NY says no to cashless stores

The New York legislature passed a law that prohibits food stores and retail establishments from refusing to accept cash. The legislation, introduced by State Senator James Sanders Jr. and Assembly member Catalina Cruz, both Democrats, mirrors closely a law that took effect in New York City back in 2020, and aims to protect low-income consumers who don't have debit or credit cards.

The legislation now awaits the signature of Governor Kathy Hochul.

"Cash is king for many New Yorkers who live paycheck to paycheck, or who simply don't have access to credit or banking services," Sen. Sanders said.

"In an increasingly digital society, we must not forget those who rely on cash as their only means of payment. This bill is about fairness and inclusion," added State Senator Joseph P. Addabbo Jr.

Marketplace access a fundamental right

With the rise of digital payment systems, many retailers have moved toward cashless models. While convenient for some, these practices disproportionately exclude the most vulnerable populations—including immigrants, seniors and underbanked communities who rely cash to manage their daily expenses.

"This bill reaffirms that access to the marketplace is a fundamental right, not a luxury for the digitally connected," Senator Sanders stated in a press release.

"With the passage of this retail cash acceptance measure, the New York State legislature has once again demonstrated its commitment to protecting the vital interests of New Yorkers," said Bruce Wayne Renard, executive director of the National ATM Council Inc.

"Preserving and protecting the use of U.S. currency is crucial – especially for our most vulnerable citizens, including seniors and those who rely solely on cash. Cash remains essential in emergencies and for ensuring privacy and protection against digital threats," Renard added.

Coincidentally, cash also is the primary means of payment at cannabis dispensaries, since financial institutions and the payment networks refuse to accept transactions from these establishments.

New York is not alone among states requiring businesses to accept cash payments. Massachusetts, Rhode Island, New Jersey and Montana all have laws prohibiting retailers from refusing to accept cash payments, or charging cash customers higher prices than customers using other payment methods.

Philadelphia, San Francisco and, as mentioned already, New York City have enacted similar laws.

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