Cashless India and Cashless Indians

It’s been more than 30 days now, since demonetization has taken place. But yet, scenes on the road seems to be the same. Though there is a little cut on queues, some places and people are still affected. As this note ban step is regarded as first ruthless action against black money, corruption and counterfeit currencies. Now the Government eyes on the next step that is “Cashless India”.

Is it possible ? Is it feasible? Can this be implemented right away ? Will it take time?

So many questions are rushing through everyone’s mind right now. With the country having literacy rate just at 74.04 %, are we going too fast towards cashless economy?

Well, absolutely no, on the contrary we are reaching slowly there. This should have happened little early. Some people are also raising concerns as to how villagers would be able to do online transactions or use debit and credit cards as they are not literate. 

But I personally feel, literacy has got nothing to do with cashless economy. We just need to create more awareness and share more information with each other and help more people to move towards Digital India.

As we all know, cashless economy will not only save cost of printing money, but also storage, handling cost and transportation cost. More importantly, it will also save time and energy spent on standing in ATM queue or bank queue.

If it has so many benefits, then why people were not using debit card or digital money or plastic money more often. Simply because there was no incentive attached to it. On the other hand they were punished to have used debit cards as they have to pay extra 14.5%  as service tax over and above the payment. Hence, to avoid this, retailers pushed for cash transaction. And this is how willingly or unwillingly black money is created.

After having reviewed the situation for the last 30 days, The Government of India has come up with some reliefs and remedies for common people.Government took a little shift in the policy. It has decided to respect, reward and provide more incentives to encourage cashless transactions or use of digital wallets.

Here are some of the important announcements came from Finance Minister “Arun Jaitley”.

        

1.    Discount of 0.75% on petrol and diesel, if payment is done through digital  money.
2.  No cess on cashless payment less than 2000:- No service tax will be charged on digital transactions upto Rs 2000.
3. 2 POS machines in Villages: - Government will provide 2 point of sale machines (POS) to 1lakh villages, which has a population up to 10000 through their financial inclusion fund. These machines will be deployed at primary co-operative societies, milk societies and agricultural input dealers to facilitate agri-related transactions through digital money. This step will cover nearly 75 crore of population in villages to transact through digital money.
4. Rupay Kisan Card :- With the help of NABARD, Government will support Rural Regional Banks and Cooperative Banks to issue “Rupay Kisan Cards to 4.32 crore farmers holding Kisan Credit Card to ensure and empower them to make digital transactions at POS machines or ATMs.
5.  Free accidental insurance upto 10 Lakh: - Nearly 58% of people who travel by train ,buy tickets online and here is good news for them. All railway passengers will get accidental insurance cover up to Rs 10 lakh ONLY if they buy tickets online.
6. More discount for railway passengers: - All the passengers travelling through rail transport do get services like catering, accommodation, retiring rooms etc. And everyone who pays for these services digitally will get 5 per cent discount.
7.      Incentive for policies sold online: - if you buy your policy from customer portal and pay online or by digital mode directly and not by cash. Public sector insurance companies will provide discount of 10 % in case of general insurance and 8 % in case of life insurance for new policies.
8.       Transaction fee waived off on digital payments :- Government departments and PSUs will bear transaction fee/MDR charges for the payment done through digital means and it will not be passed on to consumers. State Governments are being advised  that it should also consider to absorb transaction fee/MDR charges related to digital payments and same should not be passed to consumers.
9.      10% discount on card payments: - People using RFID cards and Fast tags at Toll Plazas on National Highways will fetch 10 % discount.
10.          Benefits of buying railway tickets online: - Near about 80 Lakh railway passengers use seasonal or monthly ticket on suburban railway. This expenditure amounts to Rs 2000 crore per year, which is largely in cash. From January 1, 2017 railway through its sub urban network shall provide discount up to 0.5 percent to passengers using digital means to make payments  for monthly or sesonal tickets.    

       After having read these benefits, it seems that Government want to play on front foot. And by all means it wishes to promote digital transactions. Some figures explained by Finance Minister Arun Jaitley indicates that switchover is visible and they wish to speed up the process. On the account of this, “Cashless India” is slogan for the moment going around to rebuild our “Incredible India”. 

           Please do comment what you feel and share this article, if you like it 

5 Tips to get change for new 2000 Rs note

“भाई, क्या आप २००० के छुट्टे दे सकते हो!” 

Change please!

We hear this dialogue on and off on the street now a days. And the person who gets change for 2000 Rs is somehow regarded as “Rich”, who also gets an opportunity to show off his wallet around.

Once you are managed to get 2000 Rs note from ATM, after being in queue for long time. First question that rises in your mind, now how do you I change this note?

We go to every shop, expecting that we may end up getting change for new 2000 Rs note, but still very few are lucky.  We all are witnessing arguments, verbal fights with vendors, auto rickshaw drivers, food joints etc.

Well today, I am going to share with you all some of logical tricks, which will help you get change.

After all, “Change” is what we all need.

Tip number 1

·      

•   Bus Depot - Yes, you heard it right. Bus Depot is first zone, where you can look for change.  Our bus conductors are very reliable and helpful in such a crisis situation. Now , when  should  I ask for change ? Timing the situation is very important. Do you feel that they can give you  change in day time, well probability is close to zero. Hence, Visit Bus Depot or approach  conductors in night, when it’s closing time. May be at 9 pm or when they are about to submit  their cash at the depot.

Tip Number 2

• Office cafeteria – Office Canteens are second easily accessible option to get change. Again, timing is very important. This is place, which deals in heavy cash. Approach the one whom you know personally. When shift changes, cash counter guy tend to submit it to other person and tally the transaction.Chances are high that you will get change.

