Re: Don't know what you've lost till it's gone.....
"simple person-to-person transfer it holds its face value and doesn't make the banks money but EVERY credit/bank card transfer gives them an automatic cut "
Not so simple! Firstly, if you are considering only person-to-person transfer:
- "In-App" electronic transfers are free, no different to person-to-person cash transfer
- Bank transfers within borders are free within most countries
- International payments between Euro countries (SEPA) are generally free, or if charged, cannot exceed the cost of a local transfer
- Other international payments, even same-currency, are charged. Doubly so if it involves currency conversion, usually at an extortionate rate
(it's normal for long-distance payments to incur some cost, you anyway can't transfer cash that way.... even if you're willing to trust the post, there is some fee)
For person-to-business transfers
- With every credit card or debit card transaction, the merchant is charged (usually about 3%) by the credit card company (Visa/Master), with some of that being passed on to the issuing bank.
- Business handling of cash is NOT free. Most banks charge a fee for cash bulk deposits
- From a merchant point of view, cash handling can cost more than the 3% charged by card companies (cost of additional security, cost of bulk cash handling at bank, more onerous audit requirements against money laundering)
Biting the hand that feeds IT
