The decline of paper money in the UK continued in the second quarter, with cash and cheques both seeing dwindling usage as take-up of electronic alternatives such as debit cards and the Faster Payments service grew.
These numbers are not that surprising, it would be interesting to get some data on the impact that Prepaid Cards are having on this trend as more consumers who could not previously gain plastic opt for these as a way to pay...
This is an interesting story which demonstrates real progress for the UK, especially in contrast to today's piece about the cost to the Irish economy of cash and cheques. I think it is very positive news for the industry - especially the significant reduction
in the number of cheques being written as we gradually get closer to the 2018 deadline.
Clearly customers are embracing debit cards for the control and convenience that they offer, and they are even continuing to use credit cards in growing numbers. The take-up of Faster Payments must also be classed as a massive success.
It will be interesting to see how these payment trends continue to evolve, especially with more innovative payment methods such as contactless payments for low-value transactions, prepaid cards, or even linked family cards, where different family members,
including children and teens, have got cards linked to a single family account.
It's very interesting that the politicians and charities are still referred to as objectors. What are we doing about this? I saw some of the comments made by the politicians when the BBA were given a grilling by the select committee, and they were, to
say the least, ill-informed. How are we as a community addressing this? How do we improve the quality of the debate? How do we help people to understand that there are much faster, cheaper, easier and safer methods of payment than cash or cheques, and these
apply to the 'vulnerable' in society too, despite what some politicians might think or say.
© Finextra Research 2013