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With card payments preferred by many people, and digital payment forms rising, could cash become obsolete? Companies are continuing to jump on new technology which makes non-cash payment easier for customers. While cash used to be considered more practical for certain situations, these are becoming fewer and far between.

Cash seems to be gradually becoming less popular for transactions. Statistics show that in 2015, 52% of payments in North America were carried out with non-cash payments. Over a third of payments were also by non-cash methods in Western Europe and the developed parts of Asia.

With non-cash payment methods become more practical, there are fewer reasons to use cash. For most purposes, card payments are more efficient for both companies and customers. We’re also witnessing a significant rise in internet payments.

Ease Of Card Use

One of the main reasons for cash becoming less popular is it’s much easier to make payments via card. Consumers don’t need to withdraw money from an ATM to make a quick payment. They also don’t need to worry about not getting the right change back.

Companies are also making it easier. Some use contactless card payment machines so buyers can swipe and go. Businesses can even get a credit card swiper for smartphones. It makes taking payments from anywhere possible, making cash payments less useful in the process.

In general, it’s much quicker for both customers and companies to use card payments. Many businesses even offer company cards which let customers rack up loyalty points. Non-cash payments also make business accountancy simpler. All in all, it’s an easier way to pay.

Internet Payments

Within the past two years alone, the percentage of the world’s population who shop online has gone from 10% to 85%. With such a significant growth, it seems likely that soon the entire world will be doing their shopping online.

Many consumers prefer to shop from the comfort of their home. But even if they’re out and about, it’s now easy to make purchases from tablets and smartphones. Most companies offer accessible websites where people can browse and find what they want to buy.

People are easily able to store their card details to pay online from anywhere. But there are also new digital payment methods arising. Many people use PayPal to make fast online payments from a digital wallet. Some companies even accept BitCoins.

Apple and Android are getting into the digital payment race themselves. Both offer their own form of online payment, making it easy to people to make transactions from their smartphones. There are even devices which let businesses take contactless payments from customer’s phones.

Security

Another reason many people choose non-cash payments is for security. Cash is only completely secure when it’s in your hand. If you lose it or get scammed, you may never see it again.

Every payment you make on a card, online bank account, or by digital payment methods is recorded. You can identify if someone has stolen your account and get it frozen. Many services will also reverse fraudulent payments.

As time goes on, people find fewer reasons to use cash for payments. Although it’s still the preferred method in some parts of the world, it’s likely to change as technology spreads. It’s not absurd to think we may be heading towards a cash-free future.