australian dollar
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Australians on Tuesday were encouraged to withdraw large amounts of cash from banks and ATMs as part of a protest against the move toward digital payments and a potential cashless society.

Australians urged to join "cash out day"

The event, called Cash Out Day, aims to empty ATMs to show that many people still value using notes and coins. Jason Bryce, the founder of the group Cash Welcome, said this was a way for Australians to tell banks and politicians that they want to keep using cash and be able to access it easily.

"Physical cash is our legal tender, banks need to give us access to our cash and all retailers must accept cash," Bryce said, 7News reported.

Bryce believes around two million Australians will take part in Cash Out Day to show their opposition to a cashless future. Last year, the event got a lot of attention, with photos of long ATM queues and people proudly displaying their cash shared widely on social media.

Supporters of the movement claimed that AU$500,000 was withdrawn in total, though there's no official confirmation of that amount.

Cash Out Day is a way to remind banks and the government that cash still matters to Australians. Bryce encourages people to withdraw some money to keep on hand for spending and emergencies, so they can enjoy the freedom to use their cash as they choose.

Bryce believes cash will remain important because banks have not created a private, secure payment system to fully replace it, no matter how convenient card or phone payments have become.

Banks say cash access will remain

Meanwhile, the Australian Banking Association said there was no noticeable change in cash withdrawals last time and they don't expect a big increase this year either.

A spokesperson from ABA explained, "Whilst Australians are using less and less cash, we are not going to be cashless. Australians don't need to change their behaviour when it comes to withdrawing cash, it will continue to be available and accessible to those who wish to use it."

Cash use declines but remains vital for many

Cash use in Australia has dropped sharply over the past decade. In 2017, around 70% of consumer payments were made with cash, but by 2022, that number fell to just 13%, according to the Reserve Bank of Australia.

The ABA predicts it could drop even further to just 4% by 2030. Despite this trend, cash remains essential for about 7% of Australians -- over 1.5 million people -- who use it for 80% of their in-person purchases.

However, access to cash is getting harder in Australia. In 2023–24 alone, 339 bank branches closed, according to Canstar. Banks say the closures are due to more people using digital banking, though the big four banks have agreed not to shut any more regional branches until at least 2027.

RBA data shows that in February, Australians made about 28.6 million ATM withdrawals -- one million fewer than in the same month the year before.

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