It’s cash folks…

[Robert 352]

Think about it, how would/will you pay for something when there is no electricity? I know you will be claiming that it “is never going to happen to us, we will never run out of electricity. We are the United Kingdom! Disasters simply do not happen here”.

You folk living where you are have no real understanding of what it will be like.

Ask the 33 million people living in Pakistan who have been forced from their homes by the recent flooding. That is about half of the present population of the United Kingdom. We hope and trust that you and we as countries will not have to cope with the sort of unnatural disaster which is occurring in the Ukraine.

I have lived and worked in various parts of the world where electricity is rationed in one form or another. No cashless societies in those parts of the world.

I live in a part of the world where we know and expect and plan for natural disasters, be they fire, flood or earthquake. We know that when the next major earthquake occurs, the entire electricity network will close down and not be reinstated for upwards of 4 weeks. That will be the time required to check the generation and distribution system. We have planned for that event when it happens. I have planned too. Accordingly I hold sufficient cash to tide me over.

And as for methods of communication, well don’t just assume that the cellular or other communication networks will continue to function normally when there is no electricity. Our past experience shows that they will not.

My advice is do not abandon your cash entirely, and hold onto your copper based communication systems for as long as you can.

Ian and Alun are not dinosaurs, just folk who are smart enough to have thought about the consequences. Sensible fellows.

Robert

[TrustNo1]

For businesses, the charges for accepting card payments are eye watering….



Ian

Eyewatering.... 15 pence per transaction or some work on a fixed fee or percentage.

the money is straight into your account and no need for two members of staff to make a long trip to a bank to pay the cash in every day

[sprint95m]

For businesses, the charges for accepting card payments are eye watering….



Ian

Eyewatering.... 15 pence per transaction or some work on a fixed fee or percentage.

the money is straight into your account and no need for two members of staff to make a long trip to a bank to pay the cash in every day

My former employer pays £7/£1000 to deposit cash. Sometimes he has to make a 42 mile round trip to deposit said cash.
He has looked into taking card payments, but his is still a cash only business......
Pints are £3.10 for Fosters, Guinness, Heineken etc. Spirits are £2.10 for a nip and that is 35ml and this a very large town centre premises
able to show Sky Sports and BT Sports.
When I worked there folk used to greet that we didn't take card payments, but......

As the late Peter Grant repeatedly said, reduced overheads means increased profits.



Ian

[cliftyhanger]

My former employer pays £7/£1000 to deposit cash. Sometimes he has to make a 42 mile round trip to deposit said cash.
He has looked into taking card payments, but his is still a cash only business......
Pints are £3.10 for Fosters, Guinness, Heineken etc. Spirits are £2.10 for a nip and that is 35ml and this a very large town centre premises
able to show Sky Sports and BT Sports.
When I worked there folk used to greet that we didn't take card payments, but......

As the late Peter Grant repeatedly said, reduced overheads means increased profits.



Ian

I can't decide if this post is saying taking cash is good or bad.
The massive advantage of cashless is the chap saving a LOT of travel time/expenses in order to save maybe £10 per thousand it takings.
But being cash only is almost suicidal these days unless you have regulars who are cash equipped. I would suggest a substantial number of people simply don't carry cash any more. I keep £20 tucked in my phone case, not used it in months.

But the drink prices are SO cheap compared to the pubs in my area. About half the price!! (unless I use Spoons)

[sprint95m]

But being cash only is almost suicidal these days unless you have regulars who are cash equipped.

If you possess a card then you can obtain cash.

There are two ATMs within 200 metres.

Unable to make a financial case for installing card payment terminals,
the bank would instead like to provide a cash dispenser
for which they would charge £17 per day rental.
(For each withdrawal the customer would be charged £1.70, as if anyone would pay when the
ATMs along the street are free to use!!).
Funny you should mention Wetherspoons….the one nearby has just been sold as it was struggling.


Ian

[cliftyhanger]

The Spoons thing is interesting. Here in Brighton/Hove there are 4, All are busy, and yet teh Hove one has been sold off (but still open until the deal is finalised) and a VERY busy one near the seafront/town centre is also closing (at least thats what I heard on the grapevine)
So something is in the wind. Spoons are a clever bunch, I know they have been struggling with staffing and it could be the overheads are very high. But maybe the bean counters have worked out they are better off jettisoning profitable pubs while they ride out the coming recession, and hoping that as that ends property will be available at far better rents??

