Despite the spread of COVID-19, cash still remains the second most utilized form of payment, right behind debit cards. During the pandemic, the media has attempted to paint cash as unclean, but studies have reported that the cotton US paper money is printed on carries virus particles for about the same amount of time or less than plastic credit or debit cards do (Fortune). Additionally, microbes are unlikely to spread through contaminated surfaces, but instead are more likely to spread when the virus gets on the hands and then the eyes, nose, or mouth are touched (The Conversation). This is why the World Health Organization continues to recommend hand washing as one of the most effective ways to combat the novel coronavirus.
The spread of misinformation surrounding the safety of cash is unfortunate during the already heightened paranoia spreading throughout the US. According to the Consumer Payment Choice Coalition (CPPC), “some of this hyperbole about cash safety is little more than a transparent effort by those having vested interests in promoting a migration away from cash to electronic payment methods, which in turn would exclude millions in our population from retail markets.”
In addition to CPPC, ATMIA also supports the continued use of cash.
Business Owners Support the Use of Cash
Businesses, particularly many small businesses, will continue to support the use of cash. Of course, many businesses prefer patrons to use cash as they do not have to pay for processing fees associated with card usage.
Furthermore, many cities have implemented cashless bans as they are seen as discriminatory against certain populations. New York, Philadelphia, and San Francisco have all passed legislation banning businesses from denying cash payments. Both Massachusetts and New Jersey have statewide cashless bans.
There are Countless Benefits to Using Cash
There are many benefits to using cash – it is accessible, it is non-discriminative, and it is anonymous.
Approximately 6.5% of US households are unbanked, and another 18.7% are under-banked (Fortune). Banking in the US is expensive – barring many lower-income families from entry. A cashless system would completely bar this community from completing transactions.
Additionally, cash provides anonymity that is appealing for many. In today’s digital age, it is harder and harder to remain anonymous, and cash provides a level of privacy that can be used for a variety of reasons.
While patrons enjoy cash for a multitude of reasons, business owners also benefit from the use of cash. Businesses with ATMs enjoy higher patronage, and restaurants, clubs, and bars are notoriously heavy on cash transactions. Cash may even prove to support a more diverse patronage. Cash transactions also prove to make business sense for company owners, as it costs less to do a cash transaction versus a card transaction; there are no processing fees for cash. Lastly, there is no room for technology errors when accepting cash, whereas point-of-sale systems accepting cards can often fail.
Cash is King, Despite COVID-19
The Consumer Payment Choice Coalition states that US currency poses no greater risk than cards, or even the cellphones we carry daily (CPCC). It is important that business owners and ATM Deployers commit to providing safe cash transactions while consumers regain their confidence post-pandemic.