Brits prefer their plastic to cash

A third of Brits (32%) use their credit cards regularly for everyday spending according to a survey of the nation’s cash-carrying habits by personal finance website Fool.co.uk. Debit cards account for over a third (37%) of spending, and cash accounts for a quarter (29%).

Fewer people carry cash these days, with nearly half of us (47%) withdrawing money once a week or less. One in five (19%) think cash and cards are interchangeable, and one in six (16%) say they use their debit cards as the most convenient way to pay. A tenth (11%) have a more considered reason for using plastic - they do so to keep tabs on how much they spend.

Money men

The findings also reveal that men generally carry around twenty pounds more than women. Men typically have around £40 on them while women have a little under £20. Nine out of ten (85%) ladies will pop their money in a traditional purse, while six out of ten men (57%) fold their notes in their wallet but keep their coins in their pockets.

A brave one in eight (12%) just keep all their money in their pockets. But one in 200 (0.5%) go to the other extreme and secure it in a bum bag.

Flash with cash

Some people are more flash with their cash. One in twenty-five (5%) carry over £100, and one in 50 (2%) have over £200 in notes, with half of these securing it with a smart money clip. But cash-laden individuals are a minority, and one in six (18%) only carry enough to cover a bus fare or sandwich in an emergency.

Cash flush fifties

The amount of cash we carry increases proportionally with age, and older people prefer a cashier to an ATM. Young people between 18 and 24 carry around £14, which is less than a third of their 58-plus elders, who have on average £43.

David Kuo, Head of Personal Finance at Fool.co.uk, says: “Plastic can be fantastic, but relying on money we can’t see is a reflection of how easy it has been to rely on credit in recent years.

“But since you are not paying in cash, it is all the more reason to take care as credit becomes more difficult to obtain.

“It is therefore more important than ever to build a decent savings pot because one day when you need to pull a rabbit out of the hat, you could find that all you have is a dead duck in your pocket.”