Not to be outdone, outmoded: The practicality of credit cards
Credit cards are predicted to have more functions, features in the future.
Financial analysts and consultants have predicted that credit cards will be used in ways we could not have thought of decades ago.
3 ways credit cards will be used in the future
Digital wallets may be the future of financial transactions but they will not eclipse credit cards – just yet. It is entirely possible that we will go cashless soon but it is a fact that most people are not prepared to embrace digital technology to do all their business and money transactions.
Aside from settling cashless transactions in online shops' payment gateways, there are other reasons why credit cards will be here for a long time. Here are the three most likely ways people will be using credit cards in the future based on the predictions of financial experts.
1. Travel payments
In most countries, a type of reusable card is used as a ticket for paying for subway fare. Experts predict that credit cards will be integrated into most public transport systems to enable commuters to pay for toll fees and even taxi fare. This integration will also work for air and sea travel where travelers may use their credit cards in lieu of travel tickets.
2. Card-to-card payments
Experts also predict that credit card holders in the future will be able to transfer funds or credit to each other. Instead of paying cash to reimburse your friends after, say, you have asked them to buy you something, you can simply use your credit card to pay them, similar to a merchant account with a virtual terminal. The payment you make goes into their credit card account. This innovation is predicted to work in the cardholders’ favor.
3. Digital ID
For now, credit cards make use of digital information to verify an account holder’s identity. With new technology, credit cards will be able to store even more data that can have many uses. For instance, they can be used as digital identification cards just like one’s passport or driver’s license but with a more secure verification system.
With these predictions, credit cardholders will probably not outgrow the practical uses of ‘plastic money.’