Despite the growing popularity of electronic methods of payment, three quarters of Canadians are still using personal cheques, a recent survey commissioned by Interac reveals.

The survey of 1,000 Canadians, conducted by Strategic Counsel, found that 75% are still using personal cheques, with 70% indicating that they believe it is the only option available in some circumstances. Roughly half of respondents admit that this method of payment is only somewhat convenient.

“Since the introduction of electronic payments, cheque use began a downward trend in retail, as Canadians gravitated to more convenient and reliable methods of making payments, such as Interac debit,” said Caroline Hubberstey, director of public and government affairs at Acxsys Corporation, whose shareholders are the architects of the Interac network. “Although cheque use has decreased by 50% over the past eight years alone, it seems that cheques are still being used in certain instances.”

The greatest proportion of cheque users indicated that they write approximately six to 20 cheques a year. Personal cheques are most commonly used to pay for: one-time projects or events, such as home renovations or weddings; services, such as babysitting or gardening; membership fees, such as gym and club memberships; and monetary gifts. Respondents also indicated use of cheques for paying back someone they owe money to and sending money to a relative, such as a student away in university.

The study also looked at non-cheque users and reasons why they do not use this form of payment method. Of those who don’t use cheques, 88% said they take too long and they prefer faster alternatives. A growing number of Canadians are using e-mail money transfers for many of the activities that cheque users identified.

“As online options become more mainstream, we expect to see a growing movement from personal cheques to online money transfers, just as Canadians moved from cash and cheque to electronic payments,” said Hubberstey.

Older Canadians are more likely to rely on cheques, with 80% of respondents aged 50 plus reporting that they use the method of payment. This compares to 77% of those aged 30 to 49 and 61% of those aged 18 to 29.

IE