For as long as most of us can remember, people have quoted the familiar phrase, “Cash is king.” Well, based on current retail trends, we’re going to have to change our tune. A growing number of businesses – not to mention many city festivals and even some national park sites – are saying a loud “No” to cash, in favor of credit cards or digital payment platforms.

This expanding restriction on good old American greenbacks is leaving millions of consumers out in the cold, including many seniors. Some cities and states have responded with laws requiring businesses to accept cash for most transactions, but a federal proposal to do the same has been hibernating in Congress since 2019. As one researcher states, “We’re putting another burden on the elderly that we don’t have to.”

To bring you the latest on the cashless trend, we’re taking a look at this recent New York Times report, written by Paula Span. With millions of seniors still relying on cash, and about one in five lacking a smart phone, what’s good for retailers may put many older shoppers in a bind. If this applies to you or to someone you love, pay attention, because the market may soon force you to change your buying habits. (Please note that a subscription may be required to access the New York Times article.)

There Are Some Things Cash Can’t Buy

Span begins her article with a list of some things you can no longer do with cash. Some of them are on the more niche side of the spectrum, like “buy a well-loaded hot dog at any of the five Devil Dawgs eateries in and around Chicago”, but others are a bit more ubiquitous, like purchasing admission to many sites maintained by the National Park Service—including the historic home of Franklin D. Roosevelt.

To this last point she adds, “The park service’s expanding no-cash policy exasperated several would-be visitors enough for them to sue in federal court earlier this year.” News reports say that the three plaintiffs aren’t asking for punitive damages – they just want the National Park Service to restore the right to pay in cash. The NPS has asked to have the case dismissed.

Regardless, the point is clear: many tourist sites, recreational areas, and restaurants nationwide are moving away from cash altogether, creating an increasing issue of accessibility.

Economist Jay Zagorsky, author of a forthcoming book called “The Power of Cash”, agrees. While the United States is not a cashless society yet, he says that this trend “is picking up speed all over the world.”

COVID Fears, Rising Crime Contribute to the Cashless Trend

For some, there is a reason to the “no cash” rule. Fears around contagion and the outbreak of COVID are a contributing factor, as well as the discouragement of robberies. And this has worked, according to Dena Bachenheimer, a chief executive at Devil Dawgs, after the chain went cashless in 2021.  

What’s more, the law protects cashless policies. Span notes, “Although every bill declares it is ‘legal tender for all debts, public and private,’ there is no federal law mandating that private businesses accept cash.”

But there are clear downsides to cashless policies. Low-income people without access to bank accounts, people who don’t qualify for credit or debit cards, the homeless, undocumented immigrants, and older adults are all potentially disadvantaged by these systems.

Digital Platforms Far from Foolproof, Say Experts

Still, even those with easy access to cashless payments can encounter problems. Zagorsky provides this example: “We’re seeing an increase in major natural weather disasters, and they take down the cashless society. It depends on electricity, telecommunication networks and secure computer networks,” all of which are threatened by floods, hurricanes, and fires.

He adds that “the idea that we have trustworthy computer networks is farcical. In a cashless society, mobsters from Thailand or Kenya can attack you.” With cash, “a thief has to be within striking distance.”

Avoiding the “Pain of Paying” – Credit Consumers Spend More

Cashless transactions are also frictionless, something that researchers have reported for years. Consumers spend more when they’re using credit and debit cards, according to experts; these cashless methods obscure what economists call the “pain of paying.”

In other words, Span writes, “Tapping or swiping, gratifying consumers immediately while delaying the eventual pang, feels less real than handing over cash.”

Ruth Susswein, the director of consumer protection at Consumer Action, explains, “It’s too easy to make a purchase with your phone or credit card — you just touch it. It’s like magic, until the bill arrives.”

Pro-Cash Advocates Cite Privacy, Surveillance Concerns

One of cash’s chief benefits is its privacy, something that concerns people of all ages.

Jay Stanley, the senior policy analyst at the A.C.L.U., says, “If I give you a $5 bill and you give me a sandwich, no one is the wiser.” But on the other hand, credit card companies, banks, and tech giants behind mobile apps can act as middlemen and, as Stanley puts it, “surveil the hell out of everything we do,” and then sell consumers’ data. This fact makes cash the preferred payment method for many privacy activists.

