RETAILERS could be at risk of hefty penalties if they are caught blocking shoppers from using a popular payment method.
And, the most serial offenders face being slapped with $1,500 fines.
Plans have been put forward to help particular customers at the checkout (stock)[/caption]
Proposals are being drafted to help shoppers who use cash, rather than digital payment options such as Apple Pay.
If the bill is signed into law, then chains wouldn’t be able to ban cash payments.
Fines for retailers that breach the law would start at $1,000.
And, repeat offenders would face heftier penalties.
“Access to essentials shouldn’t depend on a credit card,” New York lawmaker James Sanders said.
“No one should be denied a sandwich, a bottle of water, or a loaf of bread because they don’t have a debit card.”
But, there is a clause that shoppers need to be aware of.
A retailer could block a cash payment if a shopper’s bill is over $20, as reported by the Bronx Times.
The bill passed the New York State legislature and needs Governor Kathy Hochul’s approval for it to become law.
Supporters of the bill say it would help working class Americans, as well as senior citizens.
In 2019, San Francisco lawmakers passed a motion that ensured businesses in the city continued accepting cash.
They claimed that moves to ban cash as a payment option risks discrimination, per Courthouse News.
“I always say ‘cash is king,’” Vallie Brown, an ex- San Francisco supervisor, said.
“If you have cash, you should be able to go wherever you want.”
Latest self-checkout changes
Retailers are evolving their self-checkout strategy in an effort to speed up checkout times and reduce theft.
Walmart shoppers were shocked when self-checkout lanes at various locations were made available only for Walmart+ members.
Other customers reported that self-checkout was closed during specific hours, and more cashiers were offered instead.
While shoppers feared that shoplifting fueled the updates, a Walmart spokesperson revealed that store managers are simply experimenting with ways to improve checkout performance.
One bizarre experiment included an RFID-powered self-checkout kiosk that would stop the fiercely contested receipt checks.
However, that test run has been phased out.
At Target, items are being limited at self-checkout.
Last fall, the brand surveyed new express self-checkout lanes across 200 stores with 10 items or less for more convenience.
As of March 2024, this policy has been expanded across 2,000 stores in the US.
Shoppers have also spotted their local Walmart stores restricting customers to 15 items or less to use self-checkout machines.
But, major retailers across the US have rolled out technology, encouraging alternative payment methods.
Apple Pay is used by millions of shoppers and it’s estimated that more than 80 million people in the US will be using the platform by 2030, per Capital One data.
It’s estimated that 25% of shoppers will use the platform by 2030.
And, 90% of US retailers accept the payment option.
Walmart is one of the most well-known retailers that do not allow shoppers to use Apple Pay.
Their stance on the payment option has proved controversial, but chiefs have doubled down.
Doug McMillon, the Walmart CEO, revealed in April last year the reason why Apple Pay had not been integrated was because he wanted shoppers to use the retailer’s in-house payment tool.
Hobby Lobby is another retailer that doesn’t accept Apple Pay in its stores.
Shoppers can use the digital payment method for online purchases.
This is despite the surge in popularity for services like Apple Pay[/caption]
Why doesn’t Walmart offer Apple Pay?
CEO of Walmart Doug McMillon has revealed why stores don’t offer Apple Pay on Stratechery with Ben Thompson.
Though using Apple Pay at the retailer has been an ongoing conversation, McMillon emphasized that “We would like to have the customers open our app in the store all the time.”
The app can be used to help find items in the store, but it can also be used to pay for your purchases.
“That’s one of the things that we would like people to use our app for,” he said.
