With Millennials Picking Cash Over Cards, Cash Gains Steam

May 11, 2017 Share Source

At the 2014 Worldwide Developers Conference (WWDC), Apple CEO Tim Cook announced the launch of the iPhone 6, which would come equipped with Apple Pay — a solution that promised to replace the good, old-fashioned fat wallet.

Almost three years and four new iPhones later, the company is seemingly far from replacing the average consumer’s traditional wallet. The culprit? Consumers’ undying love for cards and cash.

Unlike cards, the share of cash in the U.S. is slowly but surely decreasing. However, it’s far from going out of fashion.

As of 2015, cash usage represented 13.1 percent of overall U.S. gross domestic product (GDP), the latest PYMNTS Global Cash Index™ found.

And while there has been some decline, nearly a third of retail purchases made in the U.S. today are still paid for with cash, making it the most popular form of retail payment instrument, according to San Francisco Federal Reserve’s 2015 “Diary of Consumer Payment Choice.”

PYMNTS recently caught up with Claire Wang and Wendy Matheny, co-authors of the Federal Reserve’s study, to dig into the changing consumer payment habits across the U.S...

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Source:

Pymnts. "Younger Millennials Picking Cash Over Cards." PYMNTS.com. January 23, 2017. Accessed March 17, 2017. http://www.pymnts.com/cash/2017/millennials-picking-cash-over-cardshttp://www.pymnts.com/cash/2017/millennials-picking-cash-over-cards.

Last Updated: July 27, 2017