Only debts to the government. They also only have to accept cash in person. For example. If you owe the IRS 5k and you go to a local Taxpayer Assistance Center, with 5k in coins, they have to accept it. However, if you are paying via mail, online, etc., they are allowed to restrict the payment types they will accept.
I believe the Government has to accept cash for any charges, but private companies have to accept cash for debts. Like if your car gets towed, the tow company must accept cash, even if it’s all pennies.
This is only true for certain states and certain businesses. For instance, if you are in Texas your example of towing is correct. In the state of Ohio the state law states that tow companies can only accept cash, certified checks, Discover, Mastercard, American Express, and Visa. However it does not dictate that they MUST accept all of those. The point of the clause is to remove personal checks from the system, since most tows are requested by a government body, and personal checks are a major vector for fraud.
However, in Texas, towing is one of like 3 different things I can find that require cash acceptance. All of these are mostly business generated at the request of the government.
Now, debt owed to private businesses, that gets rolled into some sort of government mediated mechanism, IE bankruptcy, do have to accept cash. That debt collection is generally either handled by the government, or a third party contractor. There are no blanket, federal level, laws that dictate businesses must accept cash. Now, there is a growing movement to make state laws forcing this. This is because cashless systems create an extra barrier for poor people, especially the homeless, minorities, and the elderly. Though this is in it’s infancy and it’s hard to tell how well it will be accepted.
It is, for every creditor they must accept US currency as payment for a debt. This only applies if you owe the money, such as a phone bill paid the month after service. It wouldn’t apply if this was a prepaid phone service, as there is no debt.
If a US debtor could refuse US currency, then they could force you to pay in some other currency (such as a scrip), which they might sell for whatever price they want trapping you in a debt cycle.
All US debts must be valued in USD, and accept US currency to pay down that debt, by law.
After reading both there’s not really a conflict. This commenter argues that they mist accept the US currency, USD, the other one argued that they are not force to accept it in physical coins/visa/etc, they have leverage in deciding in which medium you must transfer that said currency.
well the question is debt really. I know places can accept payment as they chose but for payment of debt is what I recollect of the law. I don’t recall that law for allowing the reciever to be picky about the form of the currency. Granted the debt payer has to get the payment in and if they just don’t have a physical presence for it you can’t just leave it on the floor and say debt paid. It is certainly a confusing issue but an important one as such requirements are part of why fiat currency is valueless. that along with the taxing body and just the theoretical value the country holds .
wait. I thought there was a law requiring us currency to be accepted for debt payment.
Only debts to the government. They also only have to accept cash in person. For example. If you owe the IRS 5k and you go to a local Taxpayer Assistance Center, with 5k in coins, they have to accept it. However, if you are paying via mail, online, etc., they are allowed to restrict the payment types they will accept.
ah thanks. This would explain it and I was under a false understanding.
I believe the Government has to accept cash for any charges, but private companies have to accept cash for debts. Like if your car gets towed, the tow company must accept cash, even if it’s all pennies.
This is only true for certain states and certain businesses. For instance, if you are in Texas your example of towing is correct. In the state of Ohio the state law states that tow companies can only accept cash, certified checks, Discover, Mastercard, American Express, and Visa. However it does not dictate that they MUST accept all of those. The point of the clause is to remove personal checks from the system, since most tows are requested by a government body, and personal checks are a major vector for fraud. However, in Texas, towing is one of like 3 different things I can find that require cash acceptance. All of these are mostly business generated at the request of the government.
Now, debt owed to private businesses, that gets rolled into some sort of government mediated mechanism, IE bankruptcy, do have to accept cash. That debt collection is generally either handled by the government, or a third party contractor. There are no blanket, federal level, laws that dictate businesses must accept cash. Now, there is a growing movement to make state laws forcing this. This is because cashless systems create an extra barrier for poor people, especially the homeless, minorities, and the elderly. Though this is in it’s infancy and it’s hard to tell how well it will be accepted.
ah thanks. This would explain it and I was under a false understanding.
It is, for every creditor they must accept US currency as payment for a debt. This only applies if you owe the money, such as a phone bill paid the month after service. It wouldn’t apply if this was a prepaid phone service, as there is no debt.
If a US debtor could refuse US currency, then they could force you to pay in some other currency (such as a scrip), which they might sell for whatever price they want trapping you in a debt cycle.
All US debts must be valued in USD, and accept US currency to pay down that debt, by law.
ok that is what I thought. given the conflict between you and the other commentator I guess im just going to just have to look it up. eventually :)
After reading both there’s not really a conflict. This commenter argues that they mist accept the US currency, USD, the other one argued that they are not force to accept it in physical coins/visa/etc, they have leverage in deciding in which medium you must transfer that said currency.
well the question is debt really. I know places can accept payment as they chose but for payment of debt is what I recollect of the law. I don’t recall that law for allowing the reciever to be picky about the form of the currency. Granted the debt payer has to get the payment in and if they just don’t have a physical presence for it you can’t just leave it on the floor and say debt paid. It is certainly a confusing issue but an important one as such requirements are part of why fiat currency is valueless. that along with the taxing body and just the theoretical value the country holds .
Sure, I was just clarifying why both commenters weren’t in conflict.
ah yes. I see now.