Cash, Mobile Payment, or Credit Card as Your Main Payment Method?

[smirking]

What type of payment method is your preferred way to pay for things in person? Please note the bold text. This is a poll about the type of payment method you would use if all options were available at any given time? If everyone took Apple Pay/Android Pay/Etc, is that what you would use or would you still be using Cash or Credit Card? Why?
[doublepost=1497303861][/doublepost]I prefer cash followed by Apple Pay. My reasoning has less to do with convenience and everything to do with sending less money to big banks and more to retailers, especially the small ones. If I'm buying from a small business or I'm eating at a restaurant, I almost always use cash. Transaction fees for processing, while not large, are substantial enough to be felt by smaller retailers.

 

[Julien]

....My reasoning has less to do with convenience and everything to do with sending less money to big banks and more to retailers, especially the small ones. If I'm buying from a small business or I'm eating at a restaurant, I almost always use cash. Transaction fees for processing, while not large, are substantial enough to be felt by smaller retailers.

Actually your reasoning is flawed. Cash actually costs businesses more to handle than CC transaction fees.

• Armored car service
• Employee theft and mistakes
• Extra security and accounting procedures
• Increased insurance rates
• Increased chance of armed robbery
• Deposit mistakes and discrepancies
• Increased man hour cost involved with handling cash
• Bank fess for change orders (you have to be able to give change)

These are only a few of the obvious reasons businesses don't like handling cash.

 

[campyguy]

Credit card. I got caught up in the Target/Adobe/Home Depot crap, that's 4 debit cards for on account. I had my head in the sand. Better protections with credit cards IMO, the money doesn't come out of my checking account.

I didn't choose a poll option, CC-only for me.

 

[smirking]

Actually your reasoning is flawed. Cash actually costs businesses more to handle than CC transaction fees.

Those are some really good points that I never considered, but I'd still say for the smallest businesses, cash is still better. I'm talking about businesses that are mostly run by one person or are family run. They're not paying for amored cars and are counting every penny. I can certainly see that if you're operating in an area where there's a greater likelihood of being robbed or you have third parties that you have to work with (employees and others), the chances of cash loss is a substantial risk that would make card and digital currencies more attractive.

I still see it as a case by case basis. I'll keep using cash and checks for people who seem to prefer it, but won't hesitate to use a card either. However, I still don't like giving more money to big banks so I'm still leaning toward cash if the best option is ambiguous.

BTW, is it true that the transaction rates on Apple Pay is lower than typical card based transactions because it carries a lower fraud risk? Apple Pay is my second option for that reason (again, not giving more money to banks than I need to).

I didn't choose a poll option, CC-only for me.

Just choose the closest one, "Credit Card / Debit".

 

[dontwalkhand]

What type of payment method is your preferred way to pay for things in person? Please note the bold text. This is a poll about the type of payment method you would use if all options were available at any given time? If everyone took Apple Pay/Android Pay/Etc, is that what you would use or would you still be using Cash or Credit Card? Why?
[doublepost=1497303861][/doublepost]I prefer cash followed by Apple Pay. My reasoning has less to do with convenience and everything to do with sending less money to big banks and more to retailers, especially the small ones. If I'm buying from a small business or I'm eating at a restaurant, I almost always use cash. Transaction fees for processing, while not large, are substantial enough to be felt by smaller retailers.

Apple Pay.

 

[Alrescha]

Actually your reasoning is flawed. Cash actually costs businesses more to handle than CC transaction fees.

If this is true, why do so many places still offer a discount for cash?

Your list seems more like a collection of things that *could* cause cash to be more expensive, but not examples of real-world reasons that actually do.

On topic: Apple Pay is always my first choice. Had a couple of issues when it was first rolled out, but everyone seems up to speed now. I will use cash for small transactions (less than $20), then a credit card. Never debit.

A.

 

[D582]

I will use Apple Pay for any transaction amount (begrudgingly followed by the physical card if the merchant does not accept contactless payments).

I prefer cash followed by Apple Pay. My reasoning has less to do with convenience and everything to do with sending less money to big banks and more to retailers, especially the small ones. If I'm buying from a small business or I'm eating at a restaurant, I almost always use cash. Transaction fees for processing, while not large, are substantial enough to be felt by smaller retailers.

If a business chooses to accept credit cards, they are building the cost of that transaction fees into their prices (which in places in the US are quite high anyways). By using cash, yes the business benefits more as they are receiving more money than if you paid by card (and therefore more than they expected). However, as a consumer, you are leaving money on the table as you could have used a cashback or rewards card and received the benefits that you implicitly paying for.

If this is true, why do so many places still offer a discount for cash?

Your list seems more like a collection of things that *could* cause cash to be more expensive, but not examples of real-world reasons that actually do.

I disagree - many of the items listed are hidden costs of accepting and handling cash that many businesses do not actually consider or quantify because they are not direct outlays (where as card processing fees are). However, these should not be dismissed.

In places where contactless is much more widely accepted (like Canada, UK, Australia etc.) I am starting to see increases in 'cashless' businesses with contactless being the preferred method because it is quick and easy.

 

[CTHarrryH]

I would use Apple Pay if it were accepted more and if it worked all the time where I do use it. I almost never do cash except where required. There are places where Apple Pay works most of the time but not all - then there are places where it used to work but doesn't anymore (McDonalds for me)

 

[ImBuz]

Actually your reasoning is flawed. Cash actually costs businesses more to handle than CC transaction fees.

• Armored car service
• Employee theft and mistakes
• Extra security and accounting procedures
• Increased insurance rates
• Increased chance of armed robbery
• Deposit mistakes and discrepancies
• Increased man hour cost involved with handling cash
• Bank fess for change orders (you have to be able to give change)

These are only a few of the obvious reasons businesses don't like handling cash.

I have (40 years ) and still do have a small business, none of the above apply to me--give me cash any day--employees theft is not nearly as much as the CC fees I have to pay !