People of people who using cash is most

People are familiar with using cash as a payment in daily life such as paying for four requisites. However, when people talked about cash, they consider cash as physical money. The definition of cash is one of the things that people use for exchanging goods, debt, and services in term of economics. Another definition is the value of assets that can be converted into cash immediately such as bank account in term of finance 1. There are 2 forms of cash which are physical banknotes and coins. However, cash has several advantages and disadvantages of cash. The first reason of people who using cash is most vendor accept cash, they can use cash anywhere. The second reason is fee-free for their purchases. People who purchase goods and services with cash will not be charged fee and also some vendors might offer discounts 2. The first reason of people why people are not purchasing with cash is security. The security of cash is at a lower level than other payment methods. If the cash is lost or stolen from the theft, the retrieval of cash back is not easy. Because there are no any identifying factors to its owner. The only way for the protection of cash is in a traditional way such as holding not much of cash, will make less prominent from theft. The second reason is large purchases 3. People who want to purchase an expensive goods and services have to hold much of cash in their wallet which make the inconvenience in purchasing.       People have an idea to improve the problem of holding cash which uses the concept of electronic payment called credit card and debit card. The credit card is a payment card issued by banks to the cardholder for purchase goods and services based on an agreement of cardholder and banks, in which the cardholder can borrow money for payment. Every month there will be a credit card bill for every payment that had been made 4. Another card that acts like the credit card is called debit card, which is a payment card the same as the credit card, but cardholders draw money directly from their bank account when they make the purchase 5. Both cards have different advantage and disadvantage points. For the credit card, the first advantage point is protection. If some mistakes have occurred, cardholders can refund the money back. The second advantage point is a reward. The credit card has a function called reward to make the point in every purchase back to the cardholder for exchanging promotion from a card issuer such as cashback, restaurant discount and etc. if they pay their bill in full amount. On the other hand, the first disadvantage point is a fee. If cardholders do not pay the monthly bill on time, the card issuer will charge them a fee. The second disadvantage point is overspending. Cardholders may think about the budget is not limited to holding cash but they should aware of overspending if not, they can easily get into debt 6. For the debit card, the first advantage point is no debt. Cardholders will draw money from their bank account which depends on the money that they have. The second advantage point is no credit needed. People who want to get a debit card will not require financial credit or bad credit but a bank account is needed for registration 7. On the other hand, the first disadvantage point is protection. Cardholders who use a debit card as payment cannot refund their money. So, in every payment that they paid, they have to make sure their purchasing. The second disadvantage point is a fee. If cardholders withdraw money from different bank ATMs, the fee will be charged 8.       The limitation of using credit and debit card is paying only at physical stores. However, people applied the payment to be online. Online payment is a type of payment that developed by the bank with Internet technology and made a payment via Internet 9. For mobile payment, the concept is similar to online payment but the payment services performed via a mobile device with Internet. However, people use online payment for e-commerce such as Amazon and eBay 10. For mobile payment, people use in short-range transmission systems such as Bluetooth, Wi-Fi, RFI and Near Field Communication (NFC) 11. For the advantage point of online payment, the first point is convenience. The transaction can be performed at anywhere and anytime if the Internet is available. For example, paying an electric bill via an online website. The second point is a low commission. Instead of printing a paper bill, the service provider will notify the bill via online payment which reduces the cost of printing and people will get the discount from this exception. For the disadvantage point of online payment, the first point is the risk of being hacked. If users do not aware of phishing attack from hackers to fake the bill, the information such as credit card will be easily hacked. The second point is the necessity of Internet access. For the online payment, requires connection of Internet to access the online account. If not, users cannot access their online account 12. For the advantage point of mobile payment, the first point is security. The card information is stored on a secure central server and also the accessibility is many methods such as fingerprint ID and PIN code which allows a user to pay each transaction 13. The second point is fewer cards and cash to carry around. Users do not need to carry more cards or even cash, just carry mobile device and identification card 14. For the disadvantage point, the first point is the mobile hardware incompatibility. Not all mobile payment systems work with all mobile. For example, the vendor has an NFC payment system. So, all mobiles need to provide NFC capabilities to do a payment. The second point is cost. This technology is the new technology. So, the implement and installation cost is high. For example, if retailers do not change the NFC system due to the high cost, users might not use a mobile with NFC function efficiently 15.

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