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We Need to End the Practice of CashShaming: Cash is Safer to Touch Than Cards
In a follow-up question about a cashless society, the ECB confirmed that cash is crucial for vulnerable groups in society and is fundamental for their inclusion in a functioning society. The ECB representative further wondered about who actually wants ‘this transition to cashless society’, questioning whether they are lobby groups of electronic payments start-ups who collect transaction fees, or simply a lower demand for cash payments by citizens? The jury is out on this question. In his above-mentioned speech, Yves Mersch, further elaborated on the crucial role of cash for equality: ‘Alternative payment methods cannot replace euro cash; they can only complement it. The Eurosystem must therefore continue to ensure the existence of euro cash. This is the only way we can safeguard the role that euro banknotes and coins play in protecting the fundamental rights and freedoms of the people of Europe.’ Watch this space A final ruling on the case is expected in the autumn. Depending on the outcome, Eurozone member states and their public authorities may find themselves collecting taxes in cash, giving the cash network system a much-welcomed boost.
References: The original German said, "Retten sie den Euro, erhalten sie ihn das Papier!" The literal translations is, “Save the Euro, preserve the paper.” BVerwG, Beschluss vom 27.03.2019 – 6 C 6.18 [ECLI:DE:BVerwG:2019:270319B6C6.18.0] https://www.bverwg.de/de/270319B6C6.18.0 Request for a preliminary ruling from the Bundesverwaltungsgericht (Germany) lodged on 31 May 2019 — Johannes Dietrich v Hessischer Rundfunk https://eur-lex.europa.eu/legalcontent/EN/TXT/?uri=CELEX%3A62019CN0422 “Auf Euro lautende Banknoten sind das einzige unbeschränkte gesetzliche Zahlungsmittel.” Gesetz über die Deutsche Bundesbank https:// www.bundesbank.de/resource/blob/598136/ dcaaa3edf096b057757746ac446dd311/mL/ gesetz-ueber-die-deutsche-bundesbank-data. pdf “The role of euro banknotes as legal tender” Speech by Yves Mersch, Member of the Executive Board of the ECB, at the 4th Bargeldsymposium of the Deutsche Bundesbank, Frankfurt am Main, 14 February 2018 https://www.ecb.europa.eu/press/ key/date/2018/html/ecb.sp180214. en.html#:~:text=As%20the%20central%20 bank%20which,its%20usability%20as%20 legal%20tender Sveriges Riksbank (December 2019): “Separate statement of opinion by Christina Wejshammar” https://www.riksbank.se/globalassets/ media/ovrigt/sarskilda-yttranden-191204/ separate-statement-of-opinion-by-christinawejshammar.pdf
We Need to End the Practice of Cash-Shaming: Cash is Safer to Touch Than Cards
In response to continued misinformation about the cleanliness of cash and the refusal by businesses to accept it, the Canadian Association of Secured Transportation (CAST) issued the following open letter: COVID-19 has exacerbated fears that as cash changes hands, it becomes a transporter of germs and viruses. But is cash really any worse than your debit or credit card? LendEDU, a company that helps consumers learn about financial products, used a scientific device that tests for bacteria on a given surface to examine just how dirty credit/debit cards and cash really are. They tested the front and back of 41 different debit and credit cards, 27 different bills and 12 different coins. After calculating the average germ score for each payment method, debit/ credit cards turned out to be the dirtiest payment method. The study showed that the average germ score for credit/debit cards was 285 vs. the average germ score for cash/coins at 148 (almost 2x higher for cards compared to cash). Just think of how many surfaces cards touch as they wait on tables, bars or countertops to be picked up and swiped. In fact, the average score for plastic cards was worse than the score registered for the bathroom at New York City’s Penn Station, which used to see more than 650,000 people on an average workday! Eliminating the use of cash only punishes some of the most vulnerable members of society: homeless people looking for a few dollars to buy breakfast, elderly people who may be uncomfortable with technology, people with no credit, coin drives for charities (like poppies for veterans, daffodils for CF, change at Christmas for the Salvation Army), tips for those in the service industry, and the list goes on. It is also critical for consumers to have options to pay for their goods and services. While some may prefer the convenience of cards, others prefer how cash protects their privacy and anonymity, while helping them manage their debt level. Cash is a vital part of our economy. Fabio Panetta, a Member of the Executive Board of the European Central Bank, recently noted that ‘adequate availability of cash is crucial for the functioning of the economy…[cash] remains the dominant means of payment for consumers, and is of fundamental importance for the inclusion of socially vulnerable citizens, such as elderly or lower-income groups… Overall, banknotes do not represent a particularly significant risk of infection compared with other kinds of surface that people come into contact within daily life.’ We need to end the practice of cashshaming. Dirty cash is a stigma for songs, not economies. Everybody needs to continue to practice good hygiene and be considerate of those around them. But don’t buy into the fear. The best way to protect all consumers and retailers is to continue to provide options for payment and to keep our economy moving. Wash your hands frequently, avoid touching your face and maybe even wipe your cards and cash with the right products, but don’t think you are protecting anyone by refusing to accept cash or removing cash from our economy. The purpose of the Canadian Association of Secured Transportation (CAST) is to promote and advocate for the interests of Canadian providers of secure transportation of valuables, to provide a venue for beneficial dialogue among members, and to encourage the advancement and excellence of industry standards across Canada and abroad.
