The Challenges of a Cashless Society
Cash may once have been king, but those days are over. In recent years, cashless payments have become increasingly popular due to their convenience, speed, security, and ease of use. Contactless card payments, in particular, have seen a massive surge in popularity. Data shows a growing trend: the global value of contactless card payments is set to exceed $10 billion by 2027. In the UK alone, a staggering 89% of all transactions are now contactless ‘tap-and-go’ payments [1].
However, as we move towards a cashless society, it is important to ensure that everyone has access to financial services. For many vulnerable groups, such as the visually impaired, those with Alzheimer’s or dementia, and those with literacy difficulties, the shift away from cash puts them at risk of financial exclusion. They may find it difficult to use traditional payment cards, either due to the complexity of remembering PINs or difficulties entering the relevant details.
There is a significant proportion of the population who are not currently served by traditional payment cards. The blind and visually impaired community numbers 2.2 billion globally [2], whilst the number of those with Alzheimer’s or dementia is greater than 55 million [3].
In addition, the number of people living with literacy shortcomings who cannot access or understand financial products and services is 750 million worldwide [4]. Finding a way to achieve inclusion for all these groups must be seen as a priority as we move away from cash.
The Challenge with Cards
In addition to presenting the challenge of remembering a PIN, the traditional payment card also offers security concerns. Other than the PIN validation, there is no real way to know if the person holding the card is indeed the authorized user. And in the case of contactless payments the PIN is not required. Card fraud is a serious issue, making it imperative that a more secure solution be found.
Choose a Smart Card Payment System
However, there is a solution: a smart card payment system with a built-in fingerprint sensor. This system not only ensures user identity authentication, but it also removes the barriers to use, such as remembering and entering a PIN. The biometric data is stored securely in the card itself, meaning customers can use the card without fear of fraud while still enjoying the benefits of a rapid, simple transaction process.
By adopting a smart card payment system founded on biometric technology, we can ensure that everyone has access to the financial services they need, without compromising security or ease of use. In the next blog post, we will discuss in more detail how this technology can help bring about financial inclusion for all.
Resources:
[1] https://www.finder.com/uk/digital-banking-statistics
[2] https://www.who.int/news-room/fact-sheets/detail/blindness-and-visual-impairment
[3] https://www.who.int/news-room/fact-sheets/detail/dementia
[4] https://worldliteracyfoundation.org/why-literacy/
