The $10k cash call: Why large payments are on the scrapheap
Amendments to The Bill
On Thursday, Labor’s shadow assistant treasurer Stephen Jones pushed for an amendment to the bill. This “recognises the importance of cash for conducting transactions around Australia” following “a lot of concern within the community about the impact of this bill”.
Independent MP Andrew Wilkie flagged concerns the measure will push customers into the banking system. Especially given the impending threat of negative interest rates.
“An interesting line of argument, which I think has some merit, is: if Australia does eventually reach negative interest rates, cash will assume new importance. But this bill will diminish the ability of people to use cash,” Wilkie said.
Amanda Cassar of Wealth Planning Partners believes the concerns are overblown.
“For the most part, people now take advantage of online and phone banking services.” But, she acknowledged “the fine and possible jail sentence for innocent people who still have a preference to use cash.”
In the same vein, Finn Dorney of Shadforth Financial Group says “a move to reduce the amount of cash transactions over time will only benefit Australians. However, there is no argument that some cash transactions can be linked with criminal behaviour. This does not account for all transactions of this type. Therefore, careful consideration needs to be given to the implementation of such an extreme change in legislation.”