I've used cash a fair bit in the past year, for a few reasons. I know some food places prefer it (I ask even if I don't see a surcharge, since I have it on me anyway), one otherwise-normal shop I know simply doesn't accept card payments at all (has an ATM in the store), I know a tradie or two who offer cash-in-hand jobs in the future to bypass their regular employer's large cut, and sometimes I simply don't like banks knowing my spending habits and potentially running analytics on them.
I am surprised to see a non-trivial chunk of 18-29, compared to later age demographics, using all cash.
I am surprised to see a non-trivial chunk of 18-29, compared to later age demographics
I suspect that "compared to later age demographics" is key to understanding it. My guess is that younger people are just more likely to be unbanked, and thus cash is their only option.
I'm a Brit rather than a Aussie but im in that age range and use virtually entirely cash, easier for budgeting, better for privacy concerns & IMO its a element of use it or lose it. I have no doubt that various groups in various governments would like nothing better than to get rid of cash for surveillance reasons.
I can save 1-10% on some things by using cash. Do that over a year and it all adds up. Isn't that the sort of financial advice some motivational speaker would give you?
That one wasn't card. I got a haircut and it came to $55.95 but I only had $55 cash so the guy said to just give him $50. That works out to more than a 10% saving for going cash
It used to be that credit card companies would give 'rewards' to users for the privilege of being about to track their spending. Now it seems to be the opposite. I reckon that means banks have too much power.
I use cash quite a bit, and it isn't all about the transaction fees.
That's always the cycle when it comes to giving up data for 'perks'. First there'll be benefits for complying, then those will go away, then it'll turn into penalties for people who don't comply. With the rise in technology in cars we're already seeing some insurance companies offer lower rates for people in exchange for sharing their location/driving info. I think eventually it'll shift to the point where 'default' insurance is made so expensive you'll have no choice but to share everything you do with your insurance company
You guys are both off in your thinking. Credit card companies didnât give rewards to get your spending data, they did it to get you spending. If people donât spend on their credit cards, people donât get charged large amounts in interest.
With car insurance itâs not about location data, itâs about risk. Theyâre giving cheaper insurance to smarter EVs that are safer and less likely to be in accidents, because itâs just free money for them.
You guys are both off in your thinking. Credit card companies didnât give rewards to get your spending data, they did it to get you spending. If people donât spend on their credit cards, people donât get charged large amounts in interest.
They do it for debit cards too though. There'll be other reasons as you said but getting your spending daa is 100% one of them
25 Comments
DavidDoesLemmy@aussie.zone · 18 pts · 147d
The card surcharges are so annoying. I'm moving to cash until they ban them.
ProbablyNotAnExpert@aussie.zone · 12 pts · 147d
Ummmm.... They just did? https://ministers.treasury.gov.au/ministers/jim-chalmers-2022/media-releases/ending-card-surcharges-help-cost-living
It'll make everything more expensive but hey, no surcharge đ
slazer2au@lemmy.world · 7 pts · 147d
Instead of one surcharge at the end, it will be a dozen smaller ones on each product. Yay .......
taygaloocat@leminal.space · 6 pts · 147d
It'll take a while to kick in
DavidDoesLemmy@aussie.zone · 5 pts · 146d
It won't take effect until later this year. I'm talking about the time between now and when it takes effect.
eureka@aussie.zone · 10 pts · 147d
I've used cash a fair bit in the past year, for a few reasons. I know some food places prefer it (I ask even if I don't see a surcharge, since I have it on me anyway), one otherwise-normal shop I know simply doesn't accept card payments at all (has an ATM in the store), I know a tradie or two who offer cash-in-hand jobs in the future to bypass their regular employer's large cut, and sometimes I simply don't like banks knowing my spending habits and potentially running analytics on them.
I am surprised to see a non-trivial chunk of 18-29, compared to later age demographics, using all cash.
Zagorath@quokk.au · 5 pts · 146d
I suspect that "compared to later age demographics" is key to understanding it. My guess is that younger people are just more likely to be unbanked, and thus cash is their only option.
FreedomAdvocate@lemmy.net.au · 1 pts · 145d
Young people canât really be âunbankedâ unless theyâre unemployed.
Taleya@aussie.zone · 3 pts · 145d
nah, there was a trend of doing Cash Budget folders, blew up on IG and Tiktok. That would explain that one.
Hansae@lemmy.dbzer0.com · 2 pts · 146d
I'm a Brit rather than a Aussie but im in that age range and use virtually entirely cash, easier for budgeting, better for privacy concerns & IMO its a element of use it or lose it. I have no doubt that various groups in various governments would like nothing better than to get rid of cash for surveillance reasons.
eureka@aussie.zone · 2 pts · 145d
Yes, not to mention corporate groups too (banks, online purchasing, loyalty cards, ... ).
tombruzzo@aussie.zone · 7 pts · 146d
I can save 1-10% on some things by using cash. Do that over a year and it all adds up. Isn't that the sort of financial advice some motivational speaker would give you?
FreedomAdvocate@lemmy.net.au · -1 pts · 145d
What are you saving even 1% on by paying cash? Dodgy tradies?
tombruzzo@aussie.zone · 3 pts · 145d
Haircuts and every food place that has a surcharge for card
FreedomAdvocate@lemmy.net.au · 0 pts · 143d
Iâve never seen a 10% card surcharge?
tombruzzo@aussie.zone · 2 pts · 143d
That one wasn't card. I got a haircut and it came to $55.95 but I only had $55 cash so the guy said to just give him $50. That works out to more than a 10% saving for going cash
blind3rdeye@aussie.zone · 5 pts · 146d
It used to be that credit card companies would give 'rewards' to users for the privilege of being about to track their spending. Now it seems to be the opposite. I reckon that means banks have too much power.
I use cash quite a bit, and it isn't all about the transaction fees.
freedickpics@lemmy.ml · 4 pts · 145d
That's always the cycle when it comes to giving up data for 'perks'. First there'll be benefits for complying, then those will go away, then it'll turn into penalties for people who don't comply. With the rise in technology in cars we're already seeing some insurance companies offer lower rates for people in exchange for sharing their location/driving info. I think eventually it'll shift to the point where 'default' insurance is made so expensive you'll have no choice but to share everything you do with your insurance company
FreedomAdvocate@lemmy.net.au · 1 pts · 145d
You guys are both off in your thinking. Credit card companies didnât give rewards to get your spending data, they did it to get you spending. If people donât spend on their credit cards, people donât get charged large amounts in interest.
With car insurance itâs not about location data, itâs about risk. Theyâre giving cheaper insurance to smarter EVs that are safer and less likely to be in accidents, because itâs just free money for them.
freedickpics@lemmy.ml · 2 pts · 144d
They do it for debit cards too though. There'll be other reasons as you said but getting your spending daa is 100% one of them
freedickpics@lemmy.ml · 4 pts · 146d
Cash makes you more aware of what you're spending, is good for budgeting, and better for privacy. I'll never stop using it
hanrahan@slrpnk.net · 2 pts · 146d
and is also resilient
MisterFrog@aussie.zone · 1 pts · 144d
Definitely for privacy, but the "more aware of spending" part really depends on the person.
Until it's in my spreadsheet and makes line on graph go down, it doesn't fully register for me, regardless of payment type.
SaveTheTuaHawk@lemmy.ca · 3 pts · 146d
Cash drives the tax evasion economy.
Taleya@aussie.zone · 3 pts · 145d
nah I'd say that's creative accounting and billionaires