In today’s increasingly cashless society, many of us rely on cards or mobile payments for purchases. However, financial experts recommend carrying at least some cash, as there are certain situations where using it can be more beneficial. Here are a few instances where cash is a smart choice:
1. Returns
If you plan on making a return, paying with cash can speed up the process. Many stores will refund the purchase to your original payment method, and if you used a card, it might take several days for the refund to appear. But when you pay with cash, you’ll receive an immediate refund, making it a more convenient option.
2. Travel expenses
When traveling, paying with cash can help you avoid hefty foreign transaction fees that often come with credit card use. Additionally, using cash helps prevent overspending. By setting a budget and using only the cash you’ve allocated, you can stick to your vacation financial goals more effectively.
3. Daily small purchases
For everyday transactions like groceries, cash is a good way to keep spending in check. Small purchases can add up, and paying with cash encourages people to stick to their budget. It also helps avoid overdraft fees that can occur when using debit or credit cards for minor purchases.
4. Buying used goods online
When purchasing pre-owned goods from online platforms like Craigslist or Facebook Marketplace, using cash is recommended for security reasons. Transactions with strangers are riskier, and paying in cash minimizes the risk of providing sensitive payment information to unknown parties.
5. Fuel
When buying gas, many stations offer a discount for paying with cash. If you’re looking to save a few extra dollars, opting for cash at the pump can help lower your overall fuel costs.
In summary, while digital payments are convenient, carrying cash and using it for specific purchases can save you money, ensure quicker refunds, and help you stay within budget.
