Do you prefer to use cards or cash?
In the 21st century, consumers are much more likely to reach for plastic to pay for goods and services rather than using cash. That’s the conclusion of a new survey which has examined people’s attitudes to paying for items.
Less than a third of people say cash is their preferred payment method
According to the research from the Payments Council, just 31 per cent of people said using notes and coins was their preferred payment method. This is compared to 41 per cent who would use a card if they could.
The Payments Council commissioned the research to mark the 40th anniversary of the switch to decimalisation. And, they found that the use of cash is likely to decline further, as new payment methods such as contactless payment cards and mobile phone payments reduced became more popular.
Cash preferred for small items
However, cash remains the preferred option for low value items, with 77 per cent of people opting for coins and notes for purchases valued under £3.
Sandra Quinn, of the Payments Council, said: “Cash is still king for the small things, with 61 per cent of people preferring to pay for low-value items with coins and 16 per cent still keenest on the purchasing power of a crisp bank note.”
The survey also found that 54 per cent of people remove loose change from their wallets and purses and keep it at home, with a fifth of these only removing coppers. However seven in ten respondents said they did not carry around anything smaller than a 50p coin.
Ms Quinn continued: “Since decimalisation, the debit card has overtaken cash as something we are loathe to leave home without, and we’ve now arrived at the point where one in three people prefer to shop online rather than in person.
“In the not-too-distant future we expect to see new alternatives like contactless cards and mobile phone payments start to become much more widely available and so popular for paying for low-value items, but even they aren’t likely to challenge for cash’s crown anytime soon.”
