A new survey by moneyland.ch has found that cash payments have declined in popularity over the last year. A majority of respondents say that debit and credit cards from Swiss banks are now irreplaceable, with many also choosing to use new online services for the first time.
In the latest Payment Methods Study carried out in April 2022, moneyland.ch surveyed the spending habits of 1.500 people in German and French-speaking Switzerland. In the study, the insurance comparison site asked respondents which payment methods they considered indispensable and which they thought were obsolete.
The survey found that only 30 percent of people prefer cash to credit and debit cards, a drop of 4 percent from the previous year. While 96 percent of people still use cash on rare occasions, only 34 percent said they regularly use paper money and coins.
The last year has also seen a rise in the popularity of online services like Twint - the peer-to-peer payment app launched by a collection of major Swiss banks. 20 percent of people surveyed said they are signed up for the service, with 70 percent of respondents confirming that they use at least one electronic payment system on their mobile phone.
The survey explained that the main reason for the shift away from cash was the COVID pandemic, which forced many to use bank cards, apps and payments on the internet for the first time. Today, 52 percent of people said that they could not do without a credit or debit card.
However, this move away from cash is not without its critics. In August 2021, the Swiss Freedom Movement tried to launch a referendum against what it called the “phasing out of cash.” The initiative would have required the government to make sure there is enough physical cash in circulation and would prevent them from “replacing the Swiss franc.”