GCash is a virtual money created by Globe Telecommunications in the Philippines. It is a cellphone-based currency, and very popular among online sellers and buyers. What’s great about GCash is that if you have a cellphone and a Globe sim card, you’d be able to pay several merchants without the hassle of going to the bank or waiting forever in line.

So how does it work? You simply just have to have a cellphone and a Globe sim card. Activate or register your GCash using your Globe cellphone. Then convert your actual cash to GCash. You can do this in Globe centers or in Globe GCash merchants like 7-11. So for example, I want to have PhP 100.00 worth of GCash, I just go to a Globe center, give them my PhP 100.00, and they will “send” Php 100.00 worth of GCash to my sim card. So now I have virtual money.

What to do with it? I can go online and buy stuff from eBay, Multiply, Sulit or other online stores. Some merchants or utilities, I think, also accept GCash (not sure though). If like, in eBay, I won an item - and the seller accepts GCash - the seller will give me her Globe cellphone number, and that’s where I will send the payment.

How do I send the GCash? It’s like sending a simple text message. Just type how much you want to send, your PIN (like your ATM pin which you choose when you register) and then send to 2882 + the Globe number of the receiver.

Withdrawal fees are minimal at only PhP 10.00 if below PhP 1,000 and 1% if more than PhP 1,000.00. I say this is very convenient and easier for both the seller and the buyer. The only drawback in this is that you don’t get any protection at all. I’ve encountered several people who have been scammed using GCash. Since you don’t see the seller and you usually don’t have any other information other than the cellphone number, scammers just suddenly disappear after receiving the payment via GCash.

So for those who are using GCash, and those who plan to, make sure you do a background check before sending money to anyone.