Question

should the cashless debit card (the card used as a means of distributing welfare payments) be applied or implemented to all the recipients of government payments, like students, pensioners? please explain

Answer 1

The cashless welfare debit cards used for the purpose of providing certain subsidies to government recipients has certain limitations and advantages .

Limitations :

1) There are a selected or limited number of approved sellers who accept payments using these cards. In order to increase the coverage to all government recipients , it is important to increase the number of sellers who accept the payment through it.

2) Secondly not all stores accept cashless payments , so this creates a restriction on what could be bought through the cashless cards . This is an extension of the above limitation.

Advantages

One of the major advantages of the cashless cards by government is that these could not be used in purposes like buying alcohol or gambling. It is necessary that an increased subsidy or benefit by government should reach the appropriate requirement and necessity and should not be wasted in activities like gambling which is a plus of this card ie the resources are being utilised in the right direction.

So before completely applying these cards on all the government recipients, the government should weigh the pros and cons of the usage.

(you can comment for doubts )