With the move to digital banking and what seems more and more like a cashless society, you'd probably think that cash is on the way out. However, we can assure you that it isn't. Cash dominates a range of payment categories. In fact, those that don't use cash at all are in the small minority.
A 2022 survey of 1,000 people by ThirdPartyTrust found that cash is still very much alive. 51% of those surveyed use ATMs at least once or twice monthly. Of those, 79% use the ATM to withdraw cash. That's 40.3% of the total surveyed withdrawing cash at least once or twice monthly.
So what are all of these people using their cash for? 3% only use cash for payments. 28% use cash for tipping. 14% use cash to pay because they get a discount. 66% want cash on hand, and 53% use cash because the places they're going only accept cash. Additionally, 76% said they have cash in their wallet/purse right now.
If you're wondering what percentage prefers a cash-only business, that would be 27%. As you can see, people still have many uses and preferences for cash.
Here are a few other places where cash still rules:
- Fee Free: When you pay with cash, you don't have to pay any surcharges, which can often be the case with credit and debit cards.
- Budgeting: Many people use cash in their budgeting system. Seeing actual dollars going out has a larger impact than swiping a card. As you can imagine, this helps reduce overspending.
- Anonymous Payments: Digital payments leave a trail (back to you), whereas cash does not. However, for the same reason, cash is popular with fraudsters and other illegal activities.
- Availability: Cash is always readily available, even if payment networks aren't, which happens occasionally.
So, is cash king in a digital world? While we may not have a definitive answer, we can certainly say that it is still very indispensable and widely used.
Let Us Know What You Thought about this Post.
Put your Comment Below.