Cashless payments surpass cash for daily purchases in Germany

For the first time, more than half of daily purchases in Germany are now made using cashless methods, marking a significant shift in consumer behavior.

Despite this, cash remains the most frequently used payment instrument for individual transactions.

The study, presented by Bundesbank board member Burkhard Balz, highlights the growing dominance of debit cards, which account for the largest share of turnover.

Specifically, 98 percent of Germans own a debit card, with the Girocard being the most widespread at 90 percent.

Credit card ownership stands at 50 percent.

Mobile payment solutions are rapidly gaining traction, particularly Apple Pay at physical points of sale and PayPal for online transactions, with 77 percent of internet users having access to the latter.

The average cash holding in wallets is 98 euros, with only 4 percent of respondents carrying no cash at all.

This indicates a strong preference for having cash available, even as its usage declines.

Despite the increasing trend towards cashless payments, a strong majority of respondents expressed a desire to continue using cash in the future.

However, the study points to growing difficulties in accessing cash and limited acceptance in certain areas, leading to dissatisfaction among many consumers regarding cashless payment options.

While the acceptance of cashless methods has increased since the last survey, it still lags significantly behind cash acceptance.

The report also underscores high levels of trust in domestic financial institutions, such as house banks and savings banks.

Furthermore, a strong desire for greater European autonomy in payment transactions was identified among the surveyed population, reflecting a broader sentiment for local control over financial infrastructure.