Rather than using cash, cards, laptops or desktop computers to facilitate transactions, have your bank account(s) linked to your mobile phone so anyone can send and receive money to anyone anywhere in the world, at any time, using the phones existing keypad.

For example, you walk up to a counter to purchase a loaf of bread. The storekeeper scans the bread and the total appears on the cash register. (Nothing different here) You pull out your mobile phone and place it under an infra red transmitter located at the register. An electronic bill is sent to your phone with a message such as:

"Bob's Corner Store" has sent you a 'payment request' for "$3" for "loaf of bread" do you wish to pay? Yes or No. Click Yes (using the existing buttons on your phone).

'Please select an account'. Savings, Checkings, Credit....Select Savings

'Please enter your pin': enter XXXX

'Sending payment'..... 'Sent'

The '$3' from your savings account is sent to Bob's Corner Store's bank account and the bread is paid for. An electronic invoice is sent by Bob's cash register to your phone and your away! You've just eliminated the need for cash, cards, point of sale payment terminals, and paper receipts.

And it gets better. Because you now have an electronic receipt it could be easily uploaded to some kind of 'accounting' software you may have so you can much more easily and accurately keep track of your cash flows (no need to fumble through paper receipts). This feature would be of great advantage to businesses.

Say someone owes you money, and they are on the other side of the world; send them a bill from your phone (just like you would send an sms). They can choose to pay it on the spot, pay later, or decline. No need for you or them to get to a computer, no need to wait until 'Monday morning', no more excuses! (unless they loose their phone)

If this became so widespread as to make cash and cards redundant, the tax office could monitor all the financial tansactions in the economy in real time, much in the same way as police can monitor sms transmissions. Some obvious regulations required here though.

There are many more benefits and some obvious costs (such as software and hardware development for the phones) but on balance it would save the global economy an enormous amount in transactions/processing costs, facilitate economic exchange, and provide a much better system of 'accountability' throughout the world.

What do you think of this idea or comment?
(You can change your vote at any time)

I agree

No opinion

I disagree