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From the Globe and Mail

Rise in cashless payments stokes concerns over data security

The shift toward a cashless society is well under way in Canada, as credit and debit cards, online transactions and digital wallets increasingly replace cash as the preferred modes of payment. Cash now accounts for just 12 per cent of point-of-sale transactions, according to Payments Canada’s most recent report. And payment processor Moneris forecasts that, by 2030, just 10 per cent of all commercial transactions in Canada will be settled with cash.

While widely adopted for ease of use, cashless payments also give rise to a host of security and privacy concerns, including vulnerability to hacking and data breaches, and how consumers’ personal data are used and disseminated.

Every non-cash transaction leaves a digital trail. Each tap or swipe of a credit card reveals, at a minimum, one’s identity, basic financial account information, purchase amount, as well as location and time. Credit cards attached to loyalty programs additionally track shopping habits. Online purchases can also reveal one’s IP address and details on browsing history. And some phone payment apps may track their user’s movements.

https://www.theglobeandmail.com/investing/personal-finance/article-rise-in-cashless-payments-stokes-concerns-over-data-security/