Why Australians are being urged to get cash out today: 'Use it or lose it'

Aussies have been urged to visit their closest ATM and withdraw money today in a fresh bid to keep cash circulating across the country.

People have been encouraged to withdraw an unspecified amount on April 28 in the hope it will show cash still enjoys support from the community.

National Seniors Association CEO Chris Grice said the national day would show how important cash is for older Australians and regional communities, who have been heavily impacted by bank closures. 

'The RBA survey showed cash has the highest share of payments among people aged over 65, those on lower incomes, and in regional areas,' Mr Grice said.

'Our mantra has been to "use it or lose it".'

The report recommended the federal government guarantee 'reasonable access to cash and financial services for all Australians'.

It comes as data released by the Reserve Bank of Australia showed almost half of Australians still use cash at least once a week.

The data also indicated around 15 per cent of all payments use cash, that older Aussies and lower-income households are more likely to use it, and that most Aussies like to keep about $65 in cash on hand for emergencies.

People have been asked to withdraw money from their nearest ATM on Tuesday (stock image)

It's the first time since 2007 that the rate of cash use has increased.

'Australians have consistently used cash more frequently to pay for leisure - such as going to the cinema or local community events - than for most other types of spending, even as overall cash use has declined in the past 20 years,' the RBA said.

'Cash users across the country should feel validated by the news that proves cash still has a solid place in the economy.'  

Banks continue to close branches throughout regional communities, leaving many residents - including seniors - unable to access face-to-face banking and cash transactions.

A federal report into the impact of regional bank closures in 2024 found private banks had failed regional Australians and had 'little incentive' to keep branches open.

'Cash supports economic inclusion, serves as a fallback if electronic payments are unavailable, and is an important store of value, particularly during periods of economic uncertainty.'

The survey, which involved 1,200 people recording transaction details over a week, also found the leisure sector accounted for about 34 per cent of cash payments.

In contrast, transport made up about 15 per cent, reflecting increased use of card taps for public transport, rideshares, or taxis.

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