we are moving closer to a cashless society

Posted by sere on October 28th, 2019

As a result of the growth of e-commerce, any consumer in the metropolis sees a sharp drop in their cash transactions

The expansion of mobile wallets and online banking.

This is just the beginning of a cashless society.

It is expected that the situation of urban consumers will change dramatically in the next few years.

Many entities are working on different electronic payment mechanisms, which could trigger a digital payment further development.

In order for consumers to use mobile payments, wallet companies are actively working with retailers.

India\'s national payments company, a bank-driven company, is working on a mechanism that allows consumers to transfer and pay almost as easily as texting.

The Reserve Bank of India allows 11 Payment banks and 10 small financial banks to open stores.

RBI also wants it to cost-

The validity of the bank\'s point of sale terminal (

Used for credit and debit cards)

In small merchant places.

In addition, in order to motivate consumers to conduct more electronic transactions, the government canceled the surcharge, service fee or convenience fee paid online by credit card digital payment and any government service.

While digital payments are on the rise in metropolitan areas, digital payments represent only five percentage points of all transactions in the country.

The ratio of cash to gross domestic product is the highest in the world. -12.

In 2014, it was 4 per cent and 9 per cent.

China is Brazil.

Even the number of banknotes in circulation is high: 34 in the United States.

5 billion banknotes are in circulation, 76 in India. 5 billion.

The number of currencies in circulation is RS 1,283 (Rs 12. 83 billion)in 2013-14.

In this regard, the bank has only a small amount of money, but the situation is changing.

E-payment methods such as credit, debit and pre-payment

Increase the payment card of about Rs 40,000 (Rs 400 billion)

According to the Moody\'s analysis\'s visa study, economic growth between 2011 and 2015 created 336,000 jobs.

Cashless brings better taxes, more financial inclusion, and benefits to individuals.

It facilitates banking from anywhere through a smartphone, funds are readily available, and money in the bank can earn interest.

Also, there is no risk to carrying notes, and once your consumption patterns are known, banks can offer you customized benefits.

One of the biggest obstacles to the growth of digital payment is that merchants are reluctant to use PoS terminals because they are costly, spend more time than cash payments, and also hold business owners accountable.

According to Sunil Kulkarni, deputy general manager of Oxigen Services, there are 15 million retail stores but only 0.

6 mn has PoS terminals.

Digital payment players are improving the efficiency of PoS or eliminating the need for any physical infrastructure.

Most of the next time

The payment system uses a smartphone for transactions.

Dilip Asbe, NPCI chief operating officer, said: \"A person will be able to trade across banks on a smartphone using his aadhar number, mobile phone number and virtual payment address.

Everyone has a unique identity and does not need to enter any bank account information.

\"It is interoperable and will work between payment channels, devices and institutions.

The Paytm app is available for offline payment.

It has been linked to retailers such as Cafe coffee days and baristas. App-

Centralized payments reduce the need for physical infrastructure, so it is possible to register for retailers more quickly.

\"By 2020, we aim to cover three times the number of PoS terminals that exist today and have half a billion customers on our platform.

We want all possible transactions made by the client to be present, \"said nit-Nitin Misra.

President of Paytm products.

The company has also obtained a payment bank license.

Other wallet players have similar goals.

Kulkarni of Oxigen said that in addition to sending and receiving payments in the merchant using the wallet, the company has also implemented a \"universal\" PoS terminal that allows not only transactions through the card, but also for recharging, it can also be a payment wallet.

\"Our services are interoperable,\" he said . \"

India mainly cash. happy nation.

Personal Discovery is simple and quick to trade with cash and has now become a habit.

People are not taking digital payments quickly.

Even now, accounting for 60 of e-commerce

Business is cash on delivery.

\"One of the key things that needs to be done is to shorten the transaction time and many people are working on various solutions.

In addition, businesses need to be motivated, \"said Vijay Mani, senior director of Deloitte.

Kulkarni of Oxigen says the economy will grow but it will grow slowly and steadily.

A large part of the population still does not have bank accounts.

Digital payment let 29-year-

Old, who helped start-Ups raised funds.

Of her total monthly expenses, only transactions are made in cash.

The rest is online or by using the card.

She spends most of her day on travel meetings.

She uses an app to book a taxi and uses her e-paymentwallet.

The meeting place is mainly a coffee shop or restaurant where she uses a credit card.

Most of her other transactions, such as mobile, broadband, satellite TV, credit cards, groceries, off-site travel and shopping, are done online.

She pays cash for her family.

Food, milk and laundry service were provided for her maid and mechanic.

For this reason, she only had 2,000 rupees in her wallet and went to the bank ATM once a week.

\"Since I first charged my phone with a debit card for online transactions in 2010, things have changed dramatically.

\"At the time, when I told my parents that I had applied for a credit card, they were frustrated that the credit card was supposed to be for the rich. Middle-

\"Class families think this will lead to bad debts forever,\" she said . \".

Recently, her grandfather wanted to make a credit card because he wanted to trade online.

Sometimes the retailer charges her an extra two cents for using a credit card to trade, or offers a discount if she pays in cash, but she prefers to use a credit card because she doesn\'t have a lot of cash.

\"I don\'t keep the cash anymore after the thief took my wallet,\" she said . \".

When Kapil Dev Bhagat, 46, left home at nine o\'clock A. M. , his first job was to refuel the car.

In any case, the needle almost points to the empty mark.

\"It\'s impossible to happen at a worse time,\" he said in a smoke as he needed to have a review meeting with his boss in the office before ten o\'clock A. M.

After arriving at the petrol pump, he realized that he did not have enough cash.

The credit card helped him as usual.

Bhagat\'s work at Jet Air Tours is a busy job and requires a lot of travel.

Earlier, he often carried large amounts of money, but he learned more and more to rely on credit and debit cards.

Best of all: he has given up queuing up to pay utilities as before.

Earlier, he would pay with his home computer.

Now he has downloaded the bank\'s app on his smartphone and used it to pay the bill.

When his boss is away, he will also be addicted to buying online on the office computer.

Going to the mall on weekends and going to the premium restaurants is paid by credit card.

On his way back to his home in Mehrauli, south of Delhi, from his office in Connaught, central Delhi, he remembers that the next day was his wedding anniversary.

He made a detour to the south extension market and bought earrings, which his wife had pointed out to him when they were shopping in the market earlier.

Again, his trust card saved him for paying the bill.

His last stop in the evening was his neighbor\'s mother\'s dairy farm, where he purchased a daily milk quota and paid with the card recently issued by the dairy farm owner.

Overall, he hardly uses any cash during the day, except for snacks or tea he occasionally eats in the office canteen.

For him, life became almost cashless.