Since the world is still currently facing the pandemic brought about by the Coronavirus Disease or the COVID-19, everyone were encouraged to observe precautionary measures set by their country’s respective government and the World Health Organization (WHO).
On one of the earlier posters made public by WHO under their Coronavirus disease (COVID-19) advice for the public, they’ve stated that there is currently no evidence to confirm or disapprove that COVID-19 virus can be transmitted through coins or banknotes.
However, still according to WHO, respiratory droplets expelled from an infected person can contaminate and persist on surfaces, which is why they recommend washing of hands after touching frequently-touch surface, including coins and banknotes.
Thus, since the pandemic has started, according to Business Insider, many have already chosen to rely on contactless or card payments over concerns of illness-causing bacteria and viruses found on paper bills.
Already torn between using cash or going cashless during most of your daily transactions?
Well, check out these 10 reasons why cashless transaction is better.
Here are the 10 Reasons Why Cashless Transaction is Better
1. Cash may be more Likely to Carry Viruses
Have you ever wondered how many persons just within a day have clasped their fingers around your cash before it has found its way to you?
There’s no way of telling how many people got ahold of your money for sure, but there were probably at least a few before you, since cash is just typically passed around from a person to another.
On the other hand, your credit/debit card doesn’t simply go to anyone else’s hand without you knowing.
Thus, cash may be more likely to carry bacteria or even viruses such as the Coronavirus Disease 2019 or COVID-19 compared to cards.
With the rapid rise of technology, aside from using ATM cards, there are also other cashless options that could also be safer these days than using cash and these are Scanning QR Codes during a transaction and directly sending or receiving money through apps, to name a few.
According to the Centers for Disease Control and Prevention on their Coronavirus Disease 2019 (COVID-19): Errands & Going Out under Going to the Bank, it is necessary to “Use hand sanitizer containing at least 60% alcohol after any deposit, withdrawal, exchange, drive-thru visit, or use of an ATM.”
2. Quicker Contactless Payment
Other than the possibility that using a card, scanning a QR code, and using personal finance apps may actually be safer than passing physical cash around, being able to go through a quicker transaction and contactless payment are also some of the advantages you can get from cashless payment methods.
3. Easier to Track your Spending
Trying not to spend too much for this month?
Using either a credit or a debit card will enable you to easily track when did you spend your money and what did you spend it on.
Same goes if you’ll use a mobile wallet or mobile banking app. One example of these kinds of app which you might want to check out later on is GCash.
4. Let Being Shortchanged Never be an Issue Ever Again
Most of us have already experienced being shortchanged at least a few times in our lives when paying with actual money.
Some will just let it slide and simply say, “Well, it happens.”
However, if you’re going to use credit/debit card or Scan a QR Code or even use an app instead during most of your transactions, you may consider being shortchanged least of your concerns as your transactions will be credited and debited down to the last cent.
5. Build Towards a Positive Credit Score
Having cashless transactions using your credit card may earn you a good credit score. Fintech apps nowadays also have features that will allow you to build your credit score so you can apply for a loan.
But by using cash, on the other hand, you’ll obviously get no such thing as a Credit Score.
6. You may also get Rewards
According to Bankrate industry analyst Ted Rossman, on Business Insider, debit card rewards are minimal, but for people who use credit cards and pay the bills off right away and avoid interest, that can rack up a sizeable amount of money.
7. You can Set a Financial Goal and Track Your Savings Progress
Putting away a few coins each day and dropping it in a piggy-bank might help you save, but putting away bigger amount of money using a bank account or a mobile wallet app could be an easier way to save.
8. Shop and Pay Bills at the Comfort of your Home
Since staying at home is definitely safer than wandering around malls during this COVID-19 pandemic it is a wise choice to simply make purchases online and skip the long lines of paying bills.
While some online purchases could be paid via cash-on-delivery, there are others which will rather require a credit card, debit card, or at least bank account number.
Moreover, there are also those online purchases which could be paid by transferring money via an app.
So for a more hassle free online shopping experience you might want to be able to engage cashless transactions by using the power credit/debit card or at least a mobile wallet/mobile banking app which you can trust.
9. Credit and Debit Cards may be Replaced when Lost
When cash gets stolen or simply got lost, consider it gone.
But if a credit or debit card gets stolen or lost, it’s an entirely different story since it could be easily be replaced.
Take VISA for example, they have an Emergency Card Replacement and Emergency Cash Disbursement and reporting a lost or stolen card only requires three simple steps.
10. Free Yourself From Transaction Fees
Transaction fees are usually required in order to proceed with an international money transfer and the fee would increase as the amount of the money you will send increases. But thanks to FinTech apps, transferring money within the same platform can cost you minimal to zero transaction fees, even if the receiver is located on the other side of the world.
By using an app to send or receive a money to or from your loved ones, only minimal to zero transaction fee would be usually required.
Those are the Reasons Why Cashless Transaction is Better
Those are just some of the reasons why cashless transaction is better, especially now that the COVID-19 pandemic is still ongoing.
Stay Safe everyone!