The €50 question

Sir, – Liam Clarke (February 18th) queries the prevalence of €50 notes in ATMs. The answer, of course, is to be found in the fact that using higher denomination notes lowers the cost of servicing ATMs for banks. The National Payments Plan – A Strategic Direction for Payments, April 2013, prepared under the aegis of the Central Bank of Ireland at the request of the Minister for Finance Michael Noonan recommends the increased dispensing of €10 notes in ATMs to be introduced on a phased basis up to Q3 2014.

It is interesting to note that a Central Bank survey quoted in the plan found that, while 86 per cent of cash transactions were valued at under €50 and 40 per cent were valued under €20; 98 per cent of notes dispensed were in denominations of €50 or €20. – Yours, etc,

ERIC O’BRIEN,

The Avenue,

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Broadale, Douglas, Cork.