American Consumers value ATM cards

U.S. automated teller machine cardholders value their cards more than they do their newspapers, cable television or other everyday products and services, according to a national consumer study commissioned by PULSE EFT Association, an electronic funds transfer systems based in Houston. The study shows

The study, conducted by Analytica Inc., Houston, found that on a scale of 1 to 10, with 10 representing "extremely important," cardholders placed an average value of 7.58 on their ATM/debit cards. In contrast, the same group rated cable television at 5.73, Internet access at 5.67 and the newspaper at 4.75. Findings also revealed that 84 percent of all cardholders are satisfied with the current functionality of their ATM cards.

The research firm surveyed 2,200 adults with checking, savings or share draft accounts in 16 states, from the Great Lakes to the Gulf of Mexico.

The survey also shows that consumers increasingly are using their ATM cards to pay for products at supermarkets, convenience stores and other merchant locations. It documents that nearly 68 percent of cardholders had used their cards to pay for merchandise, and 45 percent had gotten cash back when making purchases with their cards.

The survey also revealed that ATM cardholders typically used their cards 4.78 times during a two-week period, approximately 3.12 times to make a purchase and 1.65 times at an ATM. The study additionally revealed information about the growing use of ATM cards and expanding consumer understanding of the versatility of debit cards in facilitating various financial transactions. Other findings:

Among all consumers surveyed, 64 percent currently have ATM cards; During normal business hours, a majority of all persons (55 percent), including those without cards, selected using their debit cards at ATMs or getting cash back when making purchases as their preferred methods of getting cash;

Of those with cards, nearly 80 percent prefer to get cash using their cards, as compared to alternatives such as cashing checks;

Consumer awareness of the ability to use ATM cards to make purchases, and to get cash back if desired, continues to grow rapidly;

When getting cash, 64 percent of consumers get $20;

The single most relevant demographic variable impacting whether a person has or uses an ATM card is age. Persons 18 to 44 are far more likely to carry and use cards than those 45 and older.