How soon will plastic replace paper money?

Staff photo Will `real' money disappear in the 21st Century?

``It's obvious that banks, credit unions, et cetera are moving toward a more checkless society,'' said Mike Bell, assistant vice president of marketing at Blackhawk State Bank. Cash use will probably also go down.

To replace cash and checks, ``smart cards'' with a pre-stored value on them may become more popular, said Mr. Bell. These are similar to cards worth a set amount used in many college cafeterias. Every time a purchase is made the price is subtracted from the amount stored on the card. ``When the dollars and cents are depleted, you go back to your bank and get more dollars and cents,'' he said.

``Colleges have used them for two decades, so there's no reason to think they couldn't be used other places,'' said Mr. Bell. And, ``individual stores are piloting them right now as gift cards,'' he said.

These cards would make things easier for retailers, as well as consumers. According to Mr. Bell retailers would know that the customer has money to cover the purchase, and ``it's much handier to carry that card,'' he said.

These cards could also serve as an unmistakable form of identification. Finger prints and retina scans could be stored on the smart card. ``You know as a retailer who you're dealing with because it's etched into that card,'' Mr. Bell said.

Debit cards are also expected to continue to gain popularity. Their use is up among all ages. ``Once they get used to them . . . the vast majority of folks who come in to us like it.''

``ATM deployment is just tremendous in this country,'' but that may all change, he said. With the new card options it will be easier for people to receive cash back when they make a purchase. ``Why do you even need an ATM at this point?''

``For the customers I think that's the ultimate convenience,'' he said. ``We're all on the go, it's such a mobile society. If we can take 20 minutes out that used to be spent in line,'' people would be glad to do it, said Mr. Bell.

While these changes may come about, some things will remain the same. ``There's always going to be a need for cash,'' said Mr. Bell, just as there will ``always be a faction of people that prefer to write checks.''