Benefits of going cashless

You’ve heard that now is the right time to go cashless. But should you?

Yes!

We all feel comforted knowing there’s cash in our wallet, but there are some great advantages of going cashless.

One: Your money is safe

Once your money is in your bank account, assets or investments, there is almost nil chance of it being lost, stolen or damaged, unlike paper money. With India’s robust banking system and several security measures in place, you don’t have to worry about your money falling into the wrong hands.

Two: Your money grows

When you put your money in even a bare-bones savings account, you earn interest. Plus, you have the option of investments like mutual funds and fixed deposits that get you returns over a period of time. On the other hand, the value of cash or “paper money” diminishes over time due to inflation. (For instance, Rs 100 can buy you more things today than it will after, say, five years).

Three: Better money management

Just a quick read of the numbers in your bank statement will indicate your income, spends, savings and return on investments. Armed with this information, you can plan for the short-, medium- and long-term future. So you can save up for a holiday in the next three months, for a car in the next two years, or for your child’s education twenty years later.

Four: Flexibility

With advanced technology and payment systems at our disposal, going cashless is as good as having cash. You can use your money in several different ways, and often almost instantaneously. So purchase air tickets, pay off your home loan EMI, or buy a life insurance policy without having to arrange for cash.

Five: Lower stress levels

Your grocery store doesn’t have change? Time to pay your electricity bill? No problem, there are a number of cashless options you can use. You won’t need to run to an ATM in the heat, or stand in line in the rain. In short, you save time, effort, transportation cost, and therefore, you can breathe easy.