Retailers Pilot 'No Check' Policies

The new year may bring the long-predicted "cashless society" even closer to reality, reports Credit Union