As more and more businesses embrace cashless payments, consumers are finding that their good old-fashioned cash is no longer welcome, according to a new report from the Wall Street Journal.
From sports stadiums to theme parks, people are being forced to use “reverse ATMs” to convert their cash into debit cards – and it’s costing them big time.
Just ask Noa Khamallah, a New Yorker who recently visited Yankee Stadium.
He was shocked to find out that in order to buy his favorite ballpark treats, he had to pay a $3.50 fee just to turn his cash into a debit card. “It’s just not right,” Khamallah told the Wall Street Journal, and many others agree.
These reverse ATM fees can be ridiculously high, with some people reporting charges of over $6 just to access their own money.
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For parents like Prudence Weaver, this means paying an extra $6 so her 13-year-old can enjoy a slushy at the amusement park. “I get that electronic payments are a thing,” Weaver said, “but it shouldn’t be the only option.”
Despite the rise of digital payments, cash is still a big part of the American economy.
The Federal Reserve says that 16% of all payments in 2023 were made in cash – a significant chunk of transactions.
"shocked to discover that his cash was as good as obsolete. Instead, he was directed to a "reverse ATM," where he inserted $200 only to receive a debit card with $196.50 – after he was hit with a $3.50 service fee for the 'convenience' of going cash-free"https://t.co/DZNfpuqigu
— Dale West (@SomthngPoppedUp) June 17, 2024
For many people, especially the young, the elderly, and the poor, cash isn’t just a choice, it’s a necessity.
This push towards a cashless society has sparked a backlash, with some states passing laws that ban cashless stores.
Congress is even considering bills that would require businesses to accept cash for purchases under $500. Jonathan Alexander, who leads a group advocating for cash payments, can’t believe it’s come to this: “It’s crazy that we actually have to tell businesses, ‘This is U.S. money, and you should take it.'”
Meanwhile, companies that make reverse ATMs, like RedyRef, are cashing in on this trend. They’ve seen a huge spike in demand for their machines as more businesses go cashless.
But while businesses pocket the fees from these new systems, it’s the everyday consumer who’s paying the price.
The cost of going cashless keeps climbing, and it’s hurting the people who can least afford it.
It’s not just inconvenient; it’s threatening to shut out those who depend on cash from fully participating in the economy.
As we navigate this new digital world, we need to think hard about what a cashless society means and make sure no one gets left behind.
Cash may not be king anymore, but it still deserves a seat at the table.
So the next time you head out to catch a game or ride some roller coasters, remember: bringing your card might be easy, but it could end up costing you a whole lot more than you planned.
