Closure of Cheque Guarantee Card Scheme has minimal impact on over 65s

20/12/2011

 Today (20 December), the Payments Council published independent research to show that the closure of the Cheque Guarantee Card Scheme has had little impact on the over 65s.  
Since the closure of the Scheme in June:
  • 88% of people using guaranteed cheques report that since Scheme closure they are still able to use cheques in all of the places where previously they’d used the guarantee

  • 43% of people who used their cheque guarantee card in the past 12 months were aware that the scheme had closed

  • Only 3% of businesses have stopped accepting cheques solely due to closure of the Scheme, with 84% of businesses still accepting un-guaranteed cheques 
The results echo findings from before the scheme was closed that showed 86 per cent of people aged 65 and over had ‘little or no concerns’ about the closure of the Cheque Guarantee Card Scheme and that the Scheme was often misunderstood.

The most recent research confirmed that guaranteed cheques were often used incorrectly: 40% of those who formerly used them said that they had posted a guaranteed cheque, whereas the Scheme rules specified that the guarantee only applied when used in person.

Interestingly, the research showed that although a slightly higher percentage of those 65 and over used their cheque guarantee card (12%, compared with 9% of under 65s), older people were always more likely to have a cheque accepted without being asked for the guarantee.
Only half of those aged 80 and over said they were expected to show their cheque guarantee card, compared with 66% of those aged 64 or younger. 

Whilst the research reveals that little impact has been seen from the removal of the cheque guarantee card, the Payments Council is keen to reassure people, particularly older audiences who tend to use cheques the most, that they can continue unhindered to pay the way that they prefer.
The Payments Council will work with representative bodies to run a campaign in 2012 specifically aimed to both reassure older people that cheques will remain and explain other ways to pay.
Adrian Kamellard, Chief Executive of the Payments Council comments: 

“We’ve committed that cheques are here to stay, so we were pleased that the demise of the guaranteed cheque has had little impact on the way people use cheques, nor has it stopped businesses accepting them. It’s particularly reassuring to find that older people have taken the change in their stride, however, our research has highlighted that there is a small minority of customers and businesses who might need extra help – so that will be what we’re focussing on next.”  

Just over a month ago, Esther Rantzen supported a winter wellbeing campaign with the Payments Council to help over 65s prepare their finances for winter.
The campaign drew attention to the benefits that internet and telephone banking can bring to help ensure you remain in control of your finances, whatever the weather.
To find out more on this and the different ways you can pay, visit the website below.
Do you have concerns about the closure of the Cheque Guarantee Scheme? If so please write to us at editorial@maturetimes.co.uk.

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