Following a successful 12-month pilot, LINK, the UK’s largest cash machine network, is rolling out Cashback Without Purchase across the UK. It is already live in over 1000 locations.
PayPoint is the first of LINK’s Members to provide the service and will be offering it at more than 2,000 shops before the end of the year. The ability to offer the service is open to all LINK Members and LINK hopes that others will also take up the opportunity as the market develops.
This initiative means consumers will be able to withdraw cash or check balances in smaller shops without the need to buy an item in-store or pay a fee, providing a valuable new way to access cash on the High Street. The Government made changes to the law through the Financial Services Act 2021 earlier this year to facilitate cashback without a purchase services.
The initiative originally formed part of the Community Access to Cash Pilots, led by Natalie Ceeney CBE and was piloted in shops across Burslem in Staffordshire (England), Hay-on-Wye in Powys (Wales), Cambuslang in South Lanarkshire (Scotland) and Denny in Stirlingshire (Scotland). However, its future was secured beyond the pilots following an amendment to Financial Services Bill 2021, which became law earlier this year.
Consumers using the service can choose to withdraw any amount between 1p and £50 rather than being restricted to notes dispensed by ATMs. During the year long trial, more than 24,800 transactions have been made with an average withdrawal size of £27.81. Over £680,000 has been taken out using the channel so far. Retailers are remunerated for providing this service by the cardholder’s bank via the LINK Member offering the service.
Consumers will be able to find their nearest Cashback Without Purchase location using LINK’s Cash Locator and Cash Locator App.
NOTES TO EDITORS:
About Cashback Without Purchase: Cashback Without Purchase uses LINK’s existing network to provide cashback, without needing a purchase, from participating retailers’ tills. Unlike existing cashback schemes offered at locations such as supermarkets or pubs, Cashback Without Purchase does not require the customer to pay for something before cashback can be offered. Additionally, customers can use the service to check their balance like they do at an ATM.
About the LINK Scheme: The LINK Scheme is the national ATM Network that connects virtually all the UK’s ATMs. LINK’s role is to provide UK consumers with universal access to cash in a safe, convenient and rapid manner. LINK has 34 industry organisations as Members that issue ATM cards and deploy ATMs in the UK. LINK cash withdrawals account for around three-quarters of all cash withdrawals, with the remainder made up of withdrawals where cardholders use their own bank or building society’s cash machines to access their cash. LINK is a not-for-profit organisation and governed by an independent Board, which has a clearly defined public interest remit. www.link.co.uk
About The Consumer Council: The LINK Consumer Council was established by LINK in April 2006 to provide advice on consumer issues that relate to the UK’s largest cash machine network, and to represent the interests of consumers in the governance and development of the network. The Council brings together independent consumer representatives and LINK Members including card issuing banks and cash machine operators. It is chaired by Tracey Graham who is a non-executive Director of the Link Scheme Holdings Ltd Board.
The Council funded the trial of Cashback Without Purchase using its development fund.
The Council provides advice on consumer issues relating to the UK cash machine network and represents consumer interests. The current Consumer Council has the following members:
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