Visa Now Paying Businesses to Stop Taking Cash

[Anti Federalist]

War on Cash 2.0 — Visa Now Paying Businesses to Stop Taking Cash

http://thefreethoughtproject.com/war...2-0-visa-cash/

Visa has officially announced that they intend to snub out cash and create a world in which all transactions are monitored and tracked.

By Matt Agorist July 17, 2017

According to the most recent data, Visa — which is mostly owned by banks–accounts for over 50 percent of all credit card transactions and 70 percent of all debit card transactions in the world. Hundreds of billions in transactions process through Visa’s databases every year and this number continues to grow.

Despite their overwhelming increase in market share, cards issued, and overall total volume, Visa has made a recent move that shows they intend to completely snub out their most unaccountable, untraceable, and most liberty-associated competitor and means of payment–cash.

In a news release, ostensibly written as an attempt to “help small businesses,” Visa announced that they are launching “a major effort to encourage businesses to go cashless. Aiming to create a culture where cash is no longer king, the program will give merchants increased ability to accept all forms of global digital payments.”

“At Visa, we believe you can be everywhere you want to be, and that it should be easy to pay and be paid in more ways than ever — whether it’s a phone, card, wearable or other device,” Jack Forestell, Visa’s head of global merchant solutions, said in a statement. “We have an incredible opportunity to educate merchants and consumers alike on the effectiveness of going cashless.”

Laughably, Visa claims that companies who stop accepting cash — a major form of payment for people around the globe — that they could increase profits.

Apparently, they want business owners to forget that they take upwards of five percent of every single transaction.

“The important thing to realize is that going with ‘fast and easy’ is not always the best and most cost effective,” Marco Carabjo, a credit expert, wrote in a 2013 U.S. Small Business Administration blog post.

“Typical merchant account companies can charge up to 5 percent of everything a company earns with prices consisting of merchant processing costs, gateway fees, interchange costs, Visa, MasterCard, American Express charges, statement fees and so on.”

Outside of the obvious reason of convincing businesses to go cashless so they can tax their sales into oblivion by creating a monopoly on accepting payments, the implications for control and surveillance are far more insidious.

Visa — just like government — wants to monitor your spending habits and use that data to exploit humanity. This is why governments and banks across the world have almost simultaneously launched a war on cash.

Earlier this year, the European Commission proposed enforcing “restrictions on payments in cash” under an all-too-familiar premise — terrorism.

“Payments in cash are widely used in the financing of terrorist activities,” the Commission’s proposal states. “In this context, the relevance of potential upper limits to cash payments could also be explored. Several Member States have in place prohibitions for cash payments above a specific threshold.”

According to the Commission’s Inception Impact Assessment, “Cash has the important feature of offering anonymity to transactions. Such anonymity may be desired for legitimate reason (e.g. protection of privacy). But, such anonymity can also be misused for money laundering and terrorist financing purposes. The possibility to conduct large cash payments facilitates money laundering and terrorist financing activities because of the difficulty to control cash payment transactions.”

Just before the EU’s announcement of their war on cash, Citibank announced similar moves and stated it will no longer accept cash deposits or deal in cash.

Citibank Australia’s head of retail bank Janine Copelin offered an explanation saying, “We have seen a steady decline in the demand for cash services in our branches — in fact, less than 4% of Citi customers have used this service in the last 12 months.” The company stated it will no longer handle currency as a result.

“This move to cashless branches reflects Citi’s commitment to digital banking and we are investing in the channels our customers prefer to use…While the number of customers visiting our branches to access cash handling services has fallen, the branch network remains an important component of how we serve our high-net-worth customers,” said Copelin.

As Mises Institute professor, Joseph Salerno predicted in 2015, the war on cash is an inevitable move by big banks and the State. “I think this could come in the next couple of years. If they have to bail out the financial system again…they’ll block the cash in the banks to prevent it from escaping and destabilizing these fractional reserve banks,” Salerno said in an interview with Ron Paul.

It appears that the Trump administration has already been preparing for this move by filling the swamp with Goldman Sachs execs and essentially remaining silent on his campaign promise to audit the Federal Reserve.

Make no mistake, when governments and banks control and monitor 100 percent of what you spend, tyranny has set in. If ever there was a time to start investing in crypto currency and precious metals, it is now.

[Swordsmyth]

They will lose customers if they fall for it.

[Suzanimal]

I recently had a discussion about this with the guy who owns the pool store. He used to give a cash discount and quit because credit card customers complained and he couldn't afford to lose the business. He's a mom and pop store and has trouble staying competitive with Leslie Pool and online retailers as it is.

Through the years Mr Animal quit accepting certain cards because their fees were too high. He went back and forth with Amex for years. Now, he says he has to take them because almost no one pays in cash anymore.

[Suzanimal]

I wanted to add...I imagine they're not only going to pay them to get started but they're going to sell it to businesses as a security feature. No cash, no worries about being robbed.