Back to your local. I guess regulars know to have cash, but if I was visiting, I would skip it as I can't be bothered with jumping through hoops to get a drink. I expect there is another pub as close as the ATM that does take cards. I realise some business owners are old fashioned and trying to make a stand, but like King Cnut they not withstand the tides of change. I can't remember when I last got paid in cash, everything is done by bank transfer. I get a notification within seconds (usually) and no faffing about.

[xvivalve]

At the NEC yesterday, the official cafes were all card only, not only that but they also chose not to take my favoured card.

I bought coffee/tea, only because I was thirsty, and will remember to take a large flask with me next visit.

[sprint95m]

How do charities do nowadays?
If you go cashless then you don’t have loose change to donate via collection tins?

The Royal British Legion were selling poppies last week, I didn’t see a card terminal on their stand?




This was the War Memorial and RBLS garden in Wick last week



Ian

[cliftyhanger]

How do charities do nowadays?
If you go cashless then you don’t have loose change to donate via collection tins?
The Royal British Legion were selling poppies last week, I didn’t see a card terminal on their stand?


This was the War Memorial and RBLS garden in Wick last week
Ian

I have done charity collections at goodwood FOS and Revival.
A fair number still have cash, though many have used the excuse "sorry, no change" but when offered a card machine 95% of the time scuttle off muttering about "later"
Meanwhile, some people will happily donate using cards, £2-£50 I have had, though others greater amounts.

But charities need to evolve, many are already getting on teh "regular donation" bandwagon, just as we are seeing teh idea of subscriptions/monthly payments becoming the norm, from buying clothing (klarna etc) cars, holidays and recently tv's are back. But once a subscription is set up many will keep going for a very long time. And the overheads are low.

[xvivalve]

I was sent this recently, the true cost of ‘convenience’?

[Carledo]

I was sent this recently, the true cost of ‘convenience’?

When you look at it that way, no wonder the banks are all in favour.

A card is more useful for large transactions, saves you carrying a mountain of cash (though there WAS a time when I could be walking around with a couple of grand in my back pocket on a regular basis) I still like cash! Not because it's more convenient and I surely have nothing to hide. Still I find that I feel very strongly that how and where I spend MY money is nobodies business but MINE!

Steve

[sprint95m]

Several times I have been in shops where a customer’s card wouldn’t work
but last week I witnessed something different…
Lidl wouldn’t accept paper notes!!
(The legal position is unambiguous,
you may spend them but cannot receive any in your change)

The elderly man had a trolley load of shopping and was just going to catch a bus
and was clearly thrown by the refusal, so much so he thought he was in Tesco
Anyhow, I and a couple of others swapped plastic notes for paper.
I had visions of him having to return home with no food


Ian

[marshman]

but last week I witnessed something different…
Lidl wouldn’t accept paper notes!!
(The legal position is unambiguous,
you may spend them but cannot receive any in your change)
Ian

Incorrect. The legal tender status of paper £20 and £50 notes was removed at the end of September 2022. It was well publicised. You can exchange them at Banks but not spend them in shops.

https://www.bankofengland.co.uk/news/20 ... -banknotes

[sprint95m]

but last week I witnessed something different…
Lidl wouldn’t accept paper notes!!
(The legal position is unambiguous,
you may spend them but cannot receive any in your change)
Ian

Incorrect. The legal tender status of paper £20 and £50 notes was removed at the end of September 2022. It was well publicised. You can exchange them at Banks but not spend them in shops.

https://www.bankofengland.co.uk/news/20 ... -banknotes

Sorry.
There is no such thing as legal tender in Scotland. I should have maybe said where this took place but it was in Scotland.
For Scotland, my statement is correct. It was well publicised here too. Furthermore, it makes no difference who the issuer is.
(Lidl have an autonomous operation here, Lidl-Scotland)

thanks
Ian

[marshman]

Sorry.
There is no such thing as legal tender in Scotland. I should have maybe said where this took place but it was in Scotland.
For Scotland, my statement is correct. It was well publicised here too. Furthermore, it makes no difference who the issuer is.
(Lidl have an autonomous operation here, Lidl-Scotland)

thanks
Ian

Ah Scotland makes more sense, but even so the Scottish issuing banks (or whatever they are called) withdrew their paper notes at the same time as the Bank of England. Businesses could accept the notes at their discretion but were not obliged to. Old paper notes were effectively treated the same as in England (and I presume Wales), i.e. you could still exchange or pay them in to your account at a bank or post office.

Didn't know about the Legal Tender thing, interesting. Every day a school day