Is it legal to refuse to accept cash as payment?

[SomeOtherGuy]

Completely legal under federal law.

https://www.federalreserve.gov/faqs/...ys%20otherwise.

From your link:

Section 31 U.S.C. 5103, entitled "Legal tender," states: "United States coins and currency [including Federal Reserve notes and circulating notes of Federal Reserve Banks and national banks] are legal tender for all debts, public charges, taxes, and dues." This statute means that all U.S. money as identified above is a valid and legal offer of payment for debts when tendered to a creditor.

So what this means (along with parts I didn't quote), is that if a sale has not yet occurred, the business can refuse cash. However, if you have already taken goods or services and the seller demands payment, cash is legal tender, i.e. valid payment, for that debt.

Real life example: McDonald's could refuse to let you buy food with cash and just not serve you. But Chateau d'Pricey table-service restaurant cannot call the cops if, after eating your meal, you offer cash in payment and they would prefer not to take cash. Same for gas stations that don't require pre-pay, any motel that doesn't require pre-pay (doubt those exist), etc.

[ColtSeavers]

Completely legal under federal law.

https://www.federalreserve.gov/faqs/...ys%20otherwise.

Thank you.

[ColtSeavers]

Of course. Does Amazon take cash?

Not what I was asking.

If amazon has a storefront down the street from you, are they allowed to not accept cash as payment if you physically go into their storefront to purchase goods?

[OH58D]

Last year, Bank of America's CEO indicated he would prefer a cashless society. As a consumer (non business customer) try to make a deposit with loose coins as part of the deposit. They will not accept loose change. It has to be rolled and they will give you the wrappers to do it, provided your loose change is enough for the full wrapper.

Eventually B of A won't even have tellers. They will have a few personal bankers in each branch, but they will push you to start using their phone app or online system called ERICA.

[chadbag]

That is why you go to a local credit union. I regularly deposit small amounts of change that my kids give me for various things they need to pay me for. Screw the big banks.

[rjacobs]

As a consumer (non business customer) try to make a deposit with loose coins as part of the deposit. They will not accept loose change. It has to be rolled and they will give you the wrappers to do it, provided your loose change is enough for the full wrapper.

Is this strictly at BofA? Because my local bank(not BofA) WONT accept coins already rolled. They will break them out and dump them in their counting machine. So I just bring them a big ass bag of mixed coins about once a year, they dump it in the machine, and then do a deposit based on that...


And back to the other question of legality... I was told by the Texas Attorney General office 6 or 7 years ago that its not legal for a business to not accept cash as it is "legal tender" per the federal government. I was in a restaurant/bar in Houston, had a meal, etc... and went to pay and they said "no cash, only card" to which I said "I only have cash, my debit card account is empty, so take my cash, I dont even need change, or I am getting a free meal"... I got a free meal... I couldnt understand the refusal to take cash up to the point they even gave me a free meal... So I emailed the attorney generals office and asked the question. I kept the response on my phone for a few years, but until Covid, never ran into it again.

[SomeOtherGuy]

And back to the other question of legality... I was told by the Texas Attorney General office 6 or 7 years ago that its not legal for a business to not accept cash as it is "legal tender" per the federal government. I was in a restaurant/bar in Houston, had a meal, etc... and went to pay and they said "no cash, only card" to which I said "I only have cash, my debit card account is empty, so take my cash, I dont even need change, or I am getting a free meal"... I got a free meal... I couldnt understand the refusal to take cash up to the point they even gave me a free meal... So I emailed the attorney generals office and asked the question. I kept the response on my phone for a few years, but until Covid, never ran into it again.

See post #11. This is the very meaning of "legal tender."

As for coins - I mostly use credit unions and they all have coin-counting machines that you just dump a jar (etc.) into, they spit out a receipt and you deposit that. No surcharge, no hassle. In my experience the worst credit union offers as good or better terms vs. the best local bank, and far better than any national-sized bank I've dealt with.

[OH58D]

Is this strictly at BofA? Because my local bank(not BofA) WONT accept coins already rolled. They will break them out and dump them in their counting machine. So I just bring them a big ass bag of mixed coins about once a year, they dump it in the machine, and then do a deposit based on that...

As a business, we have a couple of commercial bank accounts. This is a BofA thing. They are also starting to eliminate drive up banking teller windows. Instead they have increased the number of ATM's outside. The one I have dealt with has three outside ATM's - one at the front of the building and two drive ups.

[rjacobs]

As a business, we have a couple of commercial bank accounts. This is a BofA thing. They are also starting to eliminate drive up banking teller windows. Instead they have increased the number of ATM's outside. The one I have dealt with has three outside ATM's - one at the front of the building and two drive ups.

Maybe they will install a coin slot... You can sit there and clog up the drive through ATM for an hour or so... while you feed like 400 bucks worth of change into the thing LOL.

[GH41]

I don't blame them for not taking cash. Few people under 40 can tell time on an analog clock much less make change!