Answer to Question #254738 in Microeconomics for Chethan Gowda

Question

Do we need cashless transaction? What are the modes of cashless transaction

Answer 1

Cashless Transaction refer to a movement of funds electronically from one component to another. We need cashless transaction because it has a lower risk and one can track spending.

The modes of cashless transaction include payments made using credit or debit cards, cheques, Demand Draft and Inter Bank Electronic Fund Transfer.