The end of cheques: Who's affected and how?

Cynthia Marks and Barbra Clarkes are not very enthusiastic about Kiwibank phasing out cheques. Photo / Lucy Drake

Cheques will soon be a thing of the past and some Whanganui elderly and organisations are concerned.

Last Thursday Kiwibank announced it will go cheque-free by February 28, 2020 with the phase already begun as by September 30 you will no longer be able to order a new cheque book.

Barbra Clarke, who banks with Kiwibank, understands why they are making the change as there are not many cheques around any more but does not favour the idea.

"I don't own a computer to do online banking and I don't intend on buying one," she says.

Clarke uses cheques to pay for her patchwork club and odd jobs such as the gardener or the window washer.

"Cheques are very good for when you need to pay for something unexpectedly and they give security for when moments like that happen."

Kiwibank have sent her a letter saying they will hold meetings to address the change but Clarke says it is more to do with learning new online technology and to her that is "water off a duck's back".

"There is no face to face interaction any more with these businesses, you just become another number," she says.

Her friend, Cynthia Marks, banks with ANZ and can see them going the same way very soon.

"Everyone just wants things to be done now and they start to jump the gun, why can't we just slowly phase them out over a long period of time," she says.

Kiwibank has announced it will be phasing out cheques.

At 85, she does not own a car and will travel into town via taxi once a month to get money out if she needs but does not want to be getting out large amounts of money for security purposes.

"You don't have control over your money like you can have with cheques.

"At this age it's just another thing for us to worry about and I have enough worries as is," she says.

Marks uses cheques like her friend, for odd jobs around the house and sending money to family and does not like the idea of paying with a card or banking online where scams can be a large threat.

Jack Ager, vice president from Grey Power Whanganui, says for those trying to keep up with technology, especially computers, it can be very daunting to even try and learn how to use them.

"There are not many other options available for them. Paying by cash is not that safe, especially when sending by post or even being robbed if anyone is aware of them carrying money around," he says.

Phasing out cheques will impact around 2000 Grey Power members who still rely on cheques as a key payment method.

"They're a generation who have paid their taxes and fought in world wars and now basically are told to get on with it or miss out. Where is the respect," says Michelle Malcolm, manager at Age Concern Whanganui.

"Not everyone has access to a car or mobility scooter so those who are going to be stuck at home with no computer and no natural support what are they supposed to do."

Age Concern may also be affected as the majority of their donation payments made by members are paid by cheque.

Figures show that for one Friday 30 out of 39 payments to the Whanganui branch were made by cheques and in a month around 60 per cent of payments had come in the form of a cheque as it was what members preferred.

"There is no consideration for that generation."

Malcolm hoped Kiwibank would wait another 10 years before phasing out cheques so the next generation of elderly who is already using online banking will understand how to manage their payments better.

Kiwibank have currently set up a Tech Tea where customers can come into the Whanganui branch, have a cup of tea and digital experts will help with online or mobile bank and making electronic payments.

A Stepping UP digital banking workshop has also been created and will be coming to a local library or community centre to give those who need it the skills to be confident banking online.