Canadians Value Cash

The Bank of Canada has published the results of a payment survey showing one in five transactions across the nation are made in cash, and banknotes and coins are viewed favourably for their wide acceptance, cost-efficacy, ease of use and security.

The Methods of Payment Survey Report found that the dollar amount spent using cash has remained relatively stable since 2017, despite a decrease in cash use by volume. The report attributes the latter to fewer in-person purchases being made during the pandemic, which also saw demand for cash increase well above the previous, persistent level of growth as people sought the reassurance of a physical store of value.

The average amount of cash Canadians carry has risen steadily since 2009, with people now reporting an average of $127 cash on hand. Younger people accounted for the highest average amount of cash on hand, with 18 to 34-year-olds carrying around $149. They were also the most likely to have received cash from friends or family (21 percent) or to be paid in cash (six percent) within the past week. Cash held in other locations—such as within a home or vehicle—was reported at a median $200, which is around the same amount observed in 2017.

The median cash transaction value has risen steadily since 2017, now standing at $29 compared with $20 in 2017. In contrast, the median value of debit card transactions has stayed constant at around $25, while the median credit card transaction rose slightly to reach $36 in 2021.