Australia markets closed

    -12.60 (-0.17%)
  • ASX 200

    -14.10 (-0.20%)

    +0.0067 (+1.02%)
  • OIL

    -1.58 (-2.08%)
  • GOLD

    +34.50 (+1.68%)
  • Bitcoin AUD

    +693.06 (+1.21%)
  • CMC Crypto 200

    +11.20 (+1.41%)

    +0.0070 (+1.15%)

    +0.0015 (+0.14%)
  • NZX 50

    +37.31 (+0.33%)

    +49.71 (+0.31%)
  • FTSE

    +75.60 (+1.01%)
  • Dow Jones

    +294.61 (+0.82%)
  • DAX

    +182.09 (+1.12%)
  • Hang Seng

    -212.58 (-1.25%)
  • NIKKEI 225

    -55.38 (-0.17%)

Aussies making simple change in cost-of-living crisis

Aussies are turning back to cash in the cost-of-living crisis.

A composite image of Tiktoker ajjmcc who spoke of the cost-of-living crisis and money sitting in a wallet.
Tiktoker ajjmcc has called on Aussies to use cash over card to make payments. (Source: TikTok @ajjmcc / Getty)

As a country, we are using cash less and less, but one Aussie has said we need to go back to the old ways in the cost-of-living crisis.

Tiktoker ajjmcc, or Adam, said Aussies should be using cash to pay for items to save themselves from card surcharges.

“Most places charge a credit card surcharge of 1 to 5 per cent - let's call it 3 per cent,” he said.

“So, you're losing a little bit every time you go to the shops, every time you go to the markets, every time we go get a drink.

“Let's say you end up saving $7 to $10 a week. $520 a year down. That's a really nice present for your significant other, that's the money you can put into an investment portfolio if you want.

“Think of it, save yourself some money and then think about the fact that if you switch to using cash, most people will prefer that anyway.”

Adam told Yahoo Finance he wants people to be aware he is not a financial advisor or someone trying to give out financial advice.

"I'm just someone who rambles about what is on his mind," he said.

‘Cash is king’

Aussies were quick to rush to the comments section to agree with the video, with many comments simply declaring “cash is king”.

“​​THIS IS so important! everyone should USE cash, go to the ATM and take out cash!!!!!!” one comment read.

“Respect for what you’ve said. I’ve started using cash about a month ago. Hope we see some sort of change,” another commented.

Aussies have been ditching cash

Australian Banking Association chief executive officer Anna Bligh said changes in the way Australians did their banking were happening at breakneck speed.

“The transformation of the nation’s payments preferences is continuing at a rapid pace,” Bligh said.

In fact, a recent study from the Reserve Bank of Australia found the sharp decline in the cash share of transactions reflected that most Australians were using cash infrequently.

The research showed that 72 per cent of Australians were classed as 'low cash users' in 2022, using cash for 20 per cent or less of their in-person transactions, compared with 50 per cent in 2019.

Follow Yahoo Finance on Facebook, LinkedIn, Instagram and Twitter, and subscribe to our free daily newsletter.