A watchful eye when entering a shop, snack bar, or restaurant is worthwhile. Otherwise, you may want to pay and find that your counterpart surprisingly does not accept cash. More and more often, you'll find notices on entrance doors about limited payment options: "No cash accepted," "Credit or debit cards only," "Cash only." A situation that recently shocked consumer advocates and led to a demand for the euro area.
Difficult access to cash
Various studies circulate on the topic of cash. The consensus: card payments are increasing, but many do not want to miss the chance to pay in cash. At the same time, access to cash is becoming more difficult. According to an online survey of 1,000 internet users by the opinion research institute eye square GmbH on behalf of the Consumer Association (vzbv), this is shown in various ways. On the one hand, a good quarter of respondents have to take a longer route to the ATM. On the other hand, withdrawal costs have increased for over 20 percent of respondents.
Now another everyday hurdle is added: retailers and restaurateurs more often refuse cash. 27 percent of respondents stated they found themselves in a situation at least once in the last six months where they couldn't pay in cash. The consumer center sees this as a deficiency. Their demand is to promote acceptance of cash - throughout the euro area.
Enshrine cash payments in law!?
The argumentation for the relevance of secured access to cash is multifaceted. Privacy for each individual, participation in public life, access to a means of payment - the buzzwords here are: Cybercrime - or simply the desire to be free to choose the method of payment, are cited by vzbv in this context. To benefit from the various advantages, consumer advocates see a legal obligation to accept as necessary.
The direction was similar for 2023. It proposed classifying the euro as cash as legal tender, strengthening its role as a payment method. This, in turn, requires member states to guarantee permanent access. This would put the decision back 100 percent in the hands of the consumer, whether they want to pay in cash or prefer to use a card.
“No cash accepted”: What does the law say
Apart from the individual wishes, one question arises: Is refusing cash payments in trade and gastronomy even permissible? Under certain circumstances, yes. If both parties agree on another payment method before the purchase - a corresponding notice or sign is usually sufficient here - the exclusion of cash is possible.
Private companies can therefore contractually exclude cash payments. In addition, individual restrictions can be implemented without prior communication: A café can, for example, refuse to accept 500-euro bills. If consumers want to pay with too many euro coins, the seller can also reject this. In the last case, it applies: Since euro coins can be categorized as a "restricted" means of payment, they do not have to be accepted in unlimited amounts.
The future of cash payment
What exactly the future will bring is, as so often, uncertain. Will we stand at the shop counter in the future and only be able and/or willing to rely on card payments? Or must retailers and restaurateurs leave us the freedom to decide? Three scenarios on what role cash may play for consumers and trade in the future have been described by the Deutsche Bundesbank within the framework of the National Cash Forum. A summary can be found in our blog post
Whether in retail or gastronomy - if you want to continue accepting cash, you need a secure, transparent, and efficient cash management. We are happy to show you what this could look like!