Merits And Demerits Of Online Transactions

It seems almost impossible to imagine our lives without online transactions. If we go shopping or for lunch or dinner we see people around us making online transactions to the merchants or transferring money from their bank account to some other bank account.

From the era of sending money orders to making digital payments, our world has changed drastically. This change has made our lives easy and convenient. In the old times if someone had to send money to his family or friends there was the single most popular option of money transfer i.e. “money order”. And it was taking almost 4 to 5 days to reach the receiver’s end. But now no we can send money anywhere in any corner of the world digitally within a few minutes. This change comes up with both advantages and disadvantages like every other change which has advantages and disadvantages of its own.

Online transactions make it possible to do cashless transactions for services and products through cards, cell phones, or the internet. The fundamental benefits of utilizing online transactions are cost and time-saving. Expanded scope of sales and reduction of labor costs. The advantages and disadvantages of online transactions are as follows:

Merits of online transactions.
● Online transactions are easy to use and are really quick and efficient. All you need to do is just put your details and the rest will be done by the internet and web servers.
● These transactions are very efficient and have a good response time.
● This is the best option for those who are looking for online shopping.
● You can look for anything on the internet and buy it, these payment service provider applications support almost every kind of server.

Demerits of online transactions.
● Sometimes it happens with millions of requests at the same time and it becomes difficult to handle those all and hence the server gets down. Which results in difficulty to make any online transaction.
● During online shopping, if a server gets down for even a second so many e-transactions are affected by it which leads to an impact on the reputation of the organization. Shoppers easily fall into the assumption that there is something fraudulent with this purchase.
● Information like account numbers and other details about the users are stored in the servers and hence it becomes a threat to the security of the servers being hacked.