The Reason Why You Should STOP Using Visa/Mastercard!

Prime Minister, Mr. Narendra Modi launched the scheme DEMONETISATION with a view to make India a cashless and corruption free nation. With India transforming into a cashless nation VISA/MASTERCARD, the two organisations are on cloud nine.

Want to know how? Why?
Reasons are here:

India’s Population = 125 crore.
Per capita income = Rs 1 lakh per annum.
It means each person earns Rs 1,00,000/365 = Rs 275 per day averagely
Assuming that he saves 10% of his income, it means, he spends Rs 250 per day.

India, mainly being a cash economy, let’s assume that 90% of the people were using cash. 90% of the population means 0.9*125 = 112 crore people.

Let’s consolidate the above findings. Till recently, India, mainly a cash based economy, 112 crore people were spending Rs 250 per day. It amounts to transactions of Rs 112*250 = Rs 28,000 crore per day.

Please note that I am considering only the lowest interface of transactions.

In continuation, We found that Rs 28,000 crore of cash per day (conservative figure) is being transacted.

When we turn into a fully cashless economy, The debit & credit card companies will come into picture. This Rs 28,000 crore per day will go through their gateways (Visa/Mastercard), and they will charge atleast 1% surcharge  for each transaction. Actually, upto 2.5% surcharge is also very common, but to keep it simple & conservative, let’s assume 1% only.

RuPay & Demonetisation: Googly Networks

So, 1% of Rs 28,000 crore i.e Rs 280 crore of Indian economy will be given to American banking bigwigs like Visa & Mastercard. Rs 280 crore per day, means 1 lakh crore each year!

Despite all these simple & conservative figures, we have deduced that going fully cashless will add Rs 1 lakh crore each year into the coffers of Visa & Mastercard.

The U.S. Agency for International Development (USAID) announced the launch of a new initiative “Catalyst: Inclusive Cashless Payment Partnership” ( This multi-stakeholder partnership is designed to scale digital payments systems in India.

Badal Malick,has been appointed as Chief Executive Officer of Catalyst. Alok Gupta, has been appointed Director of Project Incubation. Read More.

Please note that I am not making any conclusions here. I am neither against Visa, nor Mastercard. I am not against the banking industry cartel.

All I have done is to help you connect the dots.

We can switch to RuPay cards because the RuPay gateways apparently do not have surcharge, and even if they introduce surcharge in future, it will be within our national economy itself, because RuPay is an Indian payment network.

RuPay & Demonetisation: Googly Networks
But as you know the popular saying “Change must first begin from yourself”.
Can we all decide to use only RuPay cards & not Visa/Mastercards from now? In case you had no reason to switch to RuPay card, now you have a strong reason. And let’s hope this message reaches out to the Government so that they can create large scale campaigns to promote RuPay cards in the best interest of our nation.

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