Cashless Society is Good for You. And Millennials are the future face of Indonesia towards Cashless Society. Why? Based on the data of Bappenas (Badan Perencanaan Pembangunan Nasional). There are 63 million millennials.
Inside that report, 8 out of 10 Millenials think someday they can pay everything online, and 73% believe that we’ll pay using a mobile phone.
Digital Wallets or Cashless becoming more popular and effective. China, Singapore, Netherland, and Canada are making a serious commitment to a cashless society.
Cashless Society is Toward Simple, Accurate, and Clean Transaction.
Back then, with cash, it’s challenging to monitor your spending. That’s what I feel and probably what others millennials think too.
I used a finance app called Spendee, an iPhone app that tracked your finance. But, sometimes I’m too lazy to write all my ‘latte factor’ expense.
When I have cash in my wallet, it just passing through. Two thousand rupiahs parking fee, few 500 rupiahs coins that I’ve dropped, etc.
It’s gone, without too much thinking about it. And suddenly, at the end of the months, I’ve 1 million rupiahs missing from my budget app.
Unlike cash, digital wallets come equipped with features like the ability to check bank accounts and credit card balances, create budgets, track spending, send money to friends and family, and even pay bills directly from a mobile device.
Unlike cash, cashless digital wallets come with features to automatically create reports.
I used Go-Pay, Ovo, and Jenius. Go-Pay even went far with sending me an e-mail monthly about my expenses automatically.
Constant Rewards and Cashback
Another reason why cashless is good is there are a lot of rewards compared with using cash.
There is a lot of kiosks or cafe, offering up to 35% cashback on what you buy.
Well, I didn’t mean to be so stingy about all this money. But, those few pennies add up into a Hill, you know.
Cash is Liability unlike Cashless
Another reason why me or probably most millennials prefer cashless is that I thought cash is a liability.
I’m scared to put a lot of money in my wallet as a man who prefers going out without a bag. I’m worried I lost my wallet.
But with a mobile phone that sticks with me everywhere, I’m gaining some confidence without too much worry.
Even when my phone is lost or stolen, my money is still safe and can be replaced easily.
Cashless digital wallets also have tight security.
I am using face-id as verification besides two-factor authentication.
This makes other people have more difficulty in stealing your money. Even though the probability of getting hacked is still there, at least they’re safer than carrying cash.
Cashless Society for Faster Transaction
I felt using cashless as a payment method, speed up my transaction time.
Instead of waiting for the cashier to count the money, verified your money is real and giving you change money. That took so long!
With cashless, the cashier inputs the amount that we have to pay, and we scan the QR code or using radio frequency identification (RFID like e-money).
With dozen of transaction happens every day in our lives. Imagine how much time saved because of the cashless transactions?
Millennials are Already Leading Digital Life
It’s in 2019. Millennials like us grew up with technology. So we are likely to embrace new forms of payments.
With the millennial movement towards a cashless society, in the end, it’s going to push the development.
The spread of cashless payment will widespread in Indonesia, and that’s heading into Industry Revolution 4.0, which aims towards more productive and efficient lives with digital life.
Cashless is Good, but What are the Cons?
Our Privacy is the Price of Cashless Society
With a cashless society, it means less privacy.
You might trust those companies with your data. But your payment information could easily be used against you.
With cash, we can spend and receive money without anybody knows.
Technology Problems because Human isn’t Perfect
Innocent mistakes, outages, and glitches could happen.
When a case like that happens (and it could happen).
You’ll lose the ability to buy things when you need them. Likewise, the seller can also have no way to accept payment when their system malfunctions.
Even as simple as your phone dead, it’ll leave you broke and become totally “cashless.”
Hackers, Yes a Digital Thief
You might get away with pickpocketers, but hackers also a thief of the electronic world. In a cashless society, the consequences become higher if someone had access to your account.
Because you don’t have any alternative way to pay your bills.
When you are buying something with cash, you kinda feel the “tears and pain” to get those rupiahs you spend.
But with a cashless society, swap, tap, or click. And those are just a number.
We need to practice again on how to manage our spending.
Inequality in Cashless Society
The poor and unbanked will have an even harder time in a cashless society. They don’t have expensive devices for making payments, and those who operate in the informal economy would have no way to get paid or receive aid. The U.K. is experimenting with contactless ways to donate to charities and homeless individuals, but there’s still a long way to go.
There are some poor and people without a bank account around the world. Even some of my friends just recently open a bank account.
Moreover, a smartphone with NFC and an excellent camera to read QR codes are still expensive.
Those people won’t have any way to receive aid or pay in a cashless society.