Smart Phone Requirement Leaves Many Seniors Behind

Of all the disadvantaged groups, older people may face specific obstacles as society moves away from cash. “A lot of these cashless systems are implemented through smartphones,” Stanley says. “The level of smartphone ownership is lower among older adults, and facility with using them is also lower.”

Span confirms this, and so does the data. “Pew Research has reported that only 79 percent of people over 65 have a smartphone, compared with 97 percent of people aged 30 to 49,” she writes. “Consumers over 55 used cash for 22 percent of payments last year, according to the Federal Reserve, compared with 12 percent among younger groups.”

She adds that a recent federal survey asked respondents if they had used the Internet for financial services like online banking and bill paying, or for sending money via services like Cash App, Venmo or PayPal. Among those in their 20s and 30s, the “yes” responses were at 85 percent.

But, Span writes, “The proportion dropped substantially among older consumers, to 70 percent of people in their 60s and to 64 percent of those in their 70s. Among consumers over 80, only about half used the internet for financial services.”

No Buttons, No Passwords, Less Fraud with Cash

For its proponents, there are other clear benefits to cash. “Cash is very simple,” Dr. Zagorsky notes. “No buttons to push. No passwords to remember.” When businesses and government agencies insist on electronic payment, he adds, “we’re putting another burden on the elderly that we don’t have to.”

Scams and fraud are also a disproportionate threat to older adults, a greater risk with online payments. Span writes, “The Federal Trade Commission recently reported that adults over 60 are less likely than younger adults to report losing money to fraud, but when they do, the lost totals run substantially higher. The number of seniors who have reported losing $100,000 or more has tripled since 2020.”

The risks of overspending are also higher for low-income older adults. Span explains, “About 14 percent of people receiving Social Security retirement benefits rely on them for 90 percent or more of family income, the Social Security Administration said. The average monthly retirement benefit in 2024: $1,907.  There’s not much margin for the kind of overspending that digital transactions make easier.”

Some States and Cities Act While Federal Bill Languishes

On a state level, some governments are pushing back by-passing legislation requiring businesses (with few exceptions) to accept cash. Similar bills have been introduced in other states, and some major cities—like New York, Philadelphia, and San Francisco—have adopted laws prohibiting no-cash policies.

In the Pacific Northwest, merchants in unincorporated King County, Washington, home to AgingOptions and Life Point Law, will be required to accept cash as of July, 2025. Snohomish County, Washington, just north of Seattle, has a similar law taking effect next month.

Action May Soon Shift to Washington, D.C.

“The action may soon shift to Congress,” Span writes. “A bipartisan group of senators and representatives has sponsored the Payment Choice Act, requiring retail businesses to accept cash for on-site purchases of $500 or less.”

This legislation was first introduced in 2019, reintroduced again with revisions last year, and has been “gathering dust” since, according to Jeff Thinnes (whose Virginia-based consulting firm represents the Payment Choice Coalition).

The coalition’s corporate supporters include armored car companies, a Cincinnati-based bank, a risk management firm, and a manufacturer of currency printing and sorting machines. “We’re not arguing for the demise of credit cards or payment apps,” Thinnes says. “We want cash to remain a choice.”

The fight could be a fierce one, and Thinnes expects resistance from big banks, credit card companies, and tech giants. But consumer advocacy and privacy groups are likely to join the coalition’s battle. “We have a good shot at moving this forward,” Thinnes predicts.

Some Pro-Cash Seniors Just Say No

Span reminds us that not all older adults feel ill-equipped to handle cashless payments. But even so, many of the more adept online users still want the cash option preserved.

She concludes the article with this example. A few years ago, Maureen Edelson, a New Jersey-based consultant, visited the Penn Museum on the University of Pennsylvania campus and stopped to buy a bottled drink at the cafe. The cashier regretfully told her she could not pay with cash. (This was a policy related to COVID that has since been dropped.)

Edelson, 67, could have pulled out a credit card, but “it’s not my habit to use it for things like that,” she says. “That’s not what my generation does.”

Span writes, “On principle, she asked for directions to the nearest water fountain.”

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(originally reported at www.nytimes.com)