Debit is quickly replacing cash in Canada
April 02, 2013

It seems "out with old, in with the new" is the public opinion of Canadian consumers. The cash market is growing smaller and debit card usage is on the rise, The Globe and Mail reports.

Avinash Chidambaram, director of mobile programs at debit card services company Interac Association, asserts that Canadian shoppers are increasingly going to debit cards as their primary way to pay.

"Canadians tend to pull out their debit cards and they do it more frequently than, frankly, all the payment types combined," Chidambaram told the news source. "Now they are starting to make purchase decisions using their smartphones when they are in a store, and the natural evolution of that is they want to be able to use that smartphone to actually make that purchase."

According to Chidambaram, debit is particularly popular for making small purchases, such as liquor, gasoline and food snacks. Even when cash isn't counted, debit currently accounts for 56 percent of payment transactions in Canada.

Because debit usage is so prominent in the country, it's critical that local businesses offer patrons some way to pay with their cards. Mobile payments is one such solution to this challenge. By implementing Sage Mobile Payments, companies can convert their smartphones into point-of-sale systems that accept debit card payments.

Many organizations across the globe are beginning to turn to mobile solutions to improve their payment processing capabilities. Whether they opt for hardware accessories or contactless systems, mobile payments bring a tremendous amount of value to any business by greatly improving the checkout process.

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