Visa is launching a new initiative to incentivise retailers to offer cashback in areas of the UK where shoppers have limited access to cash.
Alongside Lloyds Banking Group, Visa has been running a cashback pilot since the start of last year encouraging retailers in areas with limited access to ATMs or banks to offer anyone using a Visa cashback.
Visa is now encouraging all its banking partners to get behind the scheme “and create a cashback system that both rewards retailers and protects access to cash.”
In addition to helping customers gain access to physical cash in an increasingly digital landscape, Visa hoped the initiative will also help boost footfall in tough times for retailers.
“The popularity of digital payments continues to surge across the UK, however we know that cash still plays a vital part in the lives of many,” Visa’s UK managing director Jeni Mundy said.
“This is why we want to help increase the number of options that people have to gain access to cash, helping to extend financial inclusion by enabling customers to choose how they pay – be that by cash, cards, mobile devices or other means”.
Lloyds’ retail bank group director Vim Maru added: “Through the cashback pilot we’ve been running in partnership with Visa since early last year, we’ve improved the availability of cash in local communities, particularly in areas under-served by free-to-use ATMs and where consumers’ access to cash may be restricted.”
In September last year Mastercard launched a near identical scheme offering local shops and business a fee for every time they dispense cash to a shopper paying with a Mastercard debit card.