I remember the first time I was able to use my debit card at a drive-through. It was about 20 years ago, and I was getting lunch at Wendy’s when the cashier said: “Cash or credit?”
At the time, it was almost unheard of to use a debit card in regular places. But now, it’s cash that’s an almost unheard of method of payment.
Consumer Credit took a survey to see if respondents used cash or cards, and 80% of the respondents said they used cards.
We’re increasingly moving toward becoming a cashless society. When I looked into my wallet this morning, I had $2 and some change. This isn't even enough to get a cup of coffee.
But I also have my Visa card, which means that I don’t need cash at all.
The last time I got cash out? I think it was about three months ago when I was buying Girl Scout Cookies.
The last time I used my Visa? Yesterday, and the day before that, and the day before that…
With distrust of central banks and governments at all-time highs, people are looking toward other forms of money. And this could mean electronic currency like Bitcoin.
People are turning to Bitcoin as a safe investment when their own currency is floundering, and Bitcoin has certainly had a spectacular year:
Bitcoin is currently sitting at $1,572.70.
The thing about Bitcoin? It’s unregulated but also electronic, so it fits in perfectly with the idea of a cashless world.
Many places are in on the Bitcoin fervor, from Asian countries like India, Japan, and China to Australia and the U.S.
The Indian government suddenly withdrew the country’s 500 and 1,000 rupee bills from circulation. Now, bitcoin is experiencing a knee-jerk reaction among citizens concerned about their financial integrity.
At the time, Bitcoin in India was trading at 13% more than the average Bitcoin price. Many analysts didn’t think that the trend would last. But as you can see, Bitcoin isn’t slowing down.
India isn't the only country that’s heading toward a cashless society. According to Bitcoin's Website:
Meanwhile, further war-on-cash-style noises have come from Australia, a country now toying with the concept of eliminating cash altogether within just eight years… At the same time, Citibank announced that it would go "cashless" at some of its Australian branches.
In February, Cointelegraph wrote:
The resilience of the Chinese market and the development of the Japanese Bitcoin exchange market, that has transformed into a global powerhouse over the past few months.
Just a few months ago, Japan overtook both the U.S. and Chinese Bitcoin markets and became the largest Bitcoin exchange in the world.
Of course, you could go cashless without using Bitcoin...
From Bitcoin to Cards
We all can’t buy into Bitcoin. I get that.
But there is something you use every day that you’re probably not capitalizing on: your credit and debit cards.
According to Business Insider, credit card debt hit record levels in December of last year:
Americans are piling on credit card debt at record levels that we haven't seen since the financial crisis.
Households added $21.9 billion in credit card debt in the third quarter — the largest increase for that period since 2007 — bringing the amount of outstanding credit card debt to $927.1 billion.
This the biggest increase in nearly 10 years.
And it's a growth industry as consumers and stores are giving up cash and moving to electronic forms. Airlines won’t take cash for drinks anymore. Sweden, India, and Kenya have almost removed cash from circulation entirely.
This is why now is the time to invest in a stock that has jumped 800% in 10 years — a stock with almost unlimited potential...
Visa (NYSE: V)
Every time someone swipes a Visa card, Visa gets a cut. And if you were to invest in Visa, you'd get a cut, too.
In 2016, there were 453 million credit card accounts open in the U.S. Visa’s service and segments are expected to grow by 17% in 2017. Visa's first-quarter report showed that its data-processing units grew revenue by 28%. Profit margins were the highest in the industry at 40% in 2016, and international transactions expanded 44% to $1.5 billion.
Visa is the world leader in electronic payments. It processes about half of all credit card transactions and an even higher percentage of debit card transactions. Visa will benefit as this trend spreads. It is also the back office for new digital formats created by Apple and Alphabet.
Visa is up 800% over the past 10 years. So, it’s time to get in on this and start making money.