Is It Possible to Live Without Credit Cards, Debit Cards, and Cash Apps?
The old adage “cash is everything” is no longer true. Card and app transactions account for about 60% of all purchases between $10 and $100, meaning that cash is now used primarily for smaller purchases and occasionally for businesses that do not accept credit cards or cash apps of money. But cash is also still very useful . When a hurricane shut down the power grid in my town for seven long days a few years ago, local businesses switched overnight to cash-only payments, making having cash in your emergency kit an absolute must . And using cash instead of cards or digital payment systems can help you stay on budget by physically interacting with your money. In addition, cash is the best way to spend anonymously, as it is almost impossible to trace.
But if you want to live a cash-only lifestyle because of these benefits, you run into some problems: The world is becoming more organized around cards, chips, and payment apps. Can you really live on cash only in today’s world?
Can you pay for all essentials in cash?
A cash-only purist lifestyle will also eliminate bank accounts, of course, but living without a bank account isn’t easy unless you have a few barrels of Walter White cash at home to use. If you have a job or a pension fund that you’d like to boost with the magic of compound interest, you’ll probably need some kind of bank account, so let’s get this straight. Otherwise, you cash a paper check at a check casher and pay ridiculous fees for the privilege. Now let’s look at the basics of life and whether you have the option to pay cash for them:
- Frame. Perhaps you will agree with the landlord to rent the apartment for cash. However, these can be delicate negotiations: on the one hand, they may want cash for the same reason you do. On the other hand, such an offer may make them suspicious of your finances. Believe it or not, you can buy a house with cash – however, you will face a serious IRS oversight, and you will need to find a seller who does not mind receiving payment through a dump truck dumping dollar bills on the front lawn. . But let’s rate this as possible , since it can be done.
- Utilities. Paying electricity, gas, water and phone bills in cash is possible but often difficult. Utilities will gladly accept cash, but only if you show up in person at the payment center, so it depends on whether there is a payment center nearby. Similarly, if there is a store of your mobile operator near you, cash payments are usually accepted, but if there is no store nearby, you will be SOL.
- Food. Grocery stores are probably the easiest places to use cash. Almost all grocery stores still accept cash, even if they have self-service checkouts. It can be a little inconvenient to serve bill after bill to these kiosks, but it works, so it’s definitely there!
- Transport. You can still use cash on most forms of public transport – although this is changing , so you’ll have to check with your local service – and old-school taxis usually accept cash. You can also buy a car – new or used – for cash; the dealer may be caught off guard, but he will accept your dirty anonymous money. And while insurance companies aren’t thrilled about it, in most cases you can still stop by their local office to pay in cash. Rental cars are the only exception here. You can find a rental company that will allow you to pay the final bill in cash, but almost all of them require a credit card to process, hold and confirm the booking. However, cash-only transportation is basically yes .
Can you pay for the most common “extras” in cash?
So, you can lead a frugal lifestyle using only cash if you choose your life situation very carefully. But what if you really want to get out of the house and do business?
- The shops. Almost all retail stores still accept cash, although there may be exceptions. Some states and cities have local laws that require all businesses to accept cash, including New Jersey, Rhode Island, New York, and Massachusetts, but in most cases, choosing a cash policy is store-specific. But it remains definite for the time being.
- Airlines. Yes, in most cases you can buy a ticket for cash , as long as you can physically approach the airline’s ticket office. Most major airlines have ticket counters at the airport so if you have the money you can buy a ticket. Keep in mind that buying a ticket with cash sacrifices some of the benefits you get with a credit card, such as easy refunds and some level of travel protection. But we will appreciate it yes .
- Hotels. This one is complex. Basically, the more luxurious the hotel, the less likely it is to accept cash. Rundown motel? Probably. A luxurious four-star restaurant? Probably no. Some hotels accept cash for the final bill but will still require a credit card at the time of booking and check-in. Some hotels accept cash without a credit card if you are a skip-the-line guest and can make a deposit, but you must call ahead to make sure. It could be .
Other cash-only considerations
You can still live a cash-only lifestyle if you really want to, although this will come with some restrictions. But just because you can do it doesn’t mean you don’t have disadvantages:
- Convenience. Insisting on cash limits your choices, in many cases requires extra effort, and sometimes actually costs you more.
- Supply. Living only in cash requires careful planning because you should always have a supply of physical currency. If you have a bank account, you will need to go to the bank and withdraw funds, and if you spend your last dollar on a hot dog and cannot get home by car, you will have no options.
- Theft. One of the most amazing things about credit cards is how easy it is to recover from theft. Often reporting fraud on your credit card results in zero loss for you personally. Losing money, on the other hand, is nothing but a loss. There is no way to get this money back if you can’t physically track it.
Final verdict: You can only live in cash. But it has some serious drawbacks that you should take into account.