FIVE REASONS WHY DIGITAL PAYMENT APPLICATIONS ARE ESSENTIAL

The Indian economy is highly dependent on cash transactions. The government is trying to promote an online payment solution. Post demonitisation, which happened in November 2016, the use of digital payment methods in the country increased. Even Google has predicted that the digital payment in India might hit to USD 500bn mark by 2020. The cashless payment methods will succeed only if the basic infrastructure for implementation is provided to the people. These payment apps are heavily reliant on smartphones and data connection. The availability of these phones with internet connection at affordable costs is required. Availability of Internet is the most crucial factor for digital wallets to work, and huge investment is required by the government to provide connectivity at a reasonable rate.   

Here are the five most important reasons why the digital payment system is essential for us:

1. Convenient
The digital payment applications are very simple to use, and no hard cash is required at the time of payment. The user just needs to have a smartphone with a data connection. The payment could be made by entering the phone number or scanning the QR code of the merchant — no need to carry any physical card or stand in a queue at an ATM.

2. Record Keeping
Digital wallet keeps track of the expenditure. All transactions are recorded. It is very easy for a person to acknowledge their spending. It could also help in filing Income Tax returns as it's easier to track the money spent on goods and services because of the availability of record.

3. Less Risky
Mobile payment apps are less risky. There is a chance that the cash could be stolen or dropped, but the digital payment applications could be accessed from nearly any gadget with an internet connection. The key is to store the login information secure and keep changing the password occasionally.

4. One Stop Payment Solution
Digital payment applications provide a user-friendly interface for the payment of all utility bills. This application enables the user to pay electricity, telephone, gas bills very conveniently. People who use these apps are no longer required to stand in long queues and waste energy and time to make payments.
 
5. Discounts & Coupons
There are many rewards and discounts offered by different digital wallets to promote their interface. They provide cash back and regular users get other coupons and gift vouchers as well. There are chances that the user might get back the amount they paid for goods and services as well.