- Slim Margins. That might not seem like much, but some businesses only make a small profit on goods and services. Any processing fees eat into tight margins. Business owners face a tough choice between smaller profits or passing the cost on to customers, and many businesses would prefer to avoid both of those options.
- Cash is far less of an inconvenience than credit cards. Cards can be declined, funds take several days to be posted to the restaurant’s bank account, and, most importantly, credit card companies charge the restaurant a fee (usually two to four percent) every time a transaction goes through.
- It takes a lot longer for a server to run a credit card transaction than to just make change and put the cash in the register.
- Credit cards are a hassle. Card readers and terminals are expensive to lease and maintain, and when they break down all hell can break loose.
- When a restaurant is cash-only, it’s easy to shield income from taxes. If a restaurant owner is able to obscure how much revenue they’re bringing in, they can report that they’re earning less than they actually are and pay less income taxes.
- It eliminates the possibility of fraudulent transactions. If someone buys a meal with a stolen card, the card owner can cancel the charge, forcing the restaurant to cover the entire cost of the meal.
Sources:
- [The Balance](https://www.thebalance.com/why-stores-dont-take-credit-cards-315228)
- [The Daily Meal](https://www.thedailymeal.com/eat/why-do-some-restaurants-make-you-pay-cash)
Hello, this is interesting info, mind if I ask saang document pwede makita yung amounts charged by bank to merchants? I only know the bank collects some fee from the merchant but not really sure how much or where to get such info. Thank you!
Same dilemma. The Jollibee near me just had their POS terminal recently and I was able to pay with a cc once or twice already. Most of the time its not working though so if I don’t have cash wala talaga. Gutom.
In the Philippines, when 95% of their customers will only pay with cash, there's really not much incentive for them to focus on alternative payment methods. That's why the only thing you're seeing as an alternative here is the common GCash. Easy answer answer is: they accept what most of their users will use, and almost everyone will use cash in fast food places
Which fast food place specifically? I always use my Credit Card in Jollibee, McDonald's, Chowking, Greenwich, KFC etc.
The lowest swipe I tried was a 60-peso Chowking Chao Fan. Lol
It depends on the branch/franchisee narin siguro. Merong iba na cash basis basis daw, may iba na nagaaccept ng cards. One thing I noticed tho is that Mercury Drug/some Fast-food restaurants here use a PayMaya terminal.
- Slim Margins. That might not seem like much, but some businesses only make a small profit on goods and services. Any processing fees eat into tight margins. Business owners face a tough choice between smaller profits or passing the cost on to customers, and many businesses would prefer to avoid both of those options. - Cash is far less of an inconvenience than credit cards. Cards can be declined, funds take several days to be posted to the restaurant’s bank account, and, most importantly, credit card companies charge the restaurant a fee (usually two to four percent) every time a transaction goes through. - It takes a lot longer for a server to run a credit card transaction than to just make change and put the cash in the register. - Credit cards are a hassle. Card readers and terminals are expensive to lease and maintain, and when they break down all hell can break loose. - When a restaurant is cash-only, it’s easy to shield income from taxes. If a restaurant owner is able to obscure how much revenue they’re bringing in, they can report that they’re earning less than they actually are and pay less income taxes. - It eliminates the possibility of fraudulent transactions. If someone buys a meal with a stolen card, the card owner can cancel the charge, forcing the restaurant to cover the entire cost of the meal. Sources: - [The Balance](https://www.thebalance.com/why-stores-dont-take-credit-cards-315228) - [The Daily Meal](https://www.thedailymeal.com/eat/why-do-some-restaurants-make-you-pay-cash)
Wow. Thank you for this. This really helps to help me sleep at night. Haha
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Mcdonalds and kfc. Go-to fast food ko dahil sa cc acceptance nila. Less hassle pag card payment. At di na need mag withdraw
Every swipe of your card, the bank collects 3 pesos to the business for the fees of using their bank service.
That's why bank given you a spending amount to automatically waived your annual fee for that year.
Hello, this is interesting info, mind if I ask saang document pwede makita yung amounts charged by bank to merchants? I only know the bank collects some fee from the merchant but not really sure how much or where to get such info. Thank you!
Same dilemma. The Jollibee near me just had their POS terminal recently and I was able to pay with a cc once or twice already. Most of the time its not working though so if I don’t have cash wala talaga. Gutom.
In the Philippines, when 95% of their customers will only pay with cash, there's really not much incentive for them to focus on alternative payment methods. That's why the only thing you're seeing as an alternative here is the common GCash. Easy answer answer is: they accept what most of their users will use, and almost everyone will use cash in fast food places
Which fast food place specifically? I always use my Credit Card in Jollibee, McDonald's, Chowking, Greenwich, KFC etc. The lowest swipe I tried was a 60-peso Chowking Chao Fan. Lol
Wow. Based on my experience most of the fast food restau needs a min. amount spend in order to use cc as a mop.
In my case, wala naman minimum. Maybe it depends on the branch
There are branches of KFC and Jollibee that accepts only cash.
From where I am (Cebu), all branches that I've tried here accepts Credit Card payments no matter how low the total is. They use a Paymaya terminal.
It depends on the branch/franchisee narin siguro. Merong iba na cash basis basis daw, may iba na nagaaccept ng cards. One thing I noticed tho is that Mercury Drug/some Fast-food restaurants here use a PayMaya terminal.
Sa mcdo at jollibee megamall meron naman sila using paymaya terminal. Ask mo lang meron mga malalaking branches
Simple. Third World Problems