The cash age ended soon. While credit cards and mobile wallets have been growing in popularity over the years, the pandemic has fueled the shift to digital transactions. Businesses, restaurants and even some public services have begun to avoid accepting cash, simplicity, safety and efficiency.
But this cashless trend can present a real challenge for many Americans, especially older people, low-income families, and those who don’t have access to banking. Once felt like a simple daily interaction – paid bills, renewing a license or buying a bus ticket – now requires navigation apps, websites, or digital kiosks.
Public services that anyone who once had cash could access are increasingly in need of digital payments. This transition is reshaping how people interact with essential services, thus raising concerns about financial inclusion and accessibility.
Let’s break down nine public services that are transferred to digital payments only and what it means to people who rely on them.
1. Public Transportation System
In many major cities, public transportation systems have completely transitioned to digital payment systems, canceling cash from buses, trains and subway stations. Now, riders are expected to use smart cards, mobile apps or contactless credit cards to pay for fares.
For example, cities such as New York, Los Angeles, and Washington, D.C. have introduced digital payment platforms that require riders to click on cards or phone calls instead of throwing coins or bills into tickets. Although these systems are faster and more efficient, they can be a barrier for people who don’t have smartphones or credit cards.
The shift also presents challenges for tourists, seniors and low-income riders, who have traditionally relied on cash to gain affordable public transportation.
2. Tollways and bridges
Gone are the days of throwing coins into the toll station. Nationwide, toll roads and bridges are turning to cashless systems that automatically charge drivers via electronic transmissions such as E-ZPASS or license plate recognition.
While such digital systems can speed up traffic and reduce labor costs, this is problematic for drivers who don’t have electronic passes or prefer to pay cash. Those without an account will often charge for a later fee, making travel more expensive.
Some states have even closed all cash lanes completely, leaving drivers with no choice but to adapt to digital payments or face expensive administrative fines.
3. Parking meter and garage
Parking has become another space where cash is increasingly unpopular. Many cities have replaced traditional coin-based parking meters with digital kiosks or application-based payment systems. Drivers are expected to download the app, enter the license plate number, and pay via credit card or mobile wallet.
Although convenient for those tech-savvy, these systems can create frustration for those who don’t have a smartphone or prefer cash. In some areas, the inability to pay digital fees means drivers’ risk of parking tickets simply because they don’t have the right technology.
4. Payment bill payment
Pay with electricity, water or natural gas for mailing checks or payment centers with cash. Now, many utilities are pushing customers toward online payments, and some have completely removed cash payment methods.
This shift can be a major obstacle for those who are reluctant to navigate online portals. While third-party payment services may offer solutions, they often charge extra fees, which adds the burden to those who cannot afford it.
5. DMV Services
Motor Vehicle Departments (DMVs) in some states have begun transitioning to digital-only payment systems. Whether you renew your driver’s license, pay a traffic penalty, or order a transfer of ownership, cash is often no longer an option.
While this simplifies operations and reduces the risk of cash theft or mismanagement, it creates obstacles for people who rely on cash-only transactions. For older drivers or people without bank accounts, this shift could mean jumping in the extra basket just to deal with the basic requirements of daily life.
6. School lunch plan
School lunch programs in many areas are turning to cashless payment systems where parents are expected to prepay their accounts online or pay via mobile apps. While this may reduce the money lost for lunch and speed up the buffet restaurant, it may adversely rely on households based on cash budgets.
Some areas even prohibit cash on the register, and cannot buy meals if the child’s account is not properly funded. This trend has raised concerns about fairness and access, especially for low-income households without digital tools or reliable internet access.
7. Urban leisure facilities
Public swimming pools, entertainment centers and local fitness programs are increasingly using digital payment methods for admission, class registration and membership. While these systems make it easier to track participation and manage bookings, they also exclude people who do not have a debit or credit card.
For many families, a simple day spent in a pool or community event now requires advanced online registration and payment, eliminating the spontaneity and accessibility used to define these public services.
8. Violations of public parking and fines
Paying parking tickets or municipal fines is another area where cash is being phased out. Nowadays, many cities need to make online payments or payments through digital kiosks. While this may make city offices faster, it allows those who like or rely on cash to find a solution to the fine without incurring additional expenses.
In some cities, failure to pay digitally can result in fines or additional costs. For individuals who do not have access to digital payments, this can get caught up in bigger financial problems.
9. Costs for national and state parks
Many national and state parks have introduced cashless payment systems for admission fees, camping reservations and parking passes. Visitors are expected to use a credit card or online booking system before arrival, with some parks completely cashless at the gates and kiosks.
For those heading to remote parks with limited unit services, this change can be frustrating, as digital payments are sometimes required for online bookings. For spontaneous visitors, no credit card or mobile payment options may mean being turned away from the door.
Hidden Costs of a Cashless World
The shift to digital payments is often sold as convenience and modern, but raises deeper questions about financial inclusion. About 4.5% of U.S. households do not have bank accounts, meaning they cannot use traditional checking or savings accounts. For these families, digital public services alone create more barriers to daily life.
There is also a privacy issue. Cash transactions leave no digital footprint, but can be tracked, analyzed and even digital payments sold as data. For those who value privacy or lack trust in financial institutions, being forced into digital payments can feel invasive and unfair.
Is a cashless society inevitable?
The shift to digital payments to public services is accelerating, but this is not without consequences. For millions of Americans, especially older and low-income families, eliminating cash options makes access to essential services more complex and sometimes impossible.
Do you think cashless public services are a step forward or are they too far? How will a completely cashless society affect your daily life?
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