Payment Choice Act of 2023
The law could potentially shift the dynamics of payment methods accepted by businesses, particularly in a landscape that has increasingly transitioned to digital and card-based transactions. By requiring retail establishments to accept cash, the bill aims to protect consumer rights and ensure that those who rely on cash, such as low-income individuals, are not marginalized in the evolving market. Additionally, the enforcement of this law involves various provisions that allow customers to seek civil action against businesses that violate cash acceptance policies, thereby increasing accountability.
House Bill 4128, known as the 'Payment Choice Act of 2023', mandates that all retail businesses in the United States accept cash payments for goods and services. This legislation seeks to reinforce the status of United States currency as legal tender and ensures that consumers have the right to use cash at physical retail locations. Specifically, the bill prohibits businesses from refusing cash payments for transactions up to $500 and prevents them from charging higher prices to customers who pay with cash, promoting equal pricing regardless of payment method.
Notable points of contention surrounding HB 4128 include the pushback from some business groups who argue that the requirement to accept cash could impose additional operational burdens, particularly for businesses adapting to contactless payment technologies. Critics of the bill express concerns about enforcement mechanisms and the implications for businesses that may face penalties or civil actions for compliance failures. Furthermore, provisions allowing exceptions for businesses unable to accept cash due to system failures or providing prepaid card services add complexity to the implementation and potential loopholes that could be exploited.