In this quickly changing digital era, where contactless payments and smartphone wallets have become the standard, it may come as a surprise that cash remains an essential means of payment for many people.
Many people still use cash to purchase anything they require.
Keeping up with technology’s changes is becoming more difficult for some. Recognizing the need for financial presence and admitting that not everyone has access to digital payment methods, numerous states across the nation have introduced measures such as SB 106 to ensure that companies continue to accept cash as a viable form of payment.
According to the Florida Senate, SB 106, also known as the “Acceptance of Cash Payments by Businesses Act,” is a measure that requires some companies to take cash payments during transactions. Additionally, this bill prohibits those companies from adding fees or restrictions when accepting cash payments. Businesses that violate this will face penalties, if SB 106 is enacted.
Refusing to accept cash as payment might be perceived as discriminatory since it eliminates those who rely on cash for a variety of reasons. This bill is suitable for those who may not have credit cards or methods such as Apple Pay set up.
In an age when data breaches and privacy issues exist, some people choose cash for its invisibility. SB 106 preserves the privacy of those who may be concerned about the tracking of electronic payments by permitting cash payments.
According to the Florida Senate, a violation of this provision can result in a civil penalty of up to $2,500 for the first offense, $5,000 for the following offense, and $10,000 for the third or later crime.
Of course, with these fines, businesses want to avoid being burdened with a large payment for something that may be resolved swiftly. Businesses that take cash can reach a more extensive consumer base, increasing income. Furthermore, companies that refuse to accept cash may risk community reaction since it may be perceived as discriminating or exclusive.
When you think about it, introducing legislation to ensure companies do not tax you because you used cash is ludicrous. Given the state of the economy, any method of payment would be acceptable to many companies.
This bill aims at maintaining financial inclusiveness and guaranteeing that all citizens, regardless of financial status, have access to essential products and services.
Cash payments might be critical when electronic payment systems fail during catastrophes or natural disasters.
Hopefully, cash payments will always be an option, but it is difficult to say how technology alters everything.