Saturday, October 10, 2009

Cash and crime

Computer Sweden writes - inspired by frequent high profile robberies - that cash is an invitation to crime. Legislators, banks and retailers are to blame for having failed to eliminate cash usage - despite cards having been around for 30 years on a large scale.

Not only are piles of cash inviting robbers - it is also the enabler of drug trade, prostitution, illegal gaming, etc. Without cash these activities would have a hard time.

I would add that EU has presented figures where cash handling adds 50bn€ costs mainly to merchants every year. Consumers pay every cent of this totally unproductive counting, protection and transportation work. Silly practis to de-electronise bank balanaces by withdrawing cash and re-electronizing it soon again back to another bank account. Furthermore the CO2 quantities added and  congestions caused by the daily parades of armored cars are major.

Naturally there can be some privacy issues - but these can be solved at minor cost - especially compared to the cost of crime. Now is the time for action.

The story concludes by encouraging new signs: "We do not accept cash." The technology is certainly ready for it.


Citizen Dave said...

"Computer Sweden writes "

Is there a link to this somewhere Bo?

BoHarald said...

Lead article from 25.9 - in Swedish - could not locate it on the the net - but have the paper.

Janne said...

It will be interesting to see how much the use of cash will increase after the new directive allowing the merchants to charge the card costs from the consumers will be in force next year...

Of course, as handling cash has higher cost they might not even start charging the the consumers at all for the use of debit cards. As a consumer I would really hope this happens, as I don't want to start using cash again but I'm neither willing to pay a premium to pay with card.

BoHarald said...

Would be important for always alert, critical and analytic media to tell the story - the consumers pay every cent - also unnecessary costs - and therefor it should be transparent - cash payments should be charged for separately...not card payments.

Think of all the costs for protecting against and suffer from:
- robberies
- counterfeit
- illegal activities from drug dealing to black labour markets
and cost for
- printing and reprinting
- counting
- transporting- in and out of central banks - same procedure every day..

crazy to not have a proper program against this...