The future of money

[crimsoncat]

Ever since the credit card/debit card/online-banking craze started there has been talk that someday, paper and metal money may no longer be needed.

Paper money provides the security of "pocket protection", that is, if it was in your pocket and it's not now, somebody stole it. It is the most widely accepted form of currency, and part of the world's traditions.

However, paper and coin money is heavy to carry in large amounts, slows pay processes down by virtue of change, is pretty much untraceable if stolen, and, at least the paper part, is often destroyed by a trip through the washer. Since it is limited by how much you carry thefts of cash tend to be lower in amount than identity theft. Also, there is a much lower chance of going into unknown debt or unwittingly over spending because the money must be physically present to pay for the object.

Electronic money is traceable, and cannot be destroyed by a washer/dryer mishap because it is not physically there. It is lighter and convenient, requiring only a card and a signature. It also provides a pretty much unlimited amount of money for an situation.

However, hackers and identity thevies can steal electronic money. Since electronic money is mostly unlimited, identity thieves get away with more money then the conventional purse-snatchers. Not every store accepts credit cards or debit cards either. Also, since it is not physically there, people can overspend without knowing and be charged a fee by their bank for overdrawing their account or end up in serious debt later.

Which form of money do you think is better and why?

[KitsuneNoKoi]

I have to go with paper money and coins on this one.
I can see the benefits of electric money,but paper also has it's advantages.Could kids carry a debit card around?I mean...that's a bit absurd.Let's face it,kids aren't very responsible and an atm or debit card is a BIG responsibility.It wouldn't be fair if only adults had money,and a dollar bill only costs 1.4 cents to produce.There are ways to protect your money and if we all used electric currencies,I bet there would be multiple people hacking into accounts.It'd be a bit more complicated as well.

[unloved_forever]

As much as I like online shopping/banking and debit cards, I'm going to have to go with paper money.

Is it really realistic to give a small child a debit card?
Think how many more people would get mugged for their 'money'.
If someone wants to mug a child for their money, they have no idea how muc they are carrying with them so they think is it really worth it.
If every child was carrying a debit card around, they would be carrying all the money they own around with them. It could be hundreds of pounds/dollars for most children who have their money in savers accounts.
And what about those who don't have computers.

[~[{Gaara*s}{Girl}]~]

I'd have to say 'other', but that's not an option. Staying abreast of some technological developements, I've heard from CNet that it has been rumored that cell phones will one day be equipped with something that enables them to act as credit cards, on top of everything else. I think this'd be safer...everyone has their cell phone with them anyways, and mostly everyone is careful with them [no, this is not in reference to Gwen's post. If any offense is taken, I'm sorry.]. Young children should be given [I]simple phones, ones like the vMigo [I think] that only allow them to make calls to pre-programmed numbers [Mom and dad, I do believe]. However, if young children were making purchases, I'd be a little worried.

[elizaTrickster]

I too would say other if it where an option. I'd much rather not have money at all and rely on a system of trade. ^.^

You know, skill for skill? Good for good? It just seems like a much cooler system.

I understand it's also completly unreasonable in America and most 'modern' countries, but there still are vendors that function on th barter system. :D