Question

Importance of plastic money for the economy

Answer 1

Plastic Money has revolutionised the economy. The term 'plastic money' refers to the use of technology to facilitate digital transactions that can be conveniently carried out without having to visit the banks every time.


Plastic Money has a host of advantages. First and foremost, the transactions are very transparent when done via technology. This keeps corrupt practices at bay. Further, plastic money is extremely convenient to use. There's no need to carry lots of paper currency in your wallet- all you need is a smart debit card! 


Plastic money is very secure too- in the event that you lose your cards, you can immediately get them blocked. 

Answer 2

Plastic money is used to transfer money to another bank account for services and/or goods received. The transfer need not always be within the same bank. It can involve a third-party transfer to the same or a different bank.

The primary types of plastic money are debit cards and credit cards. They can be used for online banking, wire transfers and paying bills online. Some advantages of plastic money are reduction in currency printing costs, minimizing the use of paper and saving trees, anytime-anywhere banking, and account tracking.