In a Cashless Society People Use More Credit Cards- IELTS Writing Task 2

In a cashless society, people use more credit cards. What are the advantages and disadvantages of this phenomenon?

Outline

Essay Type

Advantage and Disadvantage Essay

Introduction

(State your opinion)  In my opinion, a cashless society is not a realistic idea. Of course, we can reduce the use of cash but some amount of paper currency will be in circulation at all times.

Body Paragraphs

Paragraph 1: (Discussion of pros) As for the advantages, they increase the purchasing power of people.

Paragraph 2 : (Discussions of cons)  In spite of having numerous benefits of a cashless society, credit cards do have few demerits as well.

Conclusion

Summarize your answers

Sample Essay

Credit cards play a crucial role in our economy by enabling cashless payments. Since they eliminate the need to carry cash in the wallet, they protect the users from the risk of getting robbed. Even so, in my opinion, a cashless society is not a realistic idea. Of course, we can reduce the use of cash, but some amount of paper currency will be in circulation at all times.

As for the advantages, they increase the purchasing power of people. If you have a credit card, you can purchase even if you do not have sufficient cash in your wallet. This ability, however, can be good or bad, depending upon your spending habits. Using credit cards, people can also make payments in emergencies. For example, in a medical emergency like an accident, the patient or their family can use the card to pay for the medical treatment they need. Card payments also allow people to keep track of their spending. Also, since card transactions are permanently recorded, they make it easy for the government to claim the tax. Overall, cashless transactions ensure transparency in society.

Despite having numerous benefits of a cashless society, credit cards do have a few demerits as well. Excess expenditure is one of the primary cons of having a credit card with oneself. Humans are enticed to spend more than what they earn, as they have more availability of credit.  For example, if a person doesn’t pay the credit card bill on time, they must pay extra interest. In addition, if an individual loses their credit card, it can be easily misused by anyone. Apart from that, the interest rates of credit cards are very high, which is not affordable for a middle-class person. For example, if the person doesn’t pay on time, the bank may charge 15 to 20% interest rates as a late penalty.

These cards come with great responsibility and have their benefits and drawbacks. In my opinion, if a person uses credit cards carefully, then they can be an asset to humankind. We, as a user, should always be aware of all the frauds and embezzlement that can happen with them while using cards.

Vocabulary

• Eliminate 

Meaning : completely remove or get rid of (something)
Eg . There is a new policy that would eliminate inflation in the economy.

• Transactions

Meaning : an instance of buying or selling something
Eg. In an ordinary commercial transaction, a delivery date is always provided.

• Misuse 

Meaning : use (something) in the wrong way or for the wrong purpose
Eg. He was found guilty of misusing public funds.

• Embezzlement 

Meaning : theft or misappropriation of funds placed in one’s trust or belonging to one’s employer
Eg. He was found guilty on the charges of fraud and embezzlement.

• Enticed

Meaning : attract or tempt by offering pleasure or advantage.
Eg.  There is a new show which should entice the audience into the theatre.

• Interest

Meaning : money paid regularly at a particular rate for the use of money lent, or for delaying the repayment of a debt
Eg. The monthly rate of interest provided by the local bank is less in comparison to private banks.

• Transparency 

Meaning : the condition of being transparent
Eg. Cashless transactions ensure transparency in society.

• Penalty

Meaning : a punishment imposed for breaking a law, rule, or contract
Eg. The charge issued to him carries a maximum penalty.

• Expenditure 

Meaning : the action of spending funds
Eg . The expenditure of taxpayers’ money was used by the government.

• Credit 

Meaning : an entry recording a sum received, listed on the right-hand side or column of an account.
Eg.  The columns should be added across and down and the total debits should equal the total credits.