Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Why Germans pay cash for almost everything

qz.com

Post reply on HN
Print view View original

131–140 of 497 posts

Re: Why Germans pay cash for almost everything

#131

Post by wongarsu »

codegeek wrote: post #94
_Codemonkeyism wrote: post #81

Earlier quoted context omitted.

As a German a.) I mostly pay cash because it's faster b.) some shops that can afford it only have cash payments to save on CC costs Not because of inflation or because something happend 100y ago.

As an american, I find it strange that cash is faster. Most people who pay cash need to wait to get the change back unless they know the total beforehand and happen to have exact change. In the US, credit card machines are very fast even the chip enabled ones. Cash workflow: - Cashier tells you the total amount - You look in your wallet/purse - You spend time counting exact change if you do have it - If not, you take…

In a German supermarket there are two notable differences:

People pay with rounded bills most of the time, cashiers are fast at returning change (amounts are usually a single cent below the full euro for each item, so change isn't a big problem).

The credit card workflow requires you to sign as well (or alternatively sometimes your pin if it's a debit card). Also, no swiping, only chip readers.

So in essence, taking out the bills is comparable to taking out your card, and the question is whether signing/entering pin is faster than the cashier giving you your change.

Of course occasionally you will pay in exact change, but that's balanced out by all the times you have to insert your card a second time, followed by trying another card.

Re: Why Germans pay cash for almost everything

#132

Post by lmm »

djtriptych wrote: post #60
jk563 wrote: post #32

Earlier quoted context omitted.

I second this anecdata. I carry an Amex (credit) and a Mastercard (debit) backup. I don't carry any cash unless I know I have an imminent need.

"Always carry enough cash to get home" - my dad. But otherwise I'm in the same boat. Amex for everything I can possibly use it for, Visa for places that don't take Amex, Visa debit when I'm under a CC limit.

> "Always carry enough cash to get home" - my dad.

In London you can't pay for a bus with cash any more.

Re: Why Germans pay cash for almost everything

#133

Post by rocking_duck »

As a german, this techno-phobic attitude was really getting to me for the longest time. It's just so incredible convenient not having to scramble for coins when taking the tram and many other examples. Living in London, I rarely take my wallet with me anymore. Apple Pay and my Mondo card is all I need.

Come to think of it, some time in the not so distant future, Germany will probably have the last laugh once the entire electronic payment system collapsed under the Next Big Cyberattack (tm)... insert coin here.

Re: Why Germans pay cash for almost everything

#134

Post by dullgiulio »

killercup wrote: post #40

It's funny that Lidl, the store in the picture at the top of the article, is one of the stores I always pay with debit card in Germany. They have great NFC support and don't give a damn if I pay my 79¢ bread with card.

I live in northern Europe and once at a shop I had a shop-money credit applied automatically and was left to pay 1 cent. I didn't have absolutely any cash and paid it with debit card. I didn't hear any complaint :)

Re: Why Germans pay cash for almost everything

#135

Post by yxhuvud »

cknight wrote: post #11
YSFEJ4SWJUVU6 wrote: post #4

It might be worth mentioning, but the payment preference goes both ways. Germans' preference for cash payments sometimes means or meant that payment options common elsewhere might not be available. This caught me out at a McDonald's in Berlin that accepted neither Visa nor MasterCard earlier this decade. Even bigger brands adapt to local culture, it seems.

I've been able to witness the change over the last 5 years in Germany. While gradual, it has been quite noticeable to see more plastic options become available, and my ATM visits have become less frequent. It's still a far cry from home (Australia) where I hadn't needed cash on hand in quite a long time, but it in terms of convenience it's not a big deal. it certainly beats France where cheques are still in extremely…

I live in Sweden and I use cash more often in Germany than I do when I am at home, despite being there only for a week each year. But yes, I've noticed this effect as well - accepting cards is becoming mainstream and eventually I hope to be ably to visit without having to leave with lots of scrap metal in my pockets.

Re: Why Germans pay cash for almost everything

#136

Post by hocuspocus »

_Codemonkeyism wrote: post #81
mtmail wrote: post #2

According to https://www.cashforless.de/ec_cash_info/Fakten_zur_Kartenzah... methods for payments in stores 2011 was 57% cash, 5.3% credit card, 33% debit card ( https://en.wikipedia.org/wiki/Electronic_cash ). > "of course, [the Germans] attitudes toward currency must owe something to Germany’s tumultuous monetary history. During the Weimar-era hyperinflation that peaked in 1923 [...]" > "the German tendency to sett…

As a German a.) I mostly pay cash because it's faster b.) some shops that can afford it only have cash payments to save on CC costs Not because of inflation or because something happend 100y ago.

As someone who lived two years in Germany

a) That's a good joke. From faster to slower: NFC > PIN > signature > cash.

b) You should look into the real cost of dealing with cash. EC is stupidly cheap since it's basically the cost of a SEPA direct payment (we're talking 1-2 cents per transaction). Debit card payments can also be pretty cheap in Europe. All those annoying restaurants and small shops that take only cash do it to dodge taxes, not for any other reason.

Re: Why Germans pay cash for almost everything

#137

Post by TheArcane »

m_mueller wrote: post #33

As a Swiss German I think the currency stability argument is moot. Swiss Frank is one of the most stable currencies available and we still have a similar attitude to cash as Germans. IMO it's mainly due to the following reasons: 1) CC is slow, at least in Switzerland. Like in Germany, efficiency is baked into the culture - people hate to wait on someone paying his chocolate bar with credit card. It's also not rare fo…

Here in the Netherlands, paying by contactless card is bar far the fastest. Even with PIN, I'm pretty sure cash will be as fast (if not slower) given the change and handling of coins.

Re: Why Germans pay cash for almost everything

#138

Post by wongarsu »

fleg wrote: post #122
pantalaimon wrote: post #111

Earlier quoted context omitted.

> Credit card workflow: > - Cashier tells you the total amount > - You look in your wallet/purse > - You swipe card/insert in chip reader > - Done You forgot the part where you have to enter you PIN and wait for the transaction to go through, or sign the receipt.

Contactless payments don't need PIN (up to some small but comfortable amount) and go through almost instantly.

But Germans don't trust contactless payment because in theory anybody could hold a card reader against your wallet while you're innocently waiting in some line.

Re: Why Germans pay cash for almost everything

#139

Post by moogly »

blowski wrote: post #7
YSFEJ4SWJUVU6 wrote: post #4

It might be worth mentioning, but the payment preference goes both ways. Germans' preference for cash payments sometimes means or meant that payment options common elsewhere might not be available. This caught me out at a McDonald's in Berlin that accepted neither Visa nor MasterCard earlier this decade. Even bigger brands adapt to local culture, it seems.

McDonalds didn't accept card payments anywhere until around 2002.

Is that really true? Whilst I probably haven't been to McDonald's in the same amount of years I'm not sure how that could have worked even 15 years ago in Sweden, which is one of the countries with the least cash usage in the world.
Post reply on HN