[Anti Federalist]

I wanted to add...I imagine they're not only going to pay them to get started but they're going to sell it to businesses as a security feature. No cash, no worries about being robbed.

Well, not robbed by saggy pants hoodlums with guns held sideways.

Robbed by $#@!s in suits with billion dollar network servers instead.

[Anti Federalist]

Now, he says he has to take them because almost no one pays in cash anymore.

Yup, people want to be enslaved, they will happily give up everything except "convenience" and the ability to live beyond their means.

[euphemia]

FRNs are legal tender for all debts public and private here in the US. Visa might be trying to manipulate the market, but they simply cannot forbid consumers from using cash.

[euphemia]

I recently had a discussion about this with the guy who owns the pool store. He used to give a cash discount and quit because credit card customers complained and he couldn't afford to lose the business. He's a mom and pop store and has trouble staying competitive with Leslie Pool and online retailers as it is.

Through the years Mr Animal quit accepting certain cards because their fees were too high. He went back and forth with Amex for years. Now, he says he has to take them because almost no one pays in cash anymore.

I wish more places would give discounts for cash--maybe the equivalent of the fee paid for plastic. I'm generally a cash spender. Big purchases will be by card, but mostly cash.

[angelatc]

Well here in the middle of nowhere most of our business is cash. I take cards, (hell, I'd take eggs) but maybe 5% of my customers use them. And most of those are buying on impulse.

[asurfaholic]

I pay 3% for every transaction done by credit card. I'm happy to accept credit cards for customers who prefer to pay that way, but on invoices over $2000 I'm usually disabling the pay by credit option. Usually at that point I'm requiring a deposit or down payment anyways and it usually comes via cash or check. One of my wealthy clients prefers to pay weekly by CC and usually his invoices are $1200-$3600 so I just add an extra 3% in and let him pay the majority of the fee.

[donnay]

I pay 3% for every transaction done by credit card. I'm happy to accept credit cards for customers who prefer to pay that way, but on invoices over $2000 I'm usually disabling the pay by credit option. Usually at that point I'm requiring a deposit or down payment anyways and it usually comes via cash or check. One of my wealthy clients prefers to pay weekly by CC and usually his invoices are $1200-$3600 so I just add an extra 3% in and let him pay the majority of the fee.

Yes a lot of people are doing that. Passing the extra charge on their customers. That is what a friend of mine is doing at her farm store.

I am also seeing people barter, it's making a comeback.

[angelatc]

I pay 3% for every transaction done by credit card. I'm happy to accept credit cards for customers who prefer to pay that way, but on invoices over $2000 I'm usually disabling the pay by credit option. Usually at that point I'm requiring a deposit or down payment anyways and it usually comes via cash or check. One of my wealthy clients prefers to pay weekly by CC and usually his invoices are $1200-$3600 so I just add an extra 3% in and let him pay the majority of the fee.

Technically it's a violation of the CC TOS to add the fees to the bill. Also against their TOS to refuse to accept CC payments below a certain amount. Both of those rules are happily ignored by merchants, and I suspect the "no more cash!" rule will be as well.

[specsaregood]

Technically it's a violation of the CC TOS to add the fees to the bill. Also against their TOS to refuse to accept CC payments below a certain amount. Both of those rules are happily ignored by merchants, and I suspect the "no more cash!" rule will be as well.

exactly. you can still give a "cash discount" with most merchant agreements, but the discount has to be OFF the standard price. You can NOT add on for CC payments. If you get caught/are reported you could lose the ability to take cards.

[heavenlyboy34]

“Typical merchant account companies can charge up to 5 percent of everything a company earns with prices consisting of merchant processing costs, gateway fees, interchange costs, Visa, MasterCard, American Express charges, statement fees and so on.”

Square reader is way cheaper. 2.75% per swipe. No point in getting a merchant account till you have a pretty good sized business AFAIK. (but I don't do retail, so IDK about that sort of thing)

[shakey1]

[Suzanimal]

Well, not robbed by saggy pants hoodlums with guns held sideways.

Robbed by $#@!s in suits with billion dollar network servers instead.

True but the $#@!s in suits usually don't pop a cap in your head. Mr A got robbed once and it was terrifying and when we lived intown a thug followed him home from work and went through our cars. We lived in a really nice neighborhood, btw. That's why we moved to the sticks. He wanted to live far enough away not to be followed home.

Yup, people want to be enslaved, they will happily give up everything except "convenience" and the ability to live beyond their means.

I think people pay with cc's on large purchases for the security of being able to do charge backs if things don't go as planned. When you have a 10-15k pool installed and they $#@! up and won't make it right, you can dispute a charge but if you paid cash, you're screwed. BUT I think most of it is people paying with debit cards - the banks still charge the merchant fees on those purchases.

I go there for chemicals and over the course of the summer that little 5% added up. Now so many people pay with debit, he doesn't have change for $100 on a $40 bill in the afternoon. o_O And his store is busy in the summer because there are no public pools out here. A lot of folks have their own pool.

