August 2020
Featured in this insight: Financial services
More than a quarter of UK adults avoiding using cash due to COVID-19: A survey looking at the spending habits of Brits during the coronavirus pandemic has found that 27% have not used cash at all since March when lockdown measures came into force. It also found that half the respondents polled have avoided making payments using a card where they would need to input their PIN number.
The research by GoCompare money found that the use of contactless payments has soared, with more than three-quarters (76%) saying they have used the method to pay for goods and services throughout the crisis. Three fifths (61%) said they have used PayPal to make payments, while 17% have used their phone to make payments with a contactless system such as Apple Pay. The survey also found that 15% have made a payment during lockdown via Bacs.
The pandemic has prompted people to try payment methods they have not used before, with 8% of respondents saying they have used a contactless payment card for the first time and 7% setting up and using their phone to make payments. A minority of respondents (14%) reported they no longer carry cash and 16% said they would be happy to see cash no longer used in society.
When asked more about contactless payments, two-fifths (40%) said they would like to see the spending limit raised to £100, while 27% said they would like it upped to £50.
The research did reveal, however that some consumers have concerns around safety when using contactless and digital wallets, with 39% worried about fraud risks.
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