Cash and cheques still dominate US P2P payments
15 October 2013 | 7520 views | 0
Digital methods still lag behind old-fashioned cash and cheques when it comes to person-to-person payments in the US, according to a survey from vendor Fiserv.
Of 2500 Americans quizzed, 88% have sent money to another person in the last year. Cash is the most popular method, used by 56% of the 88%, while cheques were sent by 41%. Only 31% used online method such as a bank-based P2P payment services or PayPal.
However, although cash accounts for a third of all P2P payments, nearly a third of respondents report that they never have enough on hand to pay someone back and more than three quarters would use a digital alternative from their bank.
Most people who make P2P payments are sending funds to friends, children or parents. Men are significantly more likely than women to give or send money to their friends, significant others, co-workers or roommates. On the other hand, women were more likely than men to give or send money to their children.
Splitting bills is common in the US, with nearly half of respondents saying that someone in their household pays and others pay them back. Around two thirds of those who share bill payment responsibilities with a friend or roommate have one person pay the bills and others pay them back, while 42% of married couples do the same.
Meanwhile, three quarters of respondents wish it was easier to request money from a group of people who owe them, and nearly 50% have let people not pay them back because it was uncomfortable to ask them. This rises among the young and women.