Aussies hooked on mobile wallets and digital payments, new report shows

hand with credit card coming out of phone representing tap and pay and using mobile wallet or digital payment in Australia

If you’ve become reliant on digital payments over the past few years, you’re in good company. The State of Consumer Money Movement Report 2022, issued by card-issuing platform Marqeta, shows that a much higher rate of Australians have adopted mobile wallet usage than our UK and US counterparts.

While more than 80% of Aussies say they have used digital wallets in the past 12 months, that figure is only 71% for the US and 77% for the UK. These figures are up year-on-year across the board, and it looks like a lot of this has to do with lingering habits from the COVID-19 pandemic and lockdowns.

Looking more in-depth to the Australian audience, app-comparison website GetApp conducted a similar survey to gauge Aussie feelings on the topic. 

How are Aussies using mobile wallets?

By and large, mobile wallets have begun to take the place of cash and even physical debit cards and credit cards. Of mobile wallet users surveyed, 79% use theirs to make payments - only 43% said they use them for loyalty cards and 40% said they store their digital ID in them.

The pandemic played a big role in pushing Australians further towards mobile wallet use. Though historically we have been early adopters of payment technologies, this specific boost can largely be attributed to habits picked up when the Department of Health recommended Aussies ditch cash for digital to slow down COVID spread.

In fact, 78% of surveyed mobile wallet users cited the pandemic as having brought them more towards digital payments.

While many may have stuck to it out of habit, 78% of surveyed digital wallet users find the method more convenient than digging around for their card. A further 26% enjoy the ease of demonstrating their identity with digital ID as opposed to a physical card (no more leaving your licence at home on a night out).

Not everyone is keen to ditch cards for digital

There were significant concerns around mobile wallets that have some people holding on tightly to their cash and cards.

Most of those concerns came from worries around card security. This has been an especially hot topic with high profile hacks this year at companies like Optus and Medibank.

Others hold concerns about the physical nature of a phone in the same way they might a wallet - 59% of those surveyed expressed worry about their details being at risk if their phone was stolen, and of those who use mobile wallets, 38% flagged the difficulty of being unable to access payments if their phone runs out of battery.

In today’s tech-heavy society, some also mention the concern of becoming more reliant on their mobile phones. However, mobile banking can also be an incredibly helpful tool for people trying to use their money more effectively or to look for better options with online providers.

Whether you like the feel of a card in your hand or prefer using your phone, take a look at our Best Credit Cards to find some options.

Start comparing credit cards below - last updated 22 June 2024

Search promoted credit cards below or do a full Mozo database search. Advertiser disclosure
  • NAB Low Rate Card - Balance Transfer Offer

    Spend with confidence with a low 13.49% p.a. variable purchase rate and 0% p.a. interest on balance transfers for the first 28 months (T&Cs apply). 2% balance transfer fee applies. There’s also up to 55 interest free days on purchases to help you manage your budget better when you make minimum repayments. Minimum credit limit $1,000. No annual fee for the first year (usually $59).

    Purchase rate
    13.49% p.a.
    Balance transfer rate
    0% p.a. for 28 months and then 21.74% p.a. (2.00% balance transfer fee)
    Annual fee
    $59 $0 in the first year
    Rewards program
    -
    Compare
    Details
  • Apply By 3 Sep 2024
    American Express Qantas Ultimate Card

    Earn up to 90,000 bonus Qantas Points* That’s 70,000 bonus Qantas Points when you apply online by 3rd September 2024, are approved, and spend $3,000 on eligible purchases on your new Card within the first 3 months. Plus, an additional 20,000 bonus Qantas Points in your second year upon fee renewal. Annual Card fee is $450. T&Cs apply. New Amex Card Members only.

    Purchase rate
    23.99% p.a.
    Balance transfer rate
    No current offer
    Annual fee
    $450
    Rewards program
    Qantas Frequent Flyer
    Compare
    Details
  • American Express Essential® Rewards Credit Card

    Earn 20,000 Membership Rewards points for each 30 day period in which you spend $1,000 on eligible purchases on your Card for the first 4 months with the American Express Essential Rewards Credit Card (T&Cs apply). Up to 55 days interest free. $9 per month fee. Fast application process. New American Express Card Members only.

    Purchase rate
    23.99% p.a.
    Balance transfer rate
    No current offer
    Annual fee
    $108
    Rewards program
    Membership Rewards
    Compare
    Details
  • American Express Platinum Edge Credit Card

    Enjoy $0 Annual Card Fee (usually $195) in the first year when you apply online and are approved. T&Cs apply. New Card Members only. Offer subject to change without notice.

    Purchase rate
    23.99% p.a.
    Balance transfer rate
    No current offer
    Annual fee
    $195 $0 in the first year
    Rewards program
    Membership Rewards
    Compare
    Details
  • American Express Explorer® Credit Card

    Receive 50,000 bonus membership rewards points when you apply online, are approved, and spend $4,000 on eligible purchases on your new card within the first 3 months (T&Cs apply). New Card Members only. Complimentary domestic & international Travel Insurance (T&Cs apply). Up to 55 days interest free on purchases. $395 annual fee.

    Purchase rate
    23.99% p.a.
    Balance transfer rate
    No current offer
    Annual fee
    $395
    Rewards program
    Membership Rewards
    Compare
    Details