Banks say their clients are quickly abandoning the use of cheques, but there are no plans to phase out the use of chequebooks in the near future.
The ANZ says cheque book use by its customers has dropped by 10 per cent over the last year and while it has no plans to phase them out, that day will come. Photo: RNZ
Transactions monitored by Payments New Zealand showed the number of cheques processed slumped 23 percent in the past year and more quickly than in the rest of the world.
Only 55 million cheques were processed last year, down from 190 million in 2004.
Payments New Zealand chief executive Steve Wiggins said New Zealand adopted electronic transactions before other countries, driving payment methods away from cheques, and it made sense that their rate of decline was faster than in the rest of the world.
As part of its budget changes, the Government abolished cheque duty from July next year with the Minister of Revenue, Todd McClay, describing it as a relic from a previous age.
Banker's Association deputy chief executive Karen Scott-Howman said businesses and the elderly use cheques more than any other group.
KiwiBank said some older people use cheques as they have doubts about internet banking, or lack access, and cheques would continue to be provided.
The ANZ said cheque book use by its customers dropped by 10 percent over the last year and while it had no plans to phase them out, that day will come.