The increased number of immigrants has an impact on cash’s popularity. Immigrants often bring from their country of origin a sense that cash in hand cannot be as easily lost. In this manner, cash equals comfort.
Interestingly, prepaid cards, government payment disbursements, and payroll cards also play a roll in the increased prevalence of cash in our society. When these forms of payment are used, they require the cash value be readily available, thus increasing the need for cash. Additionally, payroll card, prepaid card, and government payment disbursement recipients often use such cards to draw out cash from ATMs.
Natural disasters and emergencies also have a tendency to raise the demand for cash. Recent events have proven that in the aftermath of weather-related disasters, such as floods and hurricanes, we see rapid and dramatic increases in the demand for cash.
No matter what the reason, the increased prevalence of cash in our society cannot be ignored. It intensifies pressure on businesses that process large amounts of cash, including financial institutions (FIs), gaming establishments, and independent ATM deployers. These businesses must work even harder to ensure accuracy, security, and logistical support.
The consumer expectation is that the cash is there, its up and running, and readily available. FIs are extremely focused on ensuring the availability of cash for their customers. So much so that cash services directly affect each of the other services an FI provides.