Bank Buying Cash to Service Business Customer Needs

Cashless Society

There is a big debate going on about cashless societies.  There are those of us who are very much in favour of digitalisation but also see cash as being a viable option for many people and businesses.


A bank is paying people to bring in their spare change to help local businesses amid the coin shortage

A Wisconsin bank is bringing change to their community by helping local businesses struggling because of the nationwide shortage of coins caused by the coronavirus pandemic.

On Wednesday, the Community State Bank launched a Coin Buy Back Program which offers a $5 bonus for every $100 worth of coins turned in to any of its seven locations. Anyone who brings by coins, whether they’re a bank customer or not, can receive up to a maximum coin bonus of $500.

“We knew we needed to figure something out. We hate the idea of telling our customers, ‘No, we can’t give you one of the services we’re proud to provide,’ so we came up with a creative way to get things done,” Community State Bank Vice President Neil Buchanan told CNN. “Just because this hasn’t been done before doesn’t mean it isn’t going to work — and it has already made a huge difference.”

Just days after launching the program, hundreds of people have dropped off their spare change, already resulting in an “incredible impact” on local businesses that were struggling because of the shortage, according to Buchanan.

Customers are not being charged for any coin counting transactions and will receive their money in cash or as direct deposits. Many have also dropped off spare coins without asking for anything back.

Read the CNN Story on MSN News

Cashless, Cash or Barter?

This move by the bank highlights the question; should we become a cashless society and if we do, how do we protect the unbanked and underbanked.  I understand the move towards digitalisation but we need to make sure we don’t put at risk the less advantaged to whom cash is important.  Digital transactions are not free, they come at a cost and these costs are in the non-Bank domain.  Who’s going to regulate to ensure we’re playing a fair game!

The Payments Business Network Blogging Hub

Many of our members blog on The Payments Business Blog Hub; By using our hub their posts reach an audience of over 10,000 payment professionals.  If you are keen to join them and promote your business, your own views and opinion – Sign Up here.

Today’s News Headlines

  • CapOne Credit Card Business Shrinks, Delinquencies Fall
    Capital One reported on Tuesday (July 21) that its credit card business shrank during the second quarter, but that delinquencies fell despite the pandemic. “The impacts of the COVID-19 pandemic drove second-quarter results across all of our business segments,” Richard Fairbank, Capital One’s founder, chairman and CEO, said in an earnings call with analysts. “In […]
  • JPMorgan, Hazeltree Team Up For Liquidity Management
    J.P. Morgan Asset Management has teamed with Hazeltree, which provides cloud-based treasury solutions, to provide a new liquidity management solution to help clients streamline their complex financial needs, according to a press release. With the new partnership, private fund manager clients will now be able to manage multiple bank relationships across whole fund structures, onboard […]
  • New QuickBooks Features Boost SMB Access To Cash Flow, Payroll Updates
    QuickBooks has rolled out new products to aid with small- to medium-sized businesses’ (SMBs’) recovery from the pandemic, which will include new payroll options and automated cash flow tools, according to a press release. Cash flow, the U.K.-based financial management software said, had already been an issue for SMBs even before the pandemic, but now […]
  • Snapchat User Growth Slows In Q2
    Snap Inc., the parent company of Snapchat, has announced its second-quarter financial results, including an operating cash flow increase by $29 million to $67 million and an influx of 17 percent more daily active users for a total of 35 million more daily users, the company said in a press release. While making gains in […]
  • FTC Provides Testimony On Anti-Fraud Efforts Amid Pandemic
    The Federal Trade Commission (FTC) testified before the Senate Commerce Subcommittee on Manufacturing, Trade and Consumer Protection on Tuesday (July 21), detailing its efforts to combat coronavirus-related fraud, including sending warning letters and trying to educate customers on how to spot a scam, according to a press release. The release notes that the Bureau of Consumer […]

Leave a Reply

Join The Debate!

Do you have a question about The Payments Business?
Do not hesitate to visit our Knowledge Base, most answers are found there.