Some so-called experts would have us believe that we might as well put our cash away as pretty soon we won't need or want it to pay for our purchases.
Such predictions are fairly hard to believe however, as physical money remains deeply instilled in our culture and economy. In a majority of countries in the world it is still the most popular method of payment.
So why are so many people keen to say that cash is on the way out?
A lot of this may have to do with the emergence of some of alternative payment channels, which are predicted to strike a chord with the younger generation of shoppers.
In the UK for example cash has slowly been overtaken by debit cards as the preferred method of payment. This means that some young people are not used to carrying actual money in their wallets, knowing that they can pay with their plastic.
As a result NFC (near field communication) technology is lauded as potentially crucial for the payments industry. It has in the past been used to allow shoppers to pay with their mobiles. It is therefore possible that in the near future shoppers will be able to leave home without a wallet and as long as they are carrying their cell phone with them, they will be able to complete all sorts of transactions.
Many adults, used to having either cash or cards in their pockets and handbags may not take as easily to the idea of giving those up. But for some young people this is a reality already. They would also be happy with not having to take with them so many different possessions when leaving home. NFC would represent a great convenience to them.
However, predictions saying that cash is about to disappear completely from our lives are way off the mark and are probably used to grab headlines more than to provide a true reflection of the payments industry.
There is no doubt that the way we shop and pay is changing, but we can probably expect to see a more diverse payment industry rather than one method simply replacing another.
Eva Grzybek works for PayPoint.net, which provides businesses with merchant accounts.