According to the RBI data it has been noticed that people use debit cards only for withdrawing the money from the ATMs. According to RBI data the transactions made through debit cards from ATMs is nearly at Rs 165,500 crore for the month of November 2013, and at points of sale (POS) it was found to be Rs 8,400 crore.
People are still unaware about the benefits of the debit card they use it only for withdrawing money. Most the bank offer the debit card while the customer opens the account, there are 375 million debit card holders. People use them as ATM card, unaware of the fact that they can use them for shopping as well.
The introduction of the electronic money is to control the problem of black. People still withdraw the money and then use them at the merchant outlets. Banks did not introduce to the customers that the debit cards can be used for shopping as well, only HDFC bank is the one to mention debit card as a 'shopping card'. Banks are issuing debit cards in huge quantity and the numbers of POS terminals are lesser in the country. The government need to ask bank to establish more number of POS in country to promote the use of electronic money.