FACTORS AFFECTING THE ADOPTION OF CASHLESS TRANSACTION IN INDIA: AN EMPIRICAL STUDY

Abstract

The introduction of mobile wallets and online payment options has changed the process of receiving as well as making payments. Due to continuous change in technologies and government policies, various types of mode of payments developed. Cash less economy is the Indian economy future in which there is noor less physical cash flow involved. All transactions will be done in virtual world.Credit or debit cards, cheques, e-wallet, transfer of amount through e-banking, mobile wallet are the different modes to make payment digitally.Government is making efforts to make India as Digital India and demonetization was the early step to achieve this objective where plastic money was used mostly.Government feels that cashless transactions will increase opportunities of employment and foreign investment. It will also decrease robberies related to cash and corruption. Irrespective of benefits of cashless transactions, mixed perception of people was observed for these types of transactions. Some have already adopted, some hesitate, some feel fear of fraud and technologies, some do not trust, and some people are still not aware of cashless transactions.This study will help in understanding the factors that encourage and discourage people in adopting cashless transactions.