WASHINGTON (dpa-AFX) - New York City Council has passed a bill that prohibits food and retail businesses from refusing to accept payment in cash.
According to the Council, this new law will control 'the excesses of the digital economy' and stop discrimination against low-income residents.
The city council unanimously passed legislation, which will fine retail outlets, including stores and restaurants, if they refuse to accept cash payment.
'No longer in NYC will brick-and-mortar businesses have the right to refuse cash and effectively discriminate against customers who lack access to credit and debit. The City of New York cannot allow the digital economy to leave behind the 25 percent of New Yorkers who are chronically unbanked and underbanked. The marketplace of the future must accommodate the needs of vulnerable New Yorkers,' said Council Member Ritchie Torres.
This bill would also prohibit establishments from charging cash-paying customers a higher price than those using credit.
Additionally, food and retail establishments do not have to accept bills in denominations of greater than $20 and transactions taking place completely online, by phone or mail are excluded.
The bill provides for penalties of $1000 for a first violation, and $1500 for each succeeding violation.
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