Two-thirds of Australians have been using less cash since the pandemic started and most expect to continue making digital payments in preference to cash payments when things return to normal.

However, respondents to a survey commissioned by MyState said they were not ready to go without cash altogether.

MyState chief executive Melos Sulicich said in a statement: “Many hold concerns for their financial position if physical cash were to completely disappear.”

Those concerns include transaction fees and network outages.

“It is important for banks to support those who struggle with the transition to a predominantly digital model, as not all Australians have the means to eliminate cash,” Sulicich said.

Sixty-eight per cent of respondents said they were using less cash during the pandemic because they wanted to use contactless technology.

Of those who reported using less cash, 67 per cent said they expect to continue using digital payments instead of cash after the pandemic is over.

Sulicich said MyState Bank’s ATM withdrawals were down 32 per cent over the past year and the decline has accelerated in recent months.

Sixty-four per cent of respondents said they believed they could catch COVID-19 from handling coins and banknotes.