Article writing on card payment on a high after demonetization
Answers
In the year after demonetisation, digital transactions have grown considerably. Indeed, disruptions in the digital space have not only revolutionised the way we manage our finances, they have also made contactless and cashless transactions the preferred choice of many among us. And, with digital wallets, quick response (QR) codes, near field communication (NFC) technology, sound wave systems, virtual cards, unified payment interface (UPI) and Aadhaar Pay offering top-notch secure payments options, the smartphone has become the most sought after all-in-one device.
Digital wallets and credit/debit cards have been the alternative to cash after demonetisation to cope with the cash crunch. "There was a surge right after demonetisation. After cash circulation was back in the market the peak has come down but the numbers are almost 35 per cent higher than what it was pre-demonetisation" says Praveen Dhabhai, COO of Payworld. A lot of people use wallets on a daily basis for a wide range of services including online recharges, utility payments, travel bookings and movie ticket among others.
Advantage of using digital payments
Low cost: The government and companies have been promoting digital payments by offering lower cost. For example, HDFC Bank has recently waived of charges on online transactions through RTGS and NEFT. Similarly, you do not need to pay service tax on card transactions up to Rs 2,000.
Saves time: Transfer of money between virtual accounts usually takes lesser time than wire transfer or a postal one, which may take may take several days. It is also better than standing in queues or in lines at a bank or post office.
Convenience: The biggest motivator for digital transactions is the ease of doing these transactions. With proper access to internet, financial transactions can be performed anytime and anywhere which attracts people to this segment. These transactions can be performed from anywhere without the need to be physically present there.
Low risk: Using digital wallet reduces the risk of losing your physical wallet or it getting stolen. Online fraud in cyberspace also exists but with proper measures e-currency is secure.
User-friendly: The government and the wallet companies have been working on their services and they have come up with much better and user friendly apps. There is also 24/7 support team to help and deal with any queries.
Controlling expenses: It is also said to be controlling your expenses as you can automatically keep track of expenses. These accounts contain the history of all transactions representing the money that has been spent which can be checked anytime. Controlled expenses result into higher investing, suggest experts.
Discounts: In the initial days of demonetisation, the wallet companies lured customers with attractive offers and discounts which have visibly come down in the current times. Online websites and portals linked themselves with the mobile wallets and heavy offers and discounts were given by them. Still, getting those offers and discounts is one of the reasons of the growing popularity of online and digital transactions.
The future of digital payments
Demonetisation has given the much required push to digital transactions. But there is still a long way to go for the digital payment system to become mainstream. With the government pushing for it and increased adoption by consumers, companies and experts are hopeful that it will continue to rise in the future. "We (Indian economy) are in a transition phase, digital mode of payments and cash will continue to co-exist, and presumably, even flourish simultaneously moving India towards becoming a 'less-cash' economy" says, Ravi B Goyal, Chairman & MD, AGS Transact Technologies.
"The push to get the unbanked on a banking platform is the key first step. On top of that, the penetration of cheaper data services provides the right conditions for digital payments to explode soon" says, Brijraj Vaghani, Founder and CEO, Ridlr, an app for cashless transportation. After demonetisation a lot of new wallets were launched and the existing ones in the market have been performing exceptionally well. "Going forward, we will play a key role in bringing millions of small merchants to the formal financial ecosystem, and make wealth management and financial services accessible to them. We believe this is a great opportunity for us to offer financial services and contribute to the growth of our country" adds Paytm's Vasireddy.
value points that will be helpful in writing are
Explanation:
- on November 8 2016 government announced discontinuation of rupee 500 and 1000 rupee notes
- the move force people to use options such as internet banking mobile banking credit and debit card mobile wallets and other prepaid payment instrument
- digital transaction have grown by 400 to 1000%
- this figure does not include transaction done through MasterCard and Visa cards
- people to be educated about digital payment through website and television
- increase transactions on e wallet
- volume of transaction using rupay card has increased from 3.85 lakh per date to 16 lakh per day
- these digital transaction will ensure money come into the system
- all transactions / money will be accountable they will generate tax , thus developing the countries economy
- government will develop better welfare plans when money will be deposited in bank
hope it will helpful to you in writing article in brief