Knife pulled when man refused credit

A man who was refused credit at a supermarket on Magnetic Island pulled out a knife and demanded money from staff, Queensland police say.

The incident took place at about 5.40pm on Wednesday but customers at the Nelly Bay store came to the aid of staff and the man ran off.

A 34-year-old man was found shortly afterwards and taken into custody.

He was charged with attempted armed robbery and other offences and is due to appear in Townsville Magistrates Court on Thursday.