The future holds a cashless society

Advertisement

Going out to eat and/or to drink with friends has always been a fun activity to many. However, paying at the end of the night has been quite a thing for decades now. Still, the question that arises the most is something along the lines of “do you want to go Dutch?” or “who is going to pay?”. According to academic research, these questions will keep on arising simply because of the nature of humans.

There are many ways to get everyone to pay for their order or just contribute to the bill in general. However, over the last couple of years, banks have made it easier for people to split the bill within a group. Eventually, if the bill is not separated from the start, one person will have to cover and pay the full amount. That same person can get repaid by the others by simply sharing a link through social media, WhatsApp or email, for a specific amount to be paid afterwards. This process makes going Dutch easier as there is a typed message involved rather than a verbal explanation. Eventually, paying the bill has become a less awkward moment for a group of friends.

Cashless payment options

Likewise, for companies it has become possible to share payment links with their customers. Obviously, it is not awkwardness that is holding the business owner back. It is the comfort of sharing a link that makes the business owner want to make use of this developing technology. The app of SumUp for example, allows employees to pay through a link rather than a card machine. Though card machines have been in use for years now there is a lower demand for it, compared to a few years ago. The main reason for the shift in demand is the fact that one’s physical attendance is needed for a payment through a card machine. Especially during this pandemic, it could come in very handy. Because of social distancing, paying through a link could even become a new normal because of its safety when it comes to our health. For the buyers/ the ones that have to pay too, it could come in handy as they can pay from a distance. This will help them save time that otherwise would have been spent on traveling to and from the store or business.

Specifically the younger generations, make use of these easy tools. When it comes to private payments, PayPal.me and Cash App are used by mainly the young generation of respectively the UK and the USA. It can be explained by the fact that they grew up around technology, which by default makes them more familiar with it, and therefore less scared of it, than the older generations. Based on research,  the baby boomers have a hard time coping with the idea of a cashless society and, on top of that, find technology such as a link for payment way too complicated. On the other hand, many from the generations Y and Z cannot remember the last time they paid with cash.

There seems to be a huge gap between the older and younger generation. However, it is a fact that payment through a link is a secure, easy and comfortable way of payment to many.

Advertisement

About Editorial Team 88 Articles
Watch My Wallet has everything you need to know about money, written by real people who’ve been there. Inspired by the philosophy of Early Retirement Extreme (ERE), our goal is to make informed decisions about our finances in order to achieve financial independence.