Paper cheques may be phased out by NZ
(8 July 2011 – New Zealand) The future of paper cheques is under consideration by the New Zealand banking industry.
New Zealand has one of the highest uses of electronic transactions in the world. The growth and expansion of this system over many years has seen the use of some traditional payment instruments such as cheques, decline, according to the Payments NZ Board (PNZ), which is undertaking the initial consultation.
PNZ chief executive Steve Nichols, said that paper (primarily cheque) usage in New Zealand had been declining at an annual average rate of 9 percent over the past eight years.
'It is time to undertake an orderly review of cheques in this country to determine the best way to manage the decline and ensure our payments system continues to be efficient and meet the needs of users.'
Cheques interchanged through the financial system have reduced from around 9 percent of total retail transactions across all payments methods in 2003 to 2 percent in 2010.
Other countries have recently begun to review the cheque as a payment instrument mechanism, including the UK, Ireland, Canada and Australia.
PNZ chief executive Steve Nichols, said that paper (primarily cheque) usage in New Zealand had been declining at an annual average rate of 9 percent over the past eight years.
'It is time to undertake an orderly review of cheques in this country to determine the best way to manage the decline and ensure our payments system continues to be efficient and meet the needs of users.'
Cheques interchanged through the financial system have reduced from around 9 percent of total retail transactions across all payments methods in 2003 to 2 percent in 2010.
Other countries have recently begun to review the cheque as a payment instrument mechanism, including the UK, Ireland, Canada and Australia.
Subscribe