[Solved] Which of the following is known as plastic money? (2024)

FAQs

[Solved] Which of the following is known as plastic money? ›

Detailed Solution

Credit cards are known as plastic money.

Among the different types of plastic cards are ATM cards, debit cards, ATM combined debit cards, credit cards, smart cards, charge cards, co-branded cards, add-on cards, and others.

Credit cards are an example of plastic money. They are issued by financial institutions like banks. Plastic money is a convenient substitute for cash or the standard currency. Different forms of plastic money are Credit cards, Debit cards, ATM cards, Prepaid Cash cards, Forex cards, etc.

The phrase “plastic money” was coined in the early 1950s when credit cards were introduced. The cards were made of plastic, which was a new material at the time. Plastic money is also used to describe debit cards and prepaid credit cards. There are pros and cons to using plastic money.

A historical angle

But the invention of 'plastic money' has been the biggest advancement in this evolutionary process. Technology breakthroughs and the demand for more convenient and safe payment options drove a paradigm shift away from physical currency and towards credit and debit cards.

What are polymer banknotes made from? Polymer banknotes are made from synthetic polymer substrates (polypropylene) that consist of chains of joined individual molecules or monomers. The reason to use polymer is that it is strong, printable and suitable for enhanced security features.

Plastic money is your debit or credit card, although it can also refer to the wire transfers of funds from one bank to another.

An alternative polymer of polyethylene fibres marketed as Tyvek by DuPont was developed for use as currency by the American Bank Note Company in the early 1980s.

Made from a thin, translucent, printable plastic, polymer bills offer many solutions to the ills of paper money. In 1988, the Australian government became the first government to issue polymer banknotes, a shift that has now taken hold in over 30 countries around the world.

Thin plastic material called Polymer is used in Currency printing of Australia, New Zealand, Canada, UK and even Vietnam. Since 1988, Australia, the first nation to do so, started printing Currency in thin Polymer material.

What is the conclusion of plastic money? ›

Conclusion. Plastic money made a revolution in the banking industry across the world. It has many advantages compared to paper money, but the convenience of plastic money makes it easy to spend beyond means.

Plastic money refers to the use of plastic cards, usually credit or debit cards, as a medium of exchange instead of physical cash. Credit cards are a common example of plastic money, as they allow users to make purchases without carrying physical currency.

Answer. Plastic money depicts the credit and the debit cards that are so widely associated in today's world. These are easy to carry and convenient to use. Paper money is the traditional notes that people used to carry in the form of cash.

Plastic Money includes things like credit and debit cards.

ATM cards, prepaid cash cards, Credit cards, debit cards, forex cards, and other types of Plastic Money are available.

Option d) credit card and debit card. Premium Cards, Smart Cards, Charged Cards, and ATM cards are also considered as plastic money.

History of Plastic Money

Barclays in London introduced plastic money in 1967. In 1969, Chemical Banks in New York also initiated the use of plastic money. A significant development was the introduction of magnetic stripe cards.

polymer banknote, form of cash currency made from polypropylene, a synthetic resin built up by the polymerization of propylene, that was developed as an alternative to traditional paper banknotes. Polymer banknotes were first widely issued in Australia in 1998 as a tool to prevent counterfeiters from replicating bills.

(b) Cheque is not an example of plastic money.