Cheques: the end is nigh

Cheques could be a thing of the past by the end of this decade, the Australian Payments Clearing Association says in a report on the development of the digital economy.

APCA said cheque volumes have fallen by more than 60 per cent over the past decade, from around 50,000 cheques a month in 2002 to less than 20,000 a month today.

It estimated that at the current rate of decline "it could be predicted that cheques will no longer be used in Australia in 2018."

Last year, APCA undertook a public consultation exercise to see what industry and consumers thought about the idea of adopting policies to phase cheques out. In the end it concluded it was best to leave any changes to the market.

In its latest report, "Towards the Digital Economy", it outlines a number of efforts it is making to help manage the decline of cheques. It is working with industry to make the cheque processing system more efficient.

It said it was unlikely that industry would commit to invest in the "dematerialisation" of cheques (using imaging technology) but it is looking at more cost-effective efficiencies.

It is assisting the Government with the development of SuperStream - an e-commerce standard for superannuation contributions and roll-overs.

It is also assisting National E-Conveyancing Development Ltd with the development of its electronic conveyancing system.

And it is developing policy positions, such as a plan to include payments in any future government policies for the digital economy.