Ireland slow to embrace alternatives to cheques
Irish people will write more than 60 million cheques this year despite plans to consign them to the history books.
While usage of the old-fashioned payments has more than halved over the past decade, we still remain big fans of the chequebook and pen.
The Central Bank predicts 61 million will be cashed here this year alone.
That is despite the Government’s so-called e-Day next month, when Government departments, state agencies and local authorities will ban the use of the paper payments.
Businesses remain the biggest users – particularly smaller companies – but they are switching to electronic alternatives quicker than everyday consumers.
Firms are expected to write 28 million cheques this year, down from 33 million two years ago, compared to 26 million to be used by customers paying for goods and services, down from 23 million.
Ireland is one of only six countries in the European Union that still uses cheques for regular payments.
Last year, Finance Minister Michael Noonan launched the National Payments Plan, in an attempt to persuade Irish people to ditch their chequebooks.
It is estimated the country could save €1bn a year by using electronic payments rather than cash or cheques, taking account of stamp duty, bank fees, postage charges and cost of materials.
Ronnie O’Toole, manager of the National Payments Plan, said businesses are leading customers in the switchover.
“While businesses, small businesses in particular, remain the largest user group of cheques, it is clear that businesses are recognising the benefits of electronic payments and are now leading the migration away from cheque usage,” he said.
The programme said it is not setting a cut off date for cheques but is working to dramatically reduce their use.
On September 19 – dubbed e-Day – public sector bodies will no longer issue or accept cheques in their dealings with businesses.
