The benefits of cashless payment processing

Last week the first ATM cash machine in the world, situated in Enfield, London turned 50. As a tribute to the golden anniversary of the ATM, the modern-day Enfield cash machine has been transformed into gold.  It has been reported that in the UK there are currently 70,000 cash machines with 176 million cards that can be used to withdraw cash from them.

The main purpose of ATMs is to draw out cash, but latest developments aim to make the ATM a “bank branch in a box”. Research has shown that 80% of the transactions completed inside a physical branch could be completed through a video teller at an ATM.

Growing alternatives to process payments, using the latest technology, means other uses for ATMs will be necessary in the near future. Sweden is already on the verge of becoming the world’s first cashless society due to the push in technological advances used within the country. According to central bank the Riksbank, cash transactions made up barely 2% of the value of all payments made in Sweden last year.

Could the UK follow Sweden’s footsteps and become the next cashless society? Here are just some of the benefits of becoming a cash free country.

Convenience

It is easier to pay for goods using Chip and PIN or even with a simple tap with your contactless card, eliminating the need to carry cash around with you. If you’re a business owner your customers are more likely to spend more, on higher value items, as they won’t be restricted to the amount of cash they have in their pockets. Handepay conducted a social experiment that saw a popular Manchester high street go cashless for a day. As people could only process payments by card, this encouraged an increase in consumer spending and businesses on the street saw an increase in turnover of 22% on the day. A year later the retailers recognised customers were spending more as a result of the convenience of card payments.

Security

Modern technology, such as fingerprint authentication to process payments is a much more secure way to protect your money as it is almost impossible to replicate. The security of your business will also be increased as there will be less cash held on the premises. It will also be a lot easier to track any illegal transactions, as all transactions will be digitally recorded on your system.

If your business could benefit from processing payments by card, get in touch with one of our advisors today to find out which card machine is right for your business.