Thiruvananthapuram: Swiping machines in demand

THIRUVANANANTHAPURAM: One of the agendas of the demonitisation initiative, popularising the use of plastic money, is showing positive signs in the city too as banks are witnessing a higher demand for bank card swiping machines from traders. On an average almost all the banks have five to ten requests for swiping machines pending. Many banks are flooded with enquiries from traders, mainly small and medium ones, on the pros and cons of using swiping machines.

“We have already installed five swiping machines in the last one week and seven more requests are still pending,” the manager of a scheduled bank in the district said. Cashing in on the situation, some of the banks have also decided not to offer any discounts on the rentals of the swiping machines to customers. Meanwhile, some banks are also wooing traders to install swiping machines, banking sector sources said.

However, all traders are not happy with installing swiping card machines because of the charges involved. The rent for swiping machines range from Rs. 300 to Rs. 1000. The GPRS enabled portable swiping machines have a higher rate of rent. Apart this, around one percent of the transaction would be deducted as a service charge by the banking firm.

“Following demonetisation, business came down to one-fourth of the normal trade. Hotels and eateries even witnessed scenes as customers would either hand over  a Rs. 2000 note or demonetised Rs. 1000 or Rs. 500 after eating a meal. As a result, some traders are compelled to install swiping machines bearing the additional charges,” said Kerala Vyapari Vyavasayi Ekopana Samathy Chalai-Kothuval unit general secretary M Mohammed Sidheek.