12 May 2014 – Shoppers who are refused credit and bank accounts find a new way to pay
Frozen out and unable to benefit from exclusive online deals, 3.5 million shoppers1 are fighting back against credit refusal by finding alternative methods of payment.
An estimated 2.3 million shoppers were refused a bank account between May 2012 and 2013, with a further 1.2 million denied access to a credit card1.
But customer data2 collected by Ukash, which provides products to enable shoppers to use cash to buy goods online even if they’ve been refused credit, reveals the cities which best handle the situation and find an alternative way to pay.
The shoppers who make the most use of Ukash as an alternative payment method live in:
Annual sum of cash converted into Ukash at retail outlets
Shoppers in Edinburgh are putting up the biggest fight, handing over £49,923 in cash in exchange for Ukash, which enables them to spend online2. Bristol, Doncaster and Croydon also make good use of the alternative payment system, which can be spent at online retailers, as well as for gaming. Middlesbrough comes in fifth place. Despite the popularity of Ukash in these cities, a third (33%) of the UK population say they are unaware of ways to shop online without a bank or credit card, leaving them in a vulnerable position if refused credit. Over half (53%) feel that retailers don’t provide enough payment alternatives for those who have no conventional way to shop online.
An added benefit of online cash payment systems is that shoppers don’t need to provide their personal or bank details when they shop with online retailers, protecting themselves against online fraudsters who use increasingly sophisticated methods to con internet users.
Miranda McLean, Marketing Director at Ukash, said: “It’s no secret that the best deals are often found online, and millions of people are missing out on these due to credit refusal. Our latest customer figures prove that people who are aware of alternative payment methods find them incredibly valuable, but there is still a lot more that retailers can do to make their products accessible to everyone.”
Ukash offers a range of secure online payment methods, available to anyone, regardless of their credit rating or financial situation. The Ukash prepaid MasterCard® is easy to top up with cash online by purchasing a Ukash code at over 50,000 outlets in the UK. It can be loaded with up to £5,000 and spent anywhere MasterCard® is accepted worldwide. For more information visit Ukash.com
¹Independent research by the Debt Advisory Centre http://www.debtadvisorycentre.co.uk
²Data recorded from January 2013 – January 2014, based on 1000 best performing Ukash kiosks in the UK. Top five calculated by dividing total spend by number of top performing kiosks in the town/city.