Credit Cards are great tools with plenty of great deals and hordes of benefits. Their role is more glorified by digitalization as there are now modern wallets with which the payments are more secure than ever. The best part is that with every payment you get value back from the bank as in rewards but with digital wallets you deem to earn something with every transaction. There are other benefits such as perks and benefits, features, and many other added benefits by the bank.
Cash or physical money has always been the backbone of small businesses for decades but is not so secure. There are many other added features that comes with any credit card, which can help you get the best out of your credit cards. Cash has always been prone to many dangers, as much as physical it is, there are many other situations where cash can also become a liability.
5 benefits of doing cashless transactions with the help of credit cards
To take a deeper look into the benefits of using Credit Cards to go Cashless, here are a few points that will be able to strengthen the argument –
First and most importantly, the cashless transaction is the fastest way one can pay and the other can receive the money. This is very helpful as it does not even take more than 30 seconds to make a transaction and have a receipt for the same. Whereas traditionally, the transaction may take more than the needed time. It is also very convenient where there is a whole crowd.
The best for the businessman is that at the end of the day, they would be able to save a great amount of time which counting and handling the cash might. And most importantly they don’t even need that cash and in the end, they will have to make a run to the bank to deposit the cash. Having more cash also means safety issues as anyone can snatch the amount from you and in most cases, you might not get the money back.
The transactions are very convenient these days. Be it from a smart wallet application or with the card itself. Here you will need not carry any cash which means no extra luggage and on top of that, you don’t need to hassle with change. It is more convenient than that cash as digitalization has already made the payment online or cashless very easy and secure.
The card method is the safest because there is no physical money involved. This also means that even if at a time your card gets stolen or lost, nobody will be able to make payment through that card as they do not know the passphrase for the same.
This method is also very less susceptible to any fraud as the security of card payments is constantly under check getting updated every once in a while. This also reduces the chances of getting duped for cash.
Transactions with Credit Cards increase the accounting history with everything kept intact for you to reach. The accounting becomes very clear, your payment over time is all present which can further help you access your expenses. You can fully rely on credit cards as they can help you keep updated on all your earning and expenses.
Last but not least, the best feature of credit cards is the rewards they provide. Every Credit Card Comes with a reward program under which they provide you with different reward points. These rewards can be different from card to card but is for sure that you will receive reward points on your every other expense.
The fact that cash at a point can become a liability is already proven in the year 2016. The classic case of demonetization in India says it all –
In November 2016, when the Demonetization was announced it became a major turn for Indian Currency. When the country was going through the phase, whatever cash you had in your hand become your liability. This became a burden to a lot of people as they were unable to make any physical transactions. People were unable to make payments for many things with the money they now have. That was the case for the majority of people, but not the same for people who prefer to make payments with their cards, be it credit or debit. Here, the people already using less physical money and more virtual money hardly faced any issues. This was surely a turning point for the country but for a brighter future.
Having cash sure seems like a great thing to do as many people prefer to have physical money rather than virtual. But the part which people are unable to understand is that physical money is prone to many negative impacts such as theft, fraud, bogus money, etc.
By going cashless, you are not only saving your money from these situations but you are also getting something in return while spending. While people are not used to the digitalization of everything but money or financial assets are something that needs to be very secure to keep your financial information secure from any corrupt measures.