SwedenLivingWorld world_2_fill WorldBusiness BusinessSports sports-soccer SportsEntertainmentEntertain

In Sweden, is a cashless society a problem?

Have you, like many others, not handled or seen cash in a long time? Then you're not alone.

» Updated: 02 September 2024, 02:02

» Published: 19 July 2024

In Sweden, is a cashless society a problem?
Photo: Pixabay

In Sweden, things have gone so far that cash has become an unusual means of payment. More and more places where you need to pay no longer accept cash and want you to pay with cards. This applies everywhere, not just in the private sector but also in the public sector.

Why has cash become so unusual?

It's expensive for banks and companies to handle cash and ensure the security of cash payments. Banks are among those driving digital payments the most. Technology has developed, and today it's easy to tap to pay with your card or with your mobile phone that e.g. has Google or Apple Pay installed, and all stores and shops accept cards as a means of payment.

E-identification required

E-identification with BankID is the most used standard for approving payments online in Sweden. People without a functioning BankID are handicapped in daily life. 8.5 million people use BankID in Sweden today, but around 10% of the adult population, mainly the elderly, lack BankID. Since BankID is a commercial product from banks, the government is now investigating the creation of a state-run e-identification [1]

Are there dangers with the cashless society?

As everyone, including the elderly and those with limited digital skills, are forced to pay digitally, criminal activities such as phishing, hacking, and attempts to access BankID have become more common. The problems with the cashless system and its potential to be discriminatory are highlighted in a motion by Torsten Elofsson (KD).

Other risks

If the internet stops working for some reason, it will be difficult to pay for food, medicine, and other necessities [2]. There is a great danger that all payments in society would stop functioning if there are disruptions or outages to the internet.

Although there are great benefits to convenience and it's safer in many cases to skip cash handling, there are also risks, such as the strong dependence on e-identification and the requirement for digital communication to function flawlessly and securely.

SH LifestyleS
By SH LifestyleWrites about topics that can be of interest living in Sweden

More news

Good jobs with good pay that don't require long education

Good jobs with good pay that don't require long education

Why Are Swedish Houses Red?

Why Are Swedish Houses Red?

Black Friday & Week - How Do You Find The Best Deals

Black Friday & Week - How Do You Find The Best Deals

What is Swedish Filmjölk?

What is Swedish Filmjölk?

7 Difficult Swedish Idioms And Expressions

7 Difficult Swedish Idioms And Expressions

How To Survive Swedish Winter - 4 Tips From A Swedish Expert

How To Survive Swedish Winter - 4 Tips From A Swedish Expert

Importance of Generation Z in Sweden and Globally

Importance of Generation Z in Sweden and Globally

What tax rules apply to Bitcoin and other cryptocurrencies in Sweden?

What tax rules apply to Bitcoin and other cryptocurrencies in Sweden?

Julkalendern - The Yearly Swedish Christmas TV Show

Julkalendern - The Yearly Swedish Christmas TV Show

What to do if your bicycle is stolen in Sweden

What to do if your bicycle is stolen in Sweden

AI Music Tops the Viral 50 Chart in Sweden

AI Music Tops the Viral 50 Chart in Sweden

Young people and energy drink consumption in Sweden

Young people and energy drink consumption in Sweden

Have you eaten at Sweden's best hamburger restaurant?

Have you eaten at Sweden's best hamburger restaurant?

Sweden to America - The Great Emigration of the 19th Century

Sweden to America - The Great Emigration of the 19th Century

Major Banks Lower Mortgage Rates Following The Swedish Central Bank's Decision

Major Banks Lower Mortgage Rates Following The Swedish Central Bank's Decision

The Most Popular Cat Breeds In Sweden

The Most Popular Cat Breeds In Sweden

Korean Food Coming To Sweden

Korean Food Coming To Sweden

Prominent Swedes comment on Trump's victory in the US election

Prominent Swedes comment on Trump's victory in the US election

Start Your Classic Swedish Christmas Decorations

Start Your Classic Swedish Christmas Decorations

Why the U.S. Election Matters for Sweden

Why the U.S. Election Matters for Sweden