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Many
people believe that eventually, and sometime in
the not so distant future, no one will carry cash
in their pockets, and everything will be purchased
using plastic. Others think that will happen
around the same time that people start driving
around in space cars, or when we have domesticated
robot maids to clean our homes and make our meals.
Whether it becomes a reality or not, it’s quite
possible to live almost cashless in our current
society!
Think about it. When you get gas, almost every gas
station has a pay at the pump option. Grocery
stores, department stores and almost anyplace
where there is a cash register can accept credit
or
debit cards,
and you can even pay your waiters a tip from your
card when dining at the restaurant. Fast food and
drive through windows are even accepting debit or
credit cards,
now! So, if a person truly wanted to stop carrying
cash all together, it would just about be possible
by using debit cards,
prepaid credit cards
or regular credit cards to handle all of your
financial transactions.
As with any choice there are advantages associated
with going “cashless” or not, as well as
disadvantages. Using cash requires an in person
transaction. You shouldn’t mail cash through the
postal service, as it’s very easily stolen, and
you are unable to purchase online using cash. Cash
however, helps maintain anonymity when you buy
items or pay for services, where as a credit card
reveals information about you to the vendors that
you may not want them to have. Privacy is a
concern, and using plastic means there is a chance
for fraud or
identity theft.
A problem many people have with credit cards is
over spending. It’s very easy to spend more than
what your budget allows when you aren’t counting
out the actual cash and seeing the hard earned
money leave your hands. The “I’ll pay it later” is
much easier than saving money for that expensive
purchase, and most of the time, something comes up
that prevents us from paying it completely when
“later” actually arrives. When using plastic for
purchases, however, you are less likely to drop
your card on the
floor
while pulling out one of your other credit cards
like what often happens with cash. Have you ever
stood behind someone in the grocery store line,
and as they’re reaching in their wallet or purse
for a $20, another couple of bills happens to fall
out? Losing cash means it’s gone forever (unless
some really nice soul sees it happen and gives it
back to you!) but you do have some additional
security when your credit cards are stolen.
The biggest disadvantage of going cashless is the
amount of interest you’ll pay when you don’t pay
off your balances at the end of each month. It may
be extremely convenient to swipe your card
everywhere you go, but when your statement comes
you better hope you have enough to cover it or
else each of your purchases are going to cost you
well more than the price tag indicated! Deciding
whether to carry cash or go “cashless” is a
personal decision for now, as we still have the
ability to use both. It’s hard to say whether or
not we will ever be forced to use only plastic,
but you can bet if the credit card companies have
their way we will become a cashless society! Until
then, become familiar with the advantages and
disadvantages of each option, and decide which
will work for your personal financial habits and
discipline.
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