One in five shoppers in Australia have suffered the humiliation of having a purchase not go through due to lack of funds, according to new research by comparison site Finder.
The Finder survey of 1,062 respondents found 20% – equivalent to 4.2 million people – have had a purchase rejected due to cashflow problems in the past three months.
The research found a worrying 7% of Aussies admit they have had to abandon a purchase, while a further 7% had to return some items due to a purchase being declined at the checkout. The remaining 6% say they had to put the purchase on a credit card instead of their intended payment method.
Sarah Megginson, personal finance expert at Finder, said it’s becoming increasingly common for consumers to have a transaction fail at point of sale.
“The surge in living costs means many households have less cash left for groceries,” she said.
“The awkward exchange of cards or nervously trying to put items back on the shelf has become a regular occurrence for struggling Aussies.”
Finder’s research shows 14% of Australians personally haven’t suffered a declined transaction, but have witnessed someone who has.
Ms Megginson said shopper are being caught out when buying basic necessities rather than lavish spending.
“This is bread at the supermarket or filling up the car because the petrol light is on,” she said.
“People often feel ashamed when they are having money troubles but this research shows you are not alone.”
Ms Megginson said it was wise to carry some old fashioned ‘cash’ in case of emergency. She also advises bulking up ‘emergency funds’.
“While tax cuts and energy handouts might help – some Aussies need to take more extreme action to build a cash buffer,” she said.
“Right now is a great time to get a better deal on the things you have to pay for anyway like utilities and insurance. When it comes to financial issues, the sooner you can get on top of them, the smaller the chance you’ll be scrambling for a different way to pay at checkout.”
