Cashless Payment: The Future of Transaction

As technology becomes more and more advanced, it slowly changes our way of doing things. We replace Television with Netflix, taxi with Uber, brick and mortar retail stores with eCommerce sites, and soon enough, we’re going to replace cash with digital payments.

 

Sure, the older generations have voted to ban the implementation of a cashless society, and several states have already granted it. But half a century from now, when Gen Z has become the dominant force, a cashless society will eventually become inevitable. 

 

While the implementation of card payments, such as debit cards, credit cards, or transit cards have been around for a while, the emergence of Apple Pay, Google Wallet, Android Pay, Amazon Go, and facial recognition payments in China have recently created a new system, contactless payments. 

 

Some banks and retailers call this system “Tap-and-Go”. In this new system, customers no longer need to bring their wallets, cards, cash, or any physical payment tool. They only need their smartphone or face (in China) to buy almost anything. 

 

But, just like any other thing, the contactless payment system has its own pros and cons. Let’s take a look at the positive sides first.

The Good of Contactless Payment

  1. More convenience for the customers

  2. No more queueing

  3. Lower crime rates

  4. Much easier to exchange currency 

  5. More rewards and discounts from brands

The Bad of Contactless Payment

  1. More rewards and discounts from brands

  2. Some people don’t even have a bank account

  3. Prone to cause overspending

  4. Exposed personal data 

  5. Technology isn’t perfect

 

 

To understand better what contactless payment is, how it works, as well as the advantages and disadvantages of this method, check out this well-crafted infographic about contactless payment by Milkwhale. 

 

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