Do you own a checkbook? Checks were once the dominant mode of payment, but modern technologies such as credit cards have decreased their use. However, checks are hard to do away with altogether.
According to Investors Bank, checks still account for 15% of all non-cash payments in the US. It is a preferred mode of payment for people aged 55 and above. Here are four reasons checks are relevant today.
The Majority Of Small Businesses Do Not Accept Card Payments
According to the Federal Reserve, 80% of Americans have credit cards. Yet, according to Business News Daily, 55% of small businesses do not accept credit cards. Processing most checks is free, and some small businesses do not have the significant volume to justify using other payment types. For this reason, checks are the preferred alternative to cash payments. Property owners still prefer checks for rent payments.
B2B Transactions Still Rely On Paper Checks.
Although digital options have penetration in the business world, checks still have a significant place in transactions and payments. For example, a fast food outlet paying a chicken supplier will find checks a suitable alternative to either cash or credit cards.
In instances where payments are made hourly but in small amounts, checks are viable paying options. In addition, mailing checks is not a hassle if a business does not require meeting any specified requirement.
Checks Leave A Paper Trail That Is Universally Accepted
For most businesses and entrepreneurs, having physical evidence of transactions is essential for accounting and legal purposes. In addition, checks provide a viable and convenient way to keep track of all payments.
Having physical checks does not mean businesses never tap the advantages of the internet. For example, they can order checks online and get beautiful customized checks while at it.
Checks are the Only Option For People Who Don’t Use The Internet
Some people do not use the internet for various reasons such as age and personal preference. Yet they engage in business transactions and pay for services. So what better way to make payments offline, like checks? For people who do not use the internet, using checks is the only option to pay some bills.
Even in a digital world where plenty can be done online, checks are still relevant. That does not mean you can’t order checks online. So, what payments do you make in checks? We are here to help you.
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