What Going Cashless Really Means for Your Wallet And Privacy

The feeling and touch of a crisp bank note is slowly becoming a relic. With Unified Payments Interface (UPI), credit cards and mobile wallets changing the transaction landscape, we are moving towards a world where cash may soon become obsolete. For many people, this shift represents a sign of progress, fast payments, easier tracking and convenience. But there is a segment of society which still thinks of this as a threat, to privacy, accessibility, ownership and control.

The appeal of going cashless is obvious; easy, fast, convenient and safe. Digital transactions leave no room for theft or counterfeit money. The government benefits from cashless transactions as well as they improve transparency and reduce tax evasion. However, behind the convenience is also a complex reality, when each transaction is stored digitally it becomes traceable and the anonymity diminishes.

Digital transactions are very common and fast growing in cities. However, the same cannot be said of the rural areas where many do not even have access to stable Internet or even lack digital literacy.

A fully cashless society risks alienating these people those who depend on this tangible and the oldest form of currency for survival. Even a temporary network issue or glitches can tamper with basic transactions and put you in an awkward spot. This can leave you stranded where once cash worked effortlessly.

There's a psychological aspect to it as well. Cash gives a sense of belongingness and tangibility to spending - handing over physical notes triggers awareness that swiping by a card or through an app can never replicate.

Digital money makes it easier to overspend as the notion of 'giving out money' becomes abstract. There is a lack of discipline that needs a new framework in the cashless world. There is also a lack of conscious spending when it comes to paying through digital streams.

The decline of cash is inevitable, but what it means for you depends on how prepared you are to live without it.