Tip Number 3

• Ice Cream Parlour-  I personally used this option and guess what ? Operation successful. I went to an ice cream parlour (vendor) at about 11.30 pm with my 2000 Rs note. I told  him, ‘I wish to have an ice cream but unfortunately, “I don’t have a change.” With his polite gesture, he asked me to wait for 10 minutes and finally handed over me 1980 Rs. Now you must be thinking, why did he give me 20 Rs less ?. Well of course, I bought ice cream for 20 Rs as a token for appreciation.

Tip Number 4

•      Public Parking lot – We all know, we have spaces near station, where people park their bikes and commute through trains. We know, bikes parked in public parking lot are huge in number. Hence, this is my fourth recommendation. One of friend tried this option and it was quite successful.

Tip Number 5   

•      Departmental stores – ·   Again I personally tried this option, I went to Star Mart and bought something to eat worth 200 Rs and gave him 2000 Rs note. I just dropped in few minutes before they close down, it was at about 10 pm. I was fortunate enough to get change.

Let me share some more important points to be remembered 

•          Exercise above mentioned tips during night hours to get favorable results.
•          Once you get change, share some money with your family for the next 30 days.
•          Use debit card, paytm wallet, wherever possible to save on cash.
•          Use 100 Rs note to buy vegetables, Pani Puri and vadapav. Help these vendors to survive in such a crisis situation.
•        Keep the money flowing, don’t stock it up. It will help to avoid cash crunch
• Finally share these tips with your family members and friends and share this article if you liked it. Also do comment your stories, how did you manage to get change ?

“Because Change is what we all need.”

Demonetization effects

Demonetization 

Will Demonetization solve the issues ? Is it really worth to demonetize currencies, what will be demonetization effects on common people ?.

I have listed four advantages, it will bring to common man's life.

Well we all are aware about what is going on, in our country these days. ATM's not working at par, Bank employees are overloaded with work; people are standing in queue day and night, some are happy and some are sad. Some carrying their water bottle and lunch with them, just to get their money exchanged at Bank counter. 

And we all know why?

500 and 1000 rupees currency banned (demonetized) by Indian Government or rather we can say MODI Government AKA "MODI SARKAR".

It all started on 8^th November, 2016 @ 8 pm. When our respected Prime Minister Shri. Narendra Modi announced that after 12 o’clock from today 500 and 1000 rupees note will not be a legal tender. And soon after an announcement, people started queuing up at ATM centers, at petrol pumps and some at ration shops to fill up the stocks for the next 6 months suspecting that things are going to turn nasty.

Some of us are supporting this move of Modi Sarkar, whereas as some of us opposing it. We have also witnessed that some political parties have strongly opposed this move. It includes almost all the opposition parties in the parliament. Though we all are still in dilemma about what lies in future.

Let us see 4 major advantages; this move will bring to common man.

1)    Hit on Terrorist Activities :-

                Historically India has been a victim of terror, be it 26/11 Mumbai Terror Attack where almost 166 persons died and around 293 were injured including Indian and foreigners both. 12^th March 1993 Mumbai Serial Bomb blast where 256 people died and more than 600 were injured or be it Delhi Serial Bomb blast which took place in October 2005, Jaipur Blast 2008, Mumbai Train Blast 2006. Whenever we recall these memories, our eyes flood with tears.

                With this move of the government, it has ensured that terror funding is broken down completely. Any activity needs financial support and if that is withdrawn, the rest collapses with ease. Now the funds available with terrorist organizations are mere piece of paper. It’s wise to fight terrorism at the back end rather than on front end.

It should be “Financial War” NOT a “World War”.

2)  Low Lending rate:-

                 People are queuing up at bank branches to deposit their money, which is of course NOT “Black Money”. It could be their monthly savings for emergencies or money kept for  day to day transactions, but this figure is huge. It could be between 6 to 8 lac crore. And as per simple demand and supply rule, more the money with the bank, more they can lend and simply lend at a lower rate. As supply will exceed demand for money. 

                The most important event in common people’s life is buying a home and it will certainly come true with this move, more importantly they don’t need to pay in black-white percentage. All other loans will also get cheaper and eventually inflation will come under control. Well this is not going to happen overnight. It will take time but it will happen. We just need to be more patient.

3)  More employment opportunities :-

                    Surprised!! How? Let me elaborate, too many scams have spoiled India’s global image, due to which international investors were reluctant to see India as an investor’s paradise, but with this action it will restore it.

                     Hence more money will flow to India in near future. More money = more investment. More investment will create more job opportunities for youngsters. This move has sent a strong message in the world that India is no more tolerant towards scams and black money. 

4)  Improved Infrastructure facilities & benefits to common man :-

                  People tend to avoid paying tax and create black money. In simple words, “Black Money” is unaccounted money, something which has no records. Source cannot be detected. This step will close almost all loopholes in tax evasion process and eventually government will have more money to spend on infrastructure and will be able to provide various govt. schemes benefits to the account holders. Before arriving at this decision, our Prime Minister started a scheme “Jan-dhan yojana” under which less privileged people brought into mainstream by opening their bank account.  Financial inclusion of these people ensured that they have access to banking and other financial services. And this is how unbanked and unaccounted money came into economy to give it more boosts.

Lastly this is a courageous decision made by Modi Sarkar. In spite of allegations and chaos, people are patiently standing in queues for their own money, keeping in mind that this pain is going to reward them in near Future.