![]() ![]() This paper would not have been possible without the support and contributions of the following individuals. The consistency across these cash data points since start of the pandemic revealed what may be a new normal level of cash payments and holdings. Average store-of-value holdings remained elevated compared to pre-pandemic holdings and increased slightly to $418.On-person cash holdings increased by $5 from 2021, averaging $73. ![]() The share of in-person purchases and person-to-person (P2P) payments remained steady since 2020 at 81 percent.The share of payments made using cash declined slightly from 20 to 18 percent of all payments, driven by an increase in non-cash payments and not a decrease in cash payments.By contrast, consumer use of debit cards and cash held steady at 2020 levels.Īlthough consumers are making fewer cash payments when compared to pre-pandemic, both on-person and store-of-value cash holdings remained above pre-pandemic levels in 2022, signifying 1) consumers’ demand for cash remains and 2) there may be a long-term impact from the onset of the pandemic on consumer cash holdings. Their use of on-line payments also remained elevated as compared to pre-pandemic payment habits. Consumers continued to reach for credit cards at a higher rate in 2022. 1Īnalyzing the 2022 survey data that informs the Diary of Consumer Payment Choice, we found that 2020’s shift away from cash and toward credit card payments has continued. With the country emerging from the pandemic and economic conditions characterized by high inflation, we were interested to see if this trend would continue. 2022 consumer payment behavior remains consistent with early pandemicĪt the onset of the pandemic in 2020, US consumers dramatically changed how they purchased goods and services, favoring credit cards by a significant margin and increasing their use of online payments. ![]()
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