The New Money


I recently read an article in the November, 2016 “True Wealth” newsletter that predicted the end of credit cards and cash as we know it. It was way above my pay grade, so I asked someone with a lot more knowledge about these things to review it and give me an opinion. This young man told us that the article was right on target, so I am going to try to give you highlights for you to ponder. The prediction is that within five years, we will not be carrying wallets, cash or credit cards. All we will need is a cell phone. We will use the phone to pay for almost everything.

The article implies, and my expert agrees, that paying with our phone is safer than using credit cards (even those with the chip) because you avoid giving out your name or credit card number to whomever you are paying. A process called “tokenization” has evolved where a one-time use number, or token, is created; your name and number is never seen, so they can’t be stolen. Using the phone may also be less time consuming. Before you protest too much, know that every time you swipe your credit card or type it online, you risk getting hacked. When you walk through a fast food restaurant, a department store, an airport terminal or any place where more than a few are gathered together, your credit cards info can be stolen by “scanning” devices that are almost impossible to detect. Eliminating the card and using your phone will remove that risk, at least until someone comes up with another way to steal information.

The author of this piece related that he had taken a trip to China this past summer and observed that use of the phone to pay for transactions was well entrenched in that country. They disdain using cash and traditional credit cards are the exception rather than the rule. He believes that the Chinese are three years ahead of us in this new technology. So, if this is the future, how the heck does it work? For what it’s worth, I have seen some young adults use the phone and it does look easy. They just “swipe” their cell phone over the credit card reader and the transaction is done. The phone says you paid and the receipt appears on your screen. Done deal! Sounds too easy, too good to be true. It is still Greek to me, so I am asking my college-age consultant to make a presentation to me and my associates so that we can enter into the modern age and become more secure in our financial transactions. I will let you know how it goes.

This new way of doing things just reminds me that God will never let me stop learning. There is way too much that He has and is creating every second, every minute. This is not a God who is finished with His work, who has done all He is going to do. With constant change come constant opportunities for us to improve our lives and the lives of those around us. As we prepare for the birthday of our Lord, maybe we can reflect on the blessings we have received and will continue to receive. From Philippians 4, “Rejoice in the Lord always. Whatever is true, whatever is noble, whatever is right, whatever is pure, whatever is lovely, whatever is admirable-if anything is excellent and praiseworthy-think about such things. Whatever you have learned or received or heard from me, or seen in me-put it into practice. And the God of Peace be with you.”

Although this information has been gathered from sources believed to be reliable, it cannot be guaranteed. This material is intended for informational purposes only and should not be construed or acted upon as individualized tax, legal or investment advice. FSC Securities Corporation does not offer tax or legal advice. The views expressed are not necessarily the opinion of FSC Securities Corporation. Financial Solutions Group is a marketing name. Financial Solutions Group is located at 128 Versailles Blvd, Alexandria, LA 71301. We can be reached at (318) 448- 3201. Securities, insurance and advisory services offered through FSC Securities Corporation, member FINRA/SIPC.