Plastic money Essay

Plastic currency is a term that is characterd predominantly in reference to the hard elastic cards we hire every day in place of actual hope nones. They can come in umteen different forms such as cash cards, assurance cards, debit cards, pre-paid cash cards and livestock cards. ingressA slang phrase for credit cards, especially when such cards used to make purchases. The plastic portion of this term refers to the plastic construction of credit cards, as opposed to paper and metal of currency. The silver portion is an erroneous reference to credit cards as a form of notes, which they ar not. Although credit cards do facilitate transactions, because they are a liability rather than an asset, they are not money and not part of the economys money supply.Plastic money is the alternative of cash or the standard money. Plastic money is used to refer to the credit cards, debit cards that we use to make purchases in our everyday life. Plastic money is much more convenient to car ry roughly as you do not piddle to carry a huge some of money with you. It is as well as much safer to carry it along or to travel with it as if it is stolen one can consult the bank whose service you are using and get it blocked hence saving your money from getting stolen or even lost.Plastic money or polymer money, made out of plastic, is a new and easier way of paying for goods and services. Plastic money was introduced in the 1950s and is now an essential form of ready money which reduces the gamble of handling a huge amount of cash. It includes debit cards, ATMs, smart cards, etc.Nowadays even growing countries like India are encouraging the use of this plastic money more than cash due to these reasons. moreover these credit and debit cards also have plastic used in their making and that is where the separate plastic money has originated from. AnonymousIn todays materialistic world, every one is discharge behind money or you can say that the whole world is running behin d money. In addition, these days, things have become costlier and with out hard cash it is difficult to make every outright purchase, if you are an impulsive buyer. Nevertheless, with Plastic Money, i.e. Payment card, you can do it without carrying any money on you. on that point is no burden of carrying a bunch of notes, no fear of loosing or forgetting the wallet at home. grateful to the age of Plastic Money.Different Types of Plastic Money.Cash card A card that provide allow for you to withdraw money directly from your bank via an Authorized Teller Machine (ATM) but it leave behind not allow the holder to purchase anything directly with it.Credit Cards Again this card pull up stakes permit the card holder to withdraw cash from an ATM, and a credit card will allow the exploiter to purchase goods and services directly, but unlike a Cash Card the money is fundamentally a high interest loan to the card holder, although the card holder can avoid any interest charges by payi ng the balance off in full each month.Debit Cards This type of card will directly debit money from your bank account, and can directly be used to purchase goods and services. While there is no official credit facility with debit cards per se, as it is linked to the bank account the limit is the limit of what is in the account, for instance if an overdraft facility is acquirable then the limit will be the extent of the overdraft.Pre-paid Cash Cards As the name suggests the user will add credit to the card themselves, and will not exceed that amount. These are usually re-useable in that they can be topped up however some cards, usually marketed as Gift Cards are not re-useable and once the credit has been spent they are disposed of.Store Cards These are similar in concept to the Credit Card model, in that the idea is to purchase something in store and be billed for it at the end of the month. These cards can be charged at a very high interest rate and can are limited in the places they can be used, sometimes as far as only the store brand that issued it.AdvantagesYou dont have to carry cash.You can have your jobs check directly deposited into the bank. You can buy what you necessitate without having the money right then to buy the item as long as you do not go over the cards limit. In unexpected financial emergencies, cards can be used to pay for what you need. Wise use is beneficial to your credit report.DisadvantagesThey encourage overspendingYou can get in too much debt, leading to filing bankruptcy.Cards often have extra or cabalistic fees and high interest rates. Using credit and debit cards puts you at higher risk of identity element theft than using cash. Cards might be lost.