Getting cash out at the supermarket just got harder
Updated . First published at
Shoppers hoping to use more cash after the surcharge ban kicked in on October 1 are finding it harder than ever to access it at supermarkets.
Coles changed its cash access for shoppers in July, with a notice displayed at its customer service desk at Castle Hill reading: “From 27 July 2026, cash out will only be available with a purchase. No minimum spend applies. Thank you for understanding.”
Coles introduced new cash withdrawal restrictions in July. Jo Abi
Australian cash advocate Jason Bryce, who has been a long-time campaigner for cash use rights in Australia, has labelled the move “outrageous”.
He is fighting for greater cash access across the board and laments this move in the opposite direction.
“The big end of town need to actively support cash,” Bryce told nine.com.au.
‘The big end of town need to actively support cash.’ Nine
“I realise in the end it’s the banks’ responsibility to provide access to cash but this cash-out only with a purchase is pretty low.
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A Coles spokesperson told nine.com.au: “Coles recognises that access to cash remains important for some customers, particularly in communities with limited banking services.
“Customers will continue to be able to withdraw up to $200 when making a purchase at participating Coles, with no minimum spend required.”
Withdrawals with purchases are only accessible at customer service desks, cash self-checkout terminals and staffed checkouts.
‘The big end of town need to actively support cash.’ Nine
Cash withdrawals are only available when cards are inserted and a P.I.N entered, and are inaccessible for tap and go purchases.
Cash-out without a purchase isn’t common at Australian retailers, with Coles’ latest move in line with the rest of the industry.
Woolworths’ cash out policy is in line with Coles’ recent change, with customers able to access cash-out of up to $200 per transaction when making a purchase.
Woolworths’ cash out policy is in line with Coles’ recent change. Getty
Nine.com.au has been told Woolworths continues to support customer choice by accepting cash payments across all its stores nationwide alongside card, digital, and Everyday Pay options.
Coles, Woolworths, and Aldi do not charge customers a fee for withdrawing cash at the checkout.
Over at Aldi, customers can request cash-out between $10 and $300 when making a purchase – $100 more than is accessible by Coles and Woolworths shoppers.
Aldi reiterated that cash-out transactions can only be processed when the actual card is inserted at manned checkouts and a P.I.N is entered, as is the case at Coles and Woolworths.
Aldi’s self-checkouts do not offer cash transactions, so withdrawals are restricted to staffed checkouts.
Aldi customers can request cash-out between $10 and $300. Nine
The supermarket has explained its self-checkouts do not have cash out capabilities, as all self-checkouts accept card only to maximise efficiencies and eliminate the additional complexity involved with cash self-checkouts.
Supermarkets didn’t apply payment surcharges to debit or credit card purchases following the October 1 ban. Large businesses can easily absorb the cost, unlike smaller businesses that are being impacted.
The challenge to withdrawing cash at supermarkets continues to be about the number of cash checkouts compared to those that are card only. This is the same challenge customers face when trying to pay cash for their groceries.
It’s now harder than ever to access cash
Cash access has become a hot topic in Australia since the government’s ban on credit card surcharges from October 1, with some smaller businesses offering lower prices for cash transactions due to having to absorb the cost of digital transactions.
Although it is harder than ever to access cash in 2026, not only due to supermarket cash withdrawal rules, but because there are fewer ATMs and bank branches. Many consumers are unaware they can withdraw cash at Australia Post using its Bank@Post service.
Australia now has significantly fewer ATMs and bank branches. iStock
Even though bank branches have closed by the hundreds across Australia, Australia Post’s retail network has contracted at a much slower, controlled pace.
At their peak around 2017, Australia had more than 32,000 ATMs. Today, that total has dropped by more than 50 per cent. More than 1200 bank branches have closed over the past five years.
More than 98 per cent of retail banking interactions now take place via mobile apps and online banking, reducing walk-in foot traffic.
Why the surcharge ban has renewed interest in cash
The card surcharge ban introduced by the Reserve Bank of Australia (RBA) prohibits businesses from adding extra percentage or flat-fee charges when customers pay using debit or credit cards.
The surcharge ban has led to renewed interest in cash purchases. iStock
When a customer pays by card or tap-and-go, the retailer’s bank and card networks charge processing fee which are interchange fees, scheme fees, and terminal charges.
Under the old rules, businesses were permitted to pass along their direct “cost of acceptance” to the buyer. These fees typically ranged between 0.5 per cent for basic eftpos and up to 1.5 per cent for premium credit cards and contactless payments.
Now businesses have been left to absorb this cost, which has seen some smaller business increase prices and offer discounts for cash, renewing interest in maintaining cash as a viable purchase option rather than a complete shift to a cashless society, something Bryce has been advocating against.
