Cyprus banks are expanding efforts to promote the Cashback service, allowing customers to withdraw cash at retail points through POS terminals while making purchases. The service has grown significantly over the past three years and is now available at more than 500 retail outlets across the island.
The long-term objective is to double the network to 1,000 locations, strengthening access to cash, particularly in remote communities.
Network expansion plans
The initiative is being promoted jointly by the Association of Cyprus Banks, Visa, JCC Payments and Vpayments.
Speaking at a press conference, participants said the value of Cashback transactions, which amounts to millions of euros, demonstrates the importance of the service, particularly in rural areas where access to banking facilities may be limited.
The service is currently available at more than 500 retail locations, compared with just 30 to 40 outlets three years ago. Cashback locations are listed on the JCC website.
How the service works
The maximum withdrawal amount is €100 per transaction, with no charge for either customers or participating businesses.
Officials explained that customers may carry out additional transactions to withdraw further amounts, provided businesses have sufficient cash available. Decisions on additional withdrawals are made by individual retailers, while bank security controls continue to apply.
To use the service, customers must make a purchase of any value at the point of sale.
Cash withdrawals are available only through debit cards linked directly to a bank account with sufficient available funds. The service is not available through credit cards.
Support for vulnerable groups
Association of Cyprus Banks director general Marios Skandalis said the renewed Cashback campaign forms part of a broader social support strategy aimed at providing practical services to citizens, especially vulnerable groups.
"Our objective is to offer even more options through the Cashback service, as well as new services designed to simplify transactions and make everyday life easier while maintaining full security," he said.
Asked about future initiatives, Skandalis said efforts would focus on providing support and guidance to help vulnerable groups adapt to digital banking services.
He added that discussions are already under way with companies operating extensive retail networks that could be utilised to provide additional Cashback points, with announcements expected in the near future.
Benefits for consumers and businesses
Marios Nicolaou, senior officer at the Association of Cyprus Banks, said the ability to withdraw cash directly from everyday shopping locations such as supermarkets, bakeries and petrol stations saves time and offers convenience, particularly for residents of remote communities.
He said the goal is to ensure that each community eventually has one or two businesses offering the service.
According to Nicolaou, consumers benefit from easier access to cash, while businesses gain a competitive advantage by providing an additional service and improving the management of cash held on their premises.
Consumer choice remains important
Visa Cyprus Country Manager Michalis Ioannides said the shift towards digital payments is being driven largely by consumer behaviour.
He noted that the objective is to provide consumers with payment options while preserving their freedom to choose how they wish to pay.