[oyarde]

I wish more places would give discounts for cash--maybe the equivalent of the fee paid for plastic. I'm generally a cash spender. Big purchases will be by card, but mostly cash.

I give a cash discount equal to what I pay in fees for cards . Better than that for other barter.

[oyarde]

My auto mechanic buddy just started taking cards at his shop a few years ago . He moved the hourly labor rate up exactly what he needed to pay for his yearly take if all put on card. He gives me a cash discount if I have him do anything for me .

[oyarde]

True but the $#@!s in suits usually don't pop a cap in your head. Mr A got robbed once and it was terrifying and when we lived intown a thug followed him home from work and went through our cars. We lived in a really nice neighborhood, btw. That's why we moved to the sticks. He wanted to live far enough away not to be followed home.

I think people pay with cc's on large purchases for the security of being able to do charge backs if things don't go as planned. When you have a 10-15k pool installed and they $#@! up and won't make it right, you can dispute a charge but if you paid cash, you're screwed. BUT I think most of it is people paying with debit cards - the banks still charge the merchant fees on those purchases.

I go there for chemicals and over the course of the summer that little 5% added up. Now so many people pay with debit, he doesn't have change for $100 on a $40 bill in the afternoon. o_O And his store is busy in the summer because there are no public pools out here. A lot of folks have their own pool.

I have run into that before so I try and just carry 20's .

[oyarde]

I work part time two days a week sometimes at a local business , it is cash or check only , around the corner is a cash only Chinese restaurant .

[dannno]

Square reader is way cheaper. 2.75% per swipe. No point in getting a merchant account till you have a pretty good sized business AFAIK. (but I don't do retail, so IDK about that sort of thing)

Saw a sign yesterday that simply read, "As a small business, we appreciate cash!"

I don't know any places at all around here who only accept cash, even smaller businesses.

[angelatc]

My auto mechanic buddy just started taking cards at his shop a few years ago . He moved the hourly labor rate up exactly what he needed to pay for his yearly take if all put on card. He gives me a cash discount if I have him do anything for me .

From the merchant's standpoint - sales increase if you take cards. It's that simple.

[angelatc]

I work part time two days a week sometimes at a local business , it is cash or check only , around the corner is a cash only Chinese restaurant .

I had my hair cut by a Chinese lady who didn't take cards - only cash. Probably cheating on her taxes. Which is fine by me.

[specsaregood]

From the merchant's standpoint - sales increase if you take cards. It's that simple.

Also helps in getting paid if you have a customer with a history of very late payments or haggling over invoices.

[heavenlyboy34]

Saw a sign yesterday that simply read, "As a small business, we appreciate cash!"

I don't know any places at all around here who only accept cash, even smaller businesses.

Ya,I didn't either till I began taking lessons at my current teacher's ballet studio. She only takes cash/checks. I never asked why, but I assume she can't afford to pay processing fees. She also runs her own non-profit foundation and whatnot.

[heavenlyboy34]

True but the $#@!s in suits usually don't pop a cap in your head. Mr A got robbed once and it was terrifying and when we lived intown a thug followed him home from work and went through our cars. We lived in a really nice neighborhood, btw. That's why we moved to the sticks. He wanted to live far enough away not to be followed home.



I think people pay with cc's on large purchases for the security of being able to do charge backs if things don't go as planned. When you have a 10-15k pool installed and they $#@! up and won't make it right, you can dispute a charge but if you paid cash, you're screwed. BUT I think most of it is people paying with debit cards - the banks still charge the merchant fees on those purchases.

I go there for chemicals and over the course of the summer that little 5% added up. Now so many people pay with debit, he doesn't have change for $100 on a $40 bill in the afternoon. o_O And his store is busy in the summer because there are no public pools out here. A lot of folks have their own pool.

Ya, Square does too, which sucks...but it's become a*must*now that lots of people prefer plastic.

[kpitcher]

Technically it's a violation of the CC TOS to add the fees to the bill. Also against their TOS to refuse to accept CC payments below a certain amount. Both of those rules are happily ignored by merchants, and I suspect the "no more cash!" rule will be as well.

CCs finally bowed to allowing fees to be tacked on after a class action. Not sure which states don't have that clause in the CC contract... Michigan does allow surcharges to recover the fee

http://www.michigan.gov/ag/0,4534,7-...2574--,00.html

[sam1952]

There is a local pizza shop I go to. Stopped yesterday and had the same magic marker sign in the window for years... Cash Only

[angelatc]

CCs finally bowed to allowing fees to be tacked on after a class action. Not sure which states don't have that clause in the CC contract... Michigan does allow surcharges to recover the fee

http://www.michigan.gov/ag/0,4534,7-...2574--,00.html

Cool - I did not know that. Thanks.

Of course as a libertarian I oppose such laws, just as I opposed the laws that originally banned merchants from passing the fees along. This is yet another example of government fixing a problem it created.