how has the introduction of plastic money enhanced the convenience of both the depositer and the bank. explain
Answers
Financial innovation is fast changing the way we deal with money giving us more convenience and easy access to funds from anywhere.
It all started with a simple credit card that allowed you to make purchases today and pay later. Further, technological advancements led to a new trend where most banks issued ATM cards or debit cards which can be used for withdrawing money as well as for making purchases or payments either offline or online.
Plastic money is a term that predominantly refers to the hard plastic cards, that we use every day, in place of bank notes or coins.
Plastic money enhanced the ease of both the bank and depositor:
• Plastic money eradicates the need for carrying vast amounts of cash.
• This excludes the need for carrying a huge load of cash which is risky and tiresome too.
• There is generally no need for cash, no additional credit checks, and occasionally no additional identification requirements as the user is usually required to insert their Personalized Identity Number.
• This then increases the convenience of the user in undertaking his shopping.
• There is flexibility related to plastic money.