Consumer Payment Choice

A study conducted by the Federal Reserve to study the consumer’s payments and transactions over three consecutive days in October 2018. The high-level finding are:

  • Consumers used cash in 26 percent of transactions, down from 30 percent in 2017
  • Debit cards were the most used instrument, accounting for 28 percent of payments
  • Credit cards accounted for 23 percent of payments, a 2 percentage point increase from 2017
  • Cash was used heavily for small-value payments, representing 49 percent of payments under $10
  • The share of cash use among individuals under 25 years old is the highest of any age group
  • In-person payments accounted for 73 percent of all transactions. Participants used cash for 35 percent of in-person payments

2019 Findings from the Diary of Consumer Payment Choice