Settlements between enterprises using non-cash money have been carried out for a long time. You will not be surprised at the fact that it takes only a few minutes to transfer a huge amount to another city or country. It is also encouraging that there is a growing tendency for such a convenient form of settlement to enter the life of an ordinary person more and more densely.
A huge number of people make purchases for non-cash money. This includes household payments (for utilities, mobile communications, the Internet), and payment through the terminal for goods in stores, and transfers for online acquisitions.
Unfortunately, many use some form of cashless payments. People simply do not know that there are many. And other methods can be much more convenient, economical, faster. This applies to both ordinary people and owners of large and small businesses.
In order to make the use of non-cash money as efficient as possible, you should familiarize yourself with the existing types of settlements, features of operations, advantages and disadvantages of their use. This will help many to choose for themselves the best way to make payments. And especially cautious and distrustful people who still use only cash can reconsider their views.
Cashless Functions: Functions
The use of banknotes when paying for goods and services is often inconvenient. The purpose of non-cash money is the partial or complete replacement of banknotes in settlements. This functional orientation is quite significant for the economy:
- the turnover of funds is accelerated;
- the number of banknotes in circulation is reduced, which leads to lower costs.
Essence
Non-cash money is an appropriation existing in the form of records in various accounts (electronic, savings, card, credit). The essence of their use is that when calculating banknotes are not transferred from one person to another. The payment is accompanied by a note on the transfer of funds.
Residues resulting from the operation must be recorded. The number on the account from which they paid is getting smaller. The recipient of funds, on the contrary, increases.
Features
There is a distinctive feature that is characteristic of all payments that use non-cash money. This is participation in the transaction not only of the payer and the recipient, but also of a third party. It is a financial institution. It is she who makes all the records of the operation, fixes the turnover and balances on the accounts.
If the counterparty’s non-cash money has left one financial institution and arrived at another, then each of them keeps records for its client. Four parties are already taking part in such a deal.
Settlement forms for business
Non-cash money is transferred from one client to another in various ways. Legal entities and entrepreneurs for settlements between themselves most often use:
- Checks
- payment orders or requirements;
- letters of credit;
- collection orders.
A convenient form is chosen at the discretion of the enterprise management. And the document used during the payment has the required details:
- Bank's name;
- Account number;
- codes.
In order to be able to take advantage of such opportunities, the business entity is required to conclude an agreement with the bank.
The representative of the company must come to the financial institution, having with him an identity document and attributes confirming his authority. This is a seal, an order of appointment, or a power of attorney.
What is more convenient for ordinary people to pay?
For participation in payments (without the use of banknotes) of the population there is a very effective tool that allows you to quickly transfer non-cash money. This is a bank card. Most often it is used:
- for crediting salaries, pensions, scholarships, social benefits;
- for settlements of people in stores through special terminals or the Internet system;
- to pay off charges for utilities, mobile communications.
A payment card can be used not only with its direct presentation. Almost all financial institutions have an online banking system. Any client with a current or card account can register in it. This makes it possible:
- at a convenient time, independently control the circulation of non-cash money, their balances;
- make payments online using a computer, tablet, phone.
In order to become a bank customer, you need to conclude an agreement with him. For this, a person needs to come in person and have a passport with him.
E-wallets
In addition to using Internet banking, there are other alternative payment options. They feature electronic types of non-cash money. The most popular and proven (and therefore reliable) systems are:
- "Yandex money";
- WebMoney;
- PayPal
- Qiwi.
In order to be able to conduct non-cash transactions, it is necessary to register in any of them and create an electronic wallet. This is done through the Internet.
Electronic non-cash funds can not only transfer and withdraw, but also receive. The location of a person or his citizenship does not affect the possibility of opening a wallet.
Electronic payment systems have very high levels of protection. However, when registering a wallet, experts still recommend:
- preinstall a reliable antivirus program on a computer or gadget;
- Use a complex password
- pass identification;
- carefully read the rules for using the service.
These simple steps will help to avoid difficulties in working with the system and make the electronic wallet inaccessible to scammers.
Benefits of Cashless Payments
Some conservative people continue to make payments only with banknotes, claiming that it is more convenient for them. However, the benefits of cashless money are undeniable.
- Cash flow is controlled by a financial institution. This minimizes the risks associated with counterparty fraud. Allows you to easily restore lost documentation.
- The costs associated with storing and accounting for cash are reduced. At the enterprises, the position of cashier is abolished. After all, a small fraction remaining from his duties can be performed by any accountant.
- Cashless funds are transferred very quickly. Another city or country is not an obstacle to settlements.
- Financial institutions provide the opportunity to open accounts not only in national currency.
For a simple person, a huge plus of non-cash money is the lack of the need to store it at home. This allows you not to be afraid of theft.
disadvantages
When using non-cash funds, you can identify some inconvenience:
- unlike banknotes, virtual money is not always possible to give;
- a financial institution may charge a fee for banking operations and cashing out of funds;
- for the use of card and current accounts, a monthly fee is often set;
- when buying currency for non-cash money, a more unfavorable rate for the client is established;
- problems with bank liquidity may affect the establishment of limits on turnover and withdrawal of money.
Sometimes there are inconveniences that depend not on the bank. For example, it may not be possible to pay through a terminal in a market or outlet.
When choosing a convenient cashless payment system, everyone weighs the importance and advantages of the product offered for use. However, the recommendations of the experts agree on one thing - you need to open accounts and transfer non-cash money only in trusted and reliable financial institutions.