News & Events

News Hub

More retailers consider offering discounts for cash payments

Dual-purpose check scanners and cash counters are a valuable supplement to any retailer's ongoing initiatives to reduce operational costs.

The growth of electronic payment technology has resulted in a significant backlash for many small and medium-sized stores. A recent article in The Washington Post said the fees associated with processing credit card transactions have had an especially damaging effect on the owners of independent shops. Toronto Star, a Canadian newspaper, cited data from the Canadian Federation of Independent Businesses that found small enterprises often pay anywhere from $5 billion to $7 billion in credit card fees.

As a result, many retailers have decided to offer unique incentives to encourage customers to pay with cash or check. In fact, The Post said new legislation that allows businesses to transfer part of the costs associated with credit card processing to consumers has paved the way for a tiered system in which shoppers can enjoy a small discount for sticking to cash.

Investing in advanced cash counting and check processing machines can further reduce costs for small and medium-sized shops. While encouraging customers to avoid making purchases with credit cards, businesses may easily avoid certain fees. However, the need to devote hours in the back office to counting money or depositing checks at the end of the day can quickly eliminate any potential savings. With the right tools, store owners can make the most efficient use of their time while still limiting overhead costs.

December 10, 2013