Wednesday, June 10, 2020
Ninety-two per cent of Australian consumers want to keep the right to pay for goods and services with cash.
More than three-quarters of Australians think it’s unfair for retailers to ban cash payments according to recent market research by Next Payments, Australia’s leading independent ATM network.
63 per cent of consumers say they are discouraged from shopping at retailers that do not accept cash.
66 per cent say they are concerned about hidden card fees while 72 per cent say cash is the most reliable form of payment according to the survey of 250 Australians conducted in April in all states.
The survey also reveals some misconceptions about payment surcharges. 59 per cent of respondents correctly believe that cash is surcharge-free. However, 27% believe debit cards are surcharge-free and 8% believe credit cards are not surcharged by merchants. Merchants pay bank fees and charges on both debit and credit card transactions and these may be passed on to consumers, often directly.
“Consumers don’t want their right to pay with cash taken away,” said Tim Wildash, Chief Executive Officer of Next Payments, Australia and New Zealand’s leading independent ATM supplier.
“Cash is not unsafe, the World Health Organisation and the Australian Mint have confirmed that and Aussies don’t want to lose cash.
“Cash is reliable, free, private and flexible. Cash is used by the old, the young and the 500,000 Australians who do not even have a debit card.
“Mastercard, Visa and the banks are raking in increased revenue from transaction fees while many Australians risk being left behind,” said Tim Wildash.
New Zealanders rushed back to cash when social distancing restrictions were partially lifted two weeks ago. Next Payment’s network of 624 ATMs in convenience locations and venues in New Zealand handled one month’s worth of withdrawals in three days from 21 May.
“Despite ongoing restrictions limiting the numbers of customers allowed in venues, cash withdrawals jumped up to unprecedented levels as soon as restrictions eased,” said Mr Wildash.
“Kiwis voted with their dollars and rushed back to cash.”
“Cash is safe, flexible and private,” said Tim Wildash, “I’m concerned that large card companies and banks are profiting from fear.”
There is no evidence linking cash to the transmission of COVID-19.
Cash is sanitised before being delivered by cash companies to venues and ATM operators.
Next Payments has issued advice to ATM owners and venue operators about how to ensure their cash machines remain clean and disease free.