Why do we still have paper money?

I am sure that one day paper money will be things of the past, but it is taking a long time to die. What is holding us back?

 

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There are probably several things but two come to mind immediately.

First and foremost, it's what most people over the age of 35 are used to.

Secondly, most cash transactions can be impossible to trace. Those who wish to launder money, hide profits or pay off a hit man would be stupid to do so electronically.

 

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Off the top of my head:

Debit cards are still not really secure at all...maybe if banks were willing to update the security on debit cards.

It's faster to hand someone 5 bucks than fuck around with a debit machine. Yes, all you people that pay for small things without cash, are idiots.

As noted already you can scam the government by doing cash transactions, does not have to be illegal activity. Contractors/small businesses do this all the time, pay them less in cash(with no invoice/receipt) and the job/good is given over cheaper.

 

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I think privacy, custom, & security are the reasons most people like cash. They are not dependent on some insitution to live up to their agreement or technology to deliver if they have cash. I don't think some people trust insitutions. And with cash you always can easily know how much you have.

There is also the issue of privacy, some people just do not like the idea that others know what they are doing all the time. Personally, I like the easy of doing business electronically. It is easy to retain records and do reporting, so that is why I like electronic documents and spending. I can see where I spent my money and find opportunites to cut spending.

 

How elese would we buy illegal items? When purchasing anything with cash no one but you and who your buying from knows anything about how much you paid or when you paid it. Cash is a very good way to buy stuff wth because many people don't have good credit so they can't have credit cards.

 

Some retail establishements do not accept cards of any kind as it is an expense for them. They have to pay up to two percent of the charge in fees to the card provider, Visa, Mastercard, etc.

 

Usually such places will simply tack on 2% to the price of items bought in that manner, here in Canada.

 

There are some places here in the United States they just don't take credit cards...ususally small restaurants. I know a Subway restaurant down the road that does not take credit cards.

 

Maybe the issue here is if I were to buy from a friend say a push bike. How would we exchange money? You could give a chq but thats a lot of hassle. Maybe you could use Paypal?

 

Maybe here too, I'd never know, i'm not going to pay for a sub with a credit card.

 

Add to this, I know you can pay for small purchases now with an Oyster card, which you just swipe. So that is a good move in the right direction.

I also heard that new mobiles will be used for some transactions. This seems a good idea as you will prob be able to see account balances etc on your phone.

 

Use of mobile phones for financial transactions is something you can do overseas, in particular in Japan. But in the United States the effort is failing because the cell phone companies want a piece of each transaction and the credit card companies do not want to give it to them. And the cell phone companies have a lot of well placed friends in the Republican Party and government. So the effort has failed in the United States and it will not happen until some accord has been reached with the cell phone providers.

 

I love paper. I cannot stand the idea of not having it as a personal choice. Financial transactions are so monitored it gives me the feeling of lack of anonymity and that I am somehow controlled. Everytime I return to the West I realize how bombarded we are with cards; metro cards, ginko cards, credit, debit, whatever I like the simplicity of cash. Its at the point now that in NY one cannot buy a gym membership, even if its for one month, without a credit card. Same goes for hotel rooms, you can pay in cash but still you have to offer a credit card in order to make a reservation. Anyway, it was only 1 1/2 years since they installed their first ATM card here in Cambodia, ANZ Bank. Progress.

 

Wow only just getting ATMs. Now they were a good step forward, it use to be such a pain to go into a bank queue up to get your money.

 

what are the alternatives?

http://www.architectsofcontrol.com/

 

Paper money is discriminatory to the blind.

http://money.cnn.com/2008/05/20/news/money_blind/index.htm?cnn=yes

 

Not in the UK

 

You can, and that's basically the purpose of Paypal. Unfortunately, Paypal takes a noticeable cut of each transaction.

 

what if you can't get a bank account?

what if you dont want a bank account?

what if you like to pay for things cash?

my husband has a bank account and he pays all the household bills, i.e water, gas, electric, rent through direct debit, all the money goes through his account, i don't want my own bank account, i like to carry cash and pay for things outright, we have been offered credit cards but we always say no, so why should we be forced to get a bank account?

also, credit cards, debit cards, donot nessecarily make paying for things faster, the phone lines regualary are bust because poeple are using the credit card machines and also they are not 100% safe!

i dont want to be forced to get a bank account!

 

I think that cold hard cash will be around forever. I mean, it's easier, I don't care what you say, to pull out a 5er and get change. Yeah, it can be a hassle, but it's necessary because we, as a capitalist nation, are not required to purchase things from retailers or wholesalers. Not just illegal items, we can purchase anything from our neighbor, and that keeps our nation not only Capitalist, but free.

And if nothing else, doesn't it just feel great to hold in your hand $100 full of ones? It's all about feeling!

One more, and last, point, how else would be pay strippers? Would they dance around with debit/credit machines asking you to verify if the amount is correct?