It’s been almost four years since the global pandemic rocked the world and everything with it.

Companies and consumers worldwide were ricocheted into decision-making that was agile, data-driven, and digital to either improve efficiencies, boost profit or, at best, make it through the day, impacting everything from the money that was made to how, where, and when we spent it.

With talks of Jamaica being positioned as a cashless society, I posit a new solution — a hybrid society.

In this two-part series, here are some ways you can manage your cash the hybrid way.

Let’s define what each term means: Cashless is defined as payments sent and received only via digital or contactless methods (debit/credit cards, digital wallets). Hybrid means that payments are accepted in both digital and cash-based systems. While the former has benefits such as a faster check-out, transparent payment history for you to see all transactions, plus a reduced risk, there are a few downsides such as varying fees and lack of banking access by many Jamaicans.

Thanks in part to the novel coronavirus pandemic, there has been a record number of unbanked Jamaicans opening accounts. Back in 2022, the first 100,000 individuals who opened a bank account received $2,500, if they opened by April 1. Additionally, in 2020 issues abound where thousands of bank account holders were unable to receive funds under the Government’s COVID Allocation of Resources for Employees (CARE) Programme based on invalid account information. Since then, with the relaxation of the Know Your Customer (KYC) requirements in play at least 11,000 Jamaicans would have been able to open simplified accounts to receive Government-issued funds. However, credible account holder information is not the only card being dealt.

While the work done by the Bank of Jamaica (BOJ) and financial institutions over the years has been commendable, widespread lack of financial and digital literacy prevails. Issues such as crime, reliability of Internet, and downtime of banking apps and machines are also prevalent.

Case in point, the recent ABM theft and the robbery of armed security guards delivering cash all of which makes it that much more difficult to become a cashless society, even online banking has been at risk.

While online banking is crucial to us becoming a cashless society, as more consumers owning credit and debit cards, plus continuous improvements in banking apps and other supporting systems will facilitate smoother and safer transactions and security, our society has a far way to go in relations to making the journey less cumbersome. It is, I dare say, our responsibility, working in tandem with our financial institutions, to effectively manage our monthly money risk.

As unreliable tech continues to be a factor in how we move forward, I suggest a realistic yet futuristic mindset with the following steps: Choose banking institutions that best meets your needs. Yes, I said it, have more than one account with more than one deposit-taking institution.

The benefit? Each institution has its own merit and benefit, so standard accounts such as savings and chequing, personal and business, will vary. But, at the end of the day, as a consumer, you should be made to feel valued as well as validated if anything were to happen to your funds.

In this instance, look at cost, convenience and clarity. What fees are you actually paying at the ATM, both within your branch network as well as when you do cross-bank transactions? How much do you pay when you withdraw? What’s your interest rate? Cost at points of sale or in-branch?

While some data may not be easily available, it augurs well that you get up-to-date information in order to manage how your funds are being treated. While for some consumers paying the extra dollar comes at no cost, for some, it does. A penny-pinching move could alert you to any risk of theft on your account. Meticulous, true, but I believe, if you work hard for your funds, manage it well.

In that regard, consider opening high-yield savings accounts, if available by your bank; this, in addition to other investments that will yield passive income on your money that can be used towards your goals for this new year.

On that note, think of how your current financial institution allows you to do banking. Is it easy? Is it simple? Do they have a good branch network of ATMs, and if that’s not what works for you, how is their app or online experience? Do they offer personal banking, if that’s your aim? If not, how is customer service? If funds are missing can you report and get recourse? How is that process? These are things to consider as you control of your funds.

Next steps

In a hybrid society there are some that have the means to technology and some who do not. For the Jamaican context, as the laws, systems and stakeholders all need to be on the same page, it will be some time before we can say we are fully cashless. In addition to this, regaining consumer trust is an effort all institutions have to play to ensure we’re taking that step together as a nation.

As the best reality is a hybrid reality, we’ll discuss later how you can diversify the cash you have, both in-hand as well as what you have digitally to make smarter money moves now.

Until next time, think digital first…

Shane G Bennett is a martech and marcomms professional specialising in digital transformation, corporate communications, social media solutions, and brand management for SMEs, non-profits, and multi-national companies. You may contact him via email at sgbjamaica@gmail.com.