Legal Question in Civil Rights Law in New York

Discrimination against those who do not use credit cards

I have encountered several online businesses that have stated that they do not accept cash, personal checks, or United States Postal Money Orders as payment for their goods and services. They only accept credit cards. Is it actually within their legal right to reject the legal tender currency of the United States, particularly if their business is based in the United States? Does that not constitute discrimination against citizens who choose not to use credit cards? U.S. currency carries the words, ''This note is legal tender for all debts, public and private.'' Postal money orders are also guaranteed by the U.S. Government. Is it truly legal for businesses to reject these forms of payment?


Asked on 12/15/01, 2:10 pm

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Discrimination against those who do not use credit cards

A business can reject any form of payment it wants to for transactions not yet entered into (it can simply choose not to do business with you if you don't comply with whatever terms it sets). If a business says that they will only sell their widgets for Albanian Leks, or in trade for Peruvian llama hides, those are their terms, and you can choose to do business with them on their terms or not, or you can make a counter offer to pay in cash dollars, which they can choose to accept or reject. If there is an existing debt (i.e., you already owe the money), payment in cash is acceptable. But cash is hardly a convenient payment method for online transactions. You can mail it, but there is no proof that it got there (even if the mail got there), and the seller has to wait for your payment after your order and match it up manually. Credit cards process automatically and the whole order can be electronically processed in seconds.

Read more
Answered on 12/15/01, 4:37 pm


Related Questions & Answers

More Civil Rights Law questions and answers in New York