Most people are comfortable with currency transaction. This country continues printing currency notes. Then what is the fun in going cashless? All propaganda about cashless transaction is intended to hide the folly made by Modi Inc with demonetisation by withdrawing 86 percent of the total currency.
Though cashless transaction has some advantages its disadvantages outweigh. The first one is higher risk of identity theft. With the rising incidence of online fraud, the risk of hacking will only grow. Secondly redressal mechanism in the country is inadequate.With the poor grievance redressal, people will have no easy recourse if they lose money online. There is no stringent legal process to deal with this kind of fraud. Add to it the mass identity theft from banks' databases can turn into a financial nightmare.
Thirdly, since the customer is dependent on smart phone for all transactions on the move, losing it can prove to be harmful.. It can not only make one susceptible to identity theft, but could also be rendered helpless in the absence of physical cash or any other payment option. Another drawback is that even a poor man should buy a high end phone and it is to be kept constantly charged. If the phone dies no money, no transaction until it is charged.The digital medium may prove a challenge for the tech unfriendly, aged, and illiterate who will need time to adapt. And the most dangerous demerit is it could open a spending trap. According to behavioural finance theorists, the pain of parting with money is felt more acutely if one uses physical cash.
K A Solaman
No comments:
Post a Comment