The Bank of Canada’s 2025 Methods of PaymentA transfer of funds which discharges an obligation on the part of a payer vis-à-vis a payee. More Survey offers a compelling snapshot of how Canadians interact with cashMoney in physical form such as banknotes and coins. More. Far from fading into obscurity, cash is proving its resilience, with its use at the point of sale remaining broadly consistent, cash holdings increasing, and public perception of its value continuing to improve. These trends underscore cash’s enduring relevance as a trusted, accessible, and inclusive payment methodSee Payment instrument. More.
One of the most striking findings is the stability of cash payments at the point of sale. While digital payment methods—particularly contactless card transactions—have seen significant growth, cash has maintained its share of in-person transactions. In 2025, cash accounted for 18% of all payments at the point of sale by volume and 10% by value, a slight decline from previous years but still a significant portion of daily transactions. This stability is notable, especially when considering the rapid adoption of digital alternatives. The fact that cash has not experienced a dramatic drop in usage highlights its continued importance particularly for small, everyday purchases where convenience and speed are paramount.
The survey also reveals that 80% of Canadians have no plans to stop using cash, a statistic that speaks volumes about its perceived value. This steadfast loyalty to cash suggests that, for many, it remains a preferred or necessary option, whether for budgeting, privacy, or simply habit.
Beyond its use in transactions, cash holdings among Canadians are on the rise. In 2025, 76% of Canadians reported having cash on hand, with an average amount of $141 and a median of $70). While the average cash-on-hand amount saw a slight decline from 2024, the overall trend in recent years has been upward, reflecting a growing tendency to keep physical moneyFrom the Latin word moneta, nickname that was given by Romans to the goddess Juno because there was a minting workshop next to her temple. Money is any item that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular region, country or socio-economic context. Its onset dates back to the origins of humanity and its physical representation has taken on very varied forms until the appearance of metal coins. The banknote, a typical representati... More accessible. This increase in cash holdings is not just about transactional use—it also reflects non-transactional motives, such as saving or precautionary measures.
Interestingly, the survey notes that Canadians are more likely to carry smaller denominations ($5, $10, and $20) for daily use, while larger denominations ($50 and $100) are increasingly held for other purposes. This shift aligns with broader trends in banknoteA banknote (or ‘bill’ as it is often referred to in the US) is a type of negotiable promissory note, issued by a bank or other licensed authority, payable to the bearer on demand. More circulation, where demand for higher denominations has grown, possibly as a hedge against inflation or economic uncertainty.
The stability of other cash holdings—money kept outside wallets, such as at home or in vehicles—further reinforces the idea that cash is not just a payment tool but also a store of valueOne of the functions of money or more generally of any asset that can be saved and exchanged at a later time without loss of its purchasing power. See also Precautionary Holdings. More. With 22% of Canadians maintaining such holdings, and a median value of $200, it is clear that cash continues to play a role in financial security for many households.
Public perception of cash remains overwhelmingly positive. The survey highlights that Canadians view cash as the least costly and most secure payment method, a perception that has remained stable over the years. In an era where digital fraud and cybersecurity concerns are growing, the tangible, immediate nature of cash offers a sense of control and safety that digital transactions often cannot match.
Moreover, four out of five Canadians have no intention of going cashless, a statistic that underscores the deep-rooted trust in physical currencyThe money used in a particular country at a particular time, like dollar, yen, euro, etc., consisting of banknotes and coins, that does not require endorsement as a medium of exchange. More. However, access to cash is showing signs of deterioration, with 11% of Canadians reporting difficulties in accessing ATMs and 16% for bank branches. The physical condition of banknotes also receives high marks, with 75% of Canadians rating their $50 notes as excellent or very good, demonstrating confidence in the quality and reliability of cash.
The survey also reveals that cash is perceived as widely accepted, despite the growing prevalence of card payments. This perception is critical, as it requires that cash remains a viable option for all, regardless of their access to digital tools or preference for cash.
The Survey paints a picture of cash as a payment method that is far from obsolete. Its stability in transactions, growing holdings, and increasingly positive public perception all point to a future where cash continues to coexist alongside digital innovations. For policymakers, businesses, and consumers, the message is clear: cash remains a vital component of Canada’s payment ecosystem, offering reliability, accessibility, and trust.
The enduring presence of cash serves as a reminder that diversity in monetary options is not just beneficial but essential for economic inclusion and resilience. The Bank of Canada’s findings reaffirm that cash is not just surviving—it is evolving, adapting, and continuing to meet the needs of consumers in a rapidly changing financial landscape.