When consumers choose an item, they do not think about the payment method. The chosen payment method is the means and not an objective in itself in the final purchase decision. Banks are aware of what consumers want when making a payment: for it to be secure, convenient, and simple. Purchase traceability, essential for preventing fraud, would also fall within security. Cash, based on all of the above, is increasingly at a disadvantage compared to other payment instruments such as cards, mobile devices, and digital means.
During the first quarter of this year, we witnessed a historic event. According to data from the Bank of Spain, the amount of payments at point-of-sale terminals exceeded cash withdrawals from ATMs during this period. During the second quarter, Spokesperson for the Spanish Banking Association José Luis Martínez Campuzano, this relationship has been reaffirmed. Payments at point-of-sale terminals are growing at annual rates of 12.88 percent, with growth of 9.34 percent annually in terms of amount, while cash withdrawal transactions at ATMs are growing by 1.8 percent and 4.69 percent in terms of amount.
The obligation of banks to be increasingly efficient in providing financial services to their customers would explain why the number of point-of-sale terminals is growing by 6.54 percent annually. The need for banks to be rational justifies that the number of ATMs is decreasing in Spain at an annual rate of 1.80 percent. All this while the number of cards issued is growing at annual rates of 7.4 percent, with increases of 10.50 percent annually in credit cards and 1.8 percent in debit cards. The explanation for these latest figures lies in the economic improvement and favorable future prospects.
