Reasons Why Cash May Never Completely Go Away
It is being said, and it is looking like, we are becoming a cashless society, really.
Payments for purchases are more and more being done by credit cards, debit cards, mobile apps, and other cashless means in fact more payments are being done without cash recently than with cash.
There are some advantages to this, the non-use of cash.
* You don’t need to carry large amounts of the sordid stuff around. When you want to make a purchase, you just whip out the bank card, credit card, or mobile app, and pay.
* Not using cash is easier to track, in theory, you get statements each month, and you can also use mobile or online banking and check your balance regularly.
* No need to spend time looking for a cash machine or ATM, as you do not need them. Of course this does bring up the fear of “ATM deserts” that some are concerned over.
However, the question is, will cash ever really completely go away?
Many think not, and many hope not.
Older people tend to use cash more, as younger people are now growing into and up in cultures where the use of cash is antiquated. All young people today know is cards and other ways to pay.
Some children are even given their pocket money via some cashless medium as opposed to just being given cash each week.
So while cash may be a bit of a dinosaur, it is not dead or extinct like the Dodo yet.
And for good reason:
* You cannot over spend with cash. When it is gone, it is gone. You can only spend what cash you have, so it is easy to track. If you see you have £20, the you have £20. No overdrafts, no credit limits, just £20.
People tend to over spend when they use plastic.
* Interest is charged on purchases when you use credit cards. So you save money by paying in cash, no interest.
* There are small shops and stores that do not accept debit or credit cards as a form of payment. Retailers and those stores that take cards pay a fee, sometimes a percentage of each purchase, just for the convenience of using a card reader and taking credit or debit cards.
These shops and restaurants deal only in cash, and it saves them money, and keeps them in business.
* Taxes and drugs. Drug dealers do not take credit or debit cards….yet. So any illegal purchases, be It drugs or stolen goods, are usually done by cash. It is not traceable.
As cash is not traceable, this means it is difficult for HMRC to trace it for payments, and demand their share.
Getting paid, “cash-in-hand” is a way to not have to pay taxes on any money earned.
* No ones identity every got stolen using cash. ID theft comes in many forms, and one way is to get someone’s banking details and steal their money.
Cash may be easy to lose and for someone to steal, but not your identity from using cash.
Of course all these reasons cash will never completely go away, while good and solid, may not be good enough to keep us using cash. As each generation grows and a new one comes into its own, cash may slowly get pushed to the side.