Consumer Use Of Cash Grew In 2009, Boston Fed Says

Consumers’ use of cash to make payments grew in 2009, a Federal Reserve Bank of Boston study released April 7 found (see report).

Debit cards were still the most commonly used payment method, but cash use increased. Consumers made an average of 19 debit card payments per month compared with 18.4 for cash. In 2008, they reported making 21.2 debit card transactions per month and 14.5 cash transactions.

The Boston Fed’s Consumer Payments Research Center attributed the shift to the economic downturn and card regulation, which it said might have affected card use in general.

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