ANZ Bank pushes customers to digital and faces criticism
ANZ Bank, one of Australia’s “big four” banks, recently announced that it will no longer facilitate withdrawals and deposits at some of its branches as part of its strategy to encourage its customers to use digital transactions. The decision drew backlash, with critics worrying about the potential impact on older customers who may be less able to go digital. Patricia Sparrow, CEO of the Council on the Aging, expressed concern in an interview with The Australian, warning that the move could disproportionately affect older Australians. Other critics have suggested that the move could also make fiat users more vulnerable to technical issues.
The move by ANZ Bank has also reignited fears of a push towards a cashless society, with some speculating that cash could soon be replaced by central bank digital currencies (CBDCs). As the Reserve Bank of Australia (RBA) reported in a March 16 bulletin, the percentage of retail payments made in cash fell from 59% in 2007 to just 27% in 2019. This trend highlights the shift progressive to a cashless society. in Australia, which was driven by several factors such as the growing popularity of digital transactions, the convenience of contactless payments and the decline in the use of cash.
However, the push towards digital transactions has also raised concerns about financial inclusion, particularly for older Australians who may be less familiar with technology or have limited access to digital services. This is a valid concern, given that the digital divide in Australia is still large, with many older Australians either not having access to digital devices or lacking the skills to use them effectively. In light of this, ANZ Bank’s decision to halt cash transactions at some of its branches could exacerbate this problem and limit the banking options available to some of its customers.
To address these concerns, it is important for banks and policymakers to ensure that the transition to a cashless society is inclusive and does not leave vulnerable groups behind. This could involve providing support and resources to older Australians to help them adjust to digital transactions, as well as ensuring that adequate safeguards are in place to protect consumers against technical issues or fraudulent activity. It is also crucial that policy makers consider the potential impact on financial privacy and security as digital transactions become increasingly dominant in society.
In conclusion, ANZ Bank’s decision to halt cash transactions at some of its branches highlights the ongoing transition to a cashless society in Australia. While this trend offers many benefits such as increased convenience and efficiency, it also raises concerns about financial inclusion and security. Therefore, it is crucial for banks and policymakers to ensure that the transition to a cashless society is inclusive and takes into account the needs of all members of society, especially the most vulnerable.
ANZ Bank pushes customers to digital and faces criticism
