We are using digital apps for payments since the pandemic. And that means we make use of those apps for payment. And once the payment is done we get all the data for payment, location, time, person and the payment made for what thing etc. So everything is kind of set in our life and it gets our work done.
Digital apps like say crypto and the fiat based currency to the local shops and the places where we want to spend them. And we use the QR codes or the number of phone to be used for the payment. And this works out for most of the people who want to make instant payments.
So let's talk about how apps can make us spend more.
Take an example, say you are using the crypto wallet. And for that you have downloaded. You can use the details like QR or the address of the crypto to pay another party. And that is where you are going to make the payment easily. This way the payment would reach your account. And that is what the process we are seeking.
Similarly with the venmo or the CBDC payments also require you to follow similar process. And you have to sign up and get the address or accept the address for the payments. I feel the fiat using UPI or the CBDC or the FEDnow payments also follow the similar process. And payments either way reach your wallet too. Which is the case that we are seeking over here as well.
Unlike cash you would find that having discipline to pay online or offline is a bit bigger game. And the thing is that you can't stop yourself from paying and can't even do calculation in head for saving. Most of the time this habit can save you from the expenditure and also save from debt. But savings become harder.
My personal observation is that you spend more with the digital apps. But if you plan and also categorized your expenses you would spend less on things and end up handling digital cash lot easier and better than cash itself.