Cash makes a come back as credit card purchases also post record
Credit card spending reached record levels in November, but Reserve Bank figures show using cash is also on the rise, dispelling the myth that Australia is moving towards a cashless society.
The RBAās monthly payments data showed purchases on credit and charge cards totalled $28.9 billion in November, 6.8 per cent higher than in October and 9.6 per cent higher than a year earlier.
āPersonal credit card spending reached record levels in November as Australians emerged from lockdown and relished in their new-found freedom to visit shops, pubs and restaurants with limited restrictions,ā Canstarās group executive for financial services Steve Mickenbecker said.
āPre-Christmas sales events such as Black Friday were also a likely contributor to the boost in credit card spending.ā
Data released by the Australian Bureau of Statistics on Tuesday showed retail spending rose by 7.3 per cent, the fourth largest monthly increase on record.
You might like
The RBA report also showed there were 29.8 million cash withdrawals from ATMs in November totalling $8.6 billion.
This was 2.6 per cent higher than the previous month and came after a 12.7 per cent increase in October.
CashWelcome.org campaign spokesman Jason Bryce says this shows cash usage is recovering in Australia, having been in decline during COVID-19 pandemic lockdowns.
āThere is no trend towards a cashless society and despite the growing number of ways to make cashless transactions, the use of cash is actually increasing,ā Mr Bryce said.
āCash is back in style. Retailers are choosing to accept cash again and Australians are voting with their wallets and returning to using cash.ā
Want to see more stories from InDaily Qld in your Google search results?
- Click here to set InDaily Qld as a preferred source.
- Tick the box next to "InDaily Qld". That's it.
