Payments Report 2022

Difficult for many to pay digitally

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The supply of manual cash services is decreasing

Published: 15 December 2022

In 2017, there were 660 bank branches where you could withdraw cash over the counter. Today, the service is only available at 134 Savings bank branches. As of April 2022, none of the major banks offers this service; see Figure 11.

There are also fewer places where people can cash in their payment slips and pay their bills in cash. This is partly due to the fact that all major banks have stopped handling cash, but also because the company ClearOn discontinued Kassagirot in August 2022. The Kassagirot system enabled petrol stations and grocery stores to act as payment service agents and help their customers with various cash payment services. Kassagirot was also the only payment service that allowed asylum seekers to identify themselves with an LMA card to pay bills (see The closure of Kassagirot affects vulnerable groups).

As manual cash services disappear, consumers are being directed to automated and digital services. This makes it more difficult for people who are unable to use digital payment methods, or are excluded from the digital payment market for whatever reason, to pay. It has also led to a shortage of places where coins can be deposited into accounts, as deposit machines generally do not accept coins. In addition, the general public is becoming more dependent on having access to ATMs to withdraw cash – which can increase the vulnerability of the payment system.

Figure 11. The number of bank branches handling cash is decreasing

Number of bank branches offering over-the-counter cash withdrawals.

Figure: The number of bank branches handling cash is decreasing

The figure shows that the number of bank branches offering over-the-counter cash withdrawals has decreased significantly in recent years. Since mid-2022, only savings banks offer over-the-counter cash withdrawals.

Note. FOREX Bank sold its deposit and lending activities to ICA Banken in May 2021. Its banking licence expired in spring 2022. It has therefore been excluded for 2022. Data for Swedbank in 2018 is missing. Number of branches is estimated.
Download the data from the diagram by clicking on the arrow to the right, above the diagram.

Source: The Swedish Agency for Economic and Regional Growth Pipos Service Analysis.