Categories: Frugality

Using the Power of Cash to Your Advantage

As our society moves more and more away from cash and toward other methods of payment, many people forget just how powerful cash can be. If you'll use cash to purchase big ticket items, it can save you quite a bit of money. Here are a few things to consider about using cash more to help your financial situation:

Cash Prices

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One of the big advantages of paying with cash is that you can sometimes take advantage of cash bonuses with certain merchants. Many merchants have one price for cash and another price for credit or debit cards. This is because it costs the merchant something to be able to accept a credit or debit card payment. They have to pay the credit card processing company two or three percent of the purchase price. Because of this, they can afford to sell the product for less money when a cash payment is made. Any time you make a big ticket purchase, ask the merchant if they can give you a better price for cash.


When you use cash, you also have a little bit of room for negotiation. Many merchants may be willing to negotiate with you if you have a big stack of cash to work with. Ask them what the lowest price is that they would take for a cash payment. This can sometimes net you a pretty good deal.  You can even negotiate in some places you might not have imagined, for example, on your hospital bills.

Be Patient

If you are shopping with cash, patience pays off. Instead of taking the first deal that you find, try and shop around a little. There are a lot of places that will give you a good deal for cash, and you can have fun shopping around a bit. You can always go to a normal store and buy the item for full price, but sometimes you can find a better deal. Overall, having cash on hand can come in very handy. Whether you need to shop with a local department store, or with an automotive dealer, you can really get some great deals with cash. You also don't have to worry about finding a merchant that accepts credit cards, debit cards, or some other chosen payment method. Almost everyone takes cash, and if you get in the habit of shopping with it, you'll be able to score some great deals and save money.

Amanda Green is a freelance writer who normally writes about personal finance and business. Her normal finance writing can vary on topics from saving money on groceries to using services like expertbail to stay financially afloat during times of trouble. You can read more writing by Amanda at


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