Despite a sudden crash in the use of cash after banks began pushing contactless payments in earnest two years ago, people are still more likely to reach first for notes and coins for the foreseeable future, says a two year study of payment methods.

A survey of Australians' use of 15 different payment options from BPay and eftpos, to credit cards and Bitcoin, since September 2011 shows the use of cash fell sharply in the year to September 2013 from near 90 per cent to 70 per cent of respondents.

Cash has made a small comeback after the initial onslaught of contactless payment cards. Credit:Gillianne Tedder

But its use has risen slightly again since then, according to the study by Hewlett Packard and consultancy RFi.

Alan Shields, RFi's managing director of advisory, said cash use is being eroded by a plethora of different payment methods as well as more people buying online. But the decline of cash had "plateaued" because small business are reluctant to introduce contactless terminals.