Cash payments rise for first time in 10 years

[Kyng]

https://www.bbc.co.uk/news/business-66796263

Payments made with cash rose for the first time in a decade last year as consumers struggled with rising prices.

But the number is still dwarfed by debit card use which accounted for half of all payments, its highest ever level.

Consumers often say they find it easier to manage their money using cash.

However UK Finance, which compiled the data, said it expected cash use to decline over the coming years, once the current financial squeeze has eased.

Even during cost of living pressures and the emergence from lockdowns, it said nearly 22 million people only used cash only once a month or not at all last year. That compares with just under one million who mainly used cash.

---

Okay - so, it's only a slight rise, and they aren't rising as quickly as credit or debit card payments (so, they're still going down as a percentage of all payments). But, there's clearly still a place for them!

Have your payment methods changed much lately?

[Shiny Star]

Some corner shops have put a card limit back post-Covid. Some are lower than it used to be but I’ve seen the odd one with like £3. I can see why people would prefer cash exchanges. I do see why there would be a rise.

[Kyng]

Some corner shops have put a card limit back post-Covid. Some are lower than it used to be but I’ve seen the odd one with like £3. I can see why people would prefer cash exchanges. I do see why there would be a rise.

TBH I hardly ever encounter card limits any more .

I think the only one was a small shop in Lichfield - and even that was over two years ago now!

[Shiny Star]

Most card limits I encounter are like £1.50 upward. I talked to a woman at a corner shop once and she said she wanted to put it to £5 but as they’re in an area with a lot of school kids, they gotta take the hit. I bought something today from a shop with a £1 card limit. I actually had cash on me.

[Kyng]

Most card limits I encounter are like £1.50 upward. I talked to a woman at a corner shop once and she said she wanted to put it to £5 but as they’re in an area with a lot of school kids, they gotta take the hit. I bought something today from a shop with a £1 card limit. I actually had cash on me.

Yeah, it's rare for me to: a) want to buy something that costs less than £1.50, and b) not have that much on me in cash. So, I guess I just wouldn't notice limits as low as that !

[Shiny Star]

Normally it’s just if I go in for a drink… well energy drink. You can get some for pretty cheap.

[~ True Legend ~]

Most card limits I encounter are like £1.50 upward. I talked to a woman at a corner shop once and she said she wanted to put it to £5 but as they’re in an area with a lot of school kids, they gotta take the hit. I bought something today from a shop with a £1 card limit. I actually had cash on me.

Never heard of such a thing besides the £30 spending limit, and that’s only if you go contactless.

Does this apply in principle to contactless or PIN-only included too?

[Shiny Star]

Most card limits I encounter are like £1.50 upward. I talked to a woman at a corner shop once and she said she wanted to put it to £5 but as they’re in an area with a lot of school kids, they gotta take the hit. I bought something today from a shop with a £1 card limit. I actually had cash on me.

Never heard of such a thing besides the £30 spending limit, and that’s only if you go contactless.

Does this apply in principle to contactless or PIN-only included too?

I’ve never heard of a £30 spending limit, unless you’re referring to what contactless without a pin used to be yeaaaars ago? I think since then it’s gone up by a decent amount, like Apple Pay I’ve bought stuff for £200 or £300 with just Face ID. 

By card limit, I think we were talking about the opposite side of it. The minimum spend for you to be able to pay by card. I think smaller shops avoid not having a card limit as a fee goes to tax or something like that for transferring. I just know about this because a friend tried to explain why some takeaways will only ever take cash.

[~ True Legend ~]

Most card limits I encounter are like £1.50 upward. I talked to a woman at a corner shop once and she said she wanted to put it to £5 but as they’re in an area with a lot of school kids, they gotta take the hit. I bought something today from a shop with a £1 card limit. I actually had cash on me.

Never heard of such a thing besides the £30 spending limit, and that’s only if you go contactless.

Does this apply in principle to contactless or PIN-only included too?

I’ve never heard of a £30 spending limit, unless you’re referring to what contactless without a pin used to be yeaaaars ago? I think since then it’s gone up by a decent amount, like Apple Pay I’ve bought stuff for £200 or £300 with just Face ID. 

By card limit, I think we were talking about the opposite side of it. The minimum spend for you to be able to pay by card. I think smaller shops avoid not having a card limit as a fee goes to tax or something like that for transferring. I just know about this because a friend tried to explain why some takeaways will only ever take cash.

Oh really, so shops are taxed on card payments made by customers? Interesting, thanks for sharing! 

And sorry for being a noob, but since when has there been a minimum spend limit on card payments?

Also I believe the maximum limit of £30 on contactless cards is still present, right? Just most ppl have cards linked to their phones nowadays.

[Shiny Star]

Tax is included on the displayed price. When I’ve been to Costco, I’ve seen it displays both the pre-tax and post-tax prices. Here, you are showed one price and that’s what you are paying. 

Minimum spend limits have existed here predominantly in corner shops. Supermarkets tend not to have them. 

I don’t think the maximum limit has been £30 for years. I only use Apple Pay so I may be wrong but it probably varies between banks.