push notification right after you’ve made a payment. Plus, you have the full transaction history at hand and you can monitor your spending and make well-informed money decisions.
3. Cash can put you in an awkward situation
Did you know that there are countries which are very close to becoming a cashless economy?
Denmark and Norway are leading the way to a cashless society, but the true leader is Sweden. According to research by Campegini and BNP Paribas, only 2% of the total value of transactions in Sweden consist of cash, and this is expected to decline to less than half a percent by 2020.
In general, the Nordic countries are not big fans of banknotes and coins, and it’s rare to see anyone pay in cash. Lots of shops, restaurants and bank branches refuse to handle cash because of how little consumers use it. Some retailers even put signs to say they don’t accept cash payments.
Taking this into account, make sure to have your debit card with you if you’re heading north anytime soon. Otherwise, you may end up with much money in your pocket, but nothing to buy with it.
4. Cash is inconvenient
Lots of people use cash to pay a friend back or chip in for a birthday present. But what if you don’t have the exact amount in your wallet? You can save yourself the inconvenience and the awkward moments with mobile apps like LeoPay.
Our mobile app allows you to send money to another LeoPay user instantly and in a few taps. This way, you can send money for last night’s dinner or for your friend’s birthday present no matter where you are and with no fees.
5. Cash facilitates crime
Cash is untraceable and has a level of anonymity that digital payments cannot provide. This makes it an effective instrument for criminal activities. Almost any crime types make use of cash to facilitate money laundering, tax avoidance and other illegal activities. If only digital payments existed, criminal behaviour would be much harder to hide.
From consumer’s point of view, carrying cash is quite risky. Every day, thousands of banknotes and coins get stolen or lost. With debit cards, the risk is significantly lower – even if someone steals your card, you can lock it in-app and no money will ever leave your account.
If so, we have something that can replace cash and enable you to pay fast and securely. The LeoPay VISA debit card is accepted all over the world and comes with no monthly or annual maintenance fees. With it, you can shop online and in-store without any transaction fees.
The LeoPay VISA card provides great convenience and security as well as a whole host of awesome perks. Learn more on how to get your free LeoPay VISA card with just a few clicks within your LeoPay account.
Did we mention that the second LeoPay VISA is also free? 😊