Visa Inc (V) Is Challenging Small Businesses to Go Cashless

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Visa Inc (NYSE:V) is looking to get rid of cash as a form of payment for several dozen businesses by offering them an incentive.

Visa Inc (V)The initiative is called Visa’s Cashless Challenge and it encourages 50 small businesses, restaurants, cafes and food trucks around the country to stop accepting cash as a form of payment and shift towards only allowing digital payments. The incentive is in the form of $10,000 per party.

The credit card company said that it will be starting the challenge with these businesses before expanding to more businesses across the U.S. and around the globe. Visa’s Cashless Challenge will also be in place in other countries over the coming years.

“Visa is helping lead the “cashless culture” movement, by working to reshape how people pay and get paid,” the company said in a statement. “We want you to join us!”

The digital payment services provider added that cashless charges are safer for your business as it makes it more difficult to be robbed, plus it decreases the chances of a business’ earnings to be misplaced.

Naturally, Visa’s Cashless Challenge is a revenue-driven initiative as it will force more consumers to pay with credit cards, netting Visa a small percentage of each transaction completed with one of its cards.

The company unveiled several showcases that displayed the benefits of paying without cash, including an Indian man’s 200-day cashless experience. He noted that some of the challenges of going completely cashless, such as the fact that street vendors have no incentive to go cashless at the moment due to the high cost of a device and its digital payment services solution.

V stock surged 0.9% Wednesday.


Article printed from InvestorPlace Media, https://investorplace.com/2017/07/visa-inc-v-cashless/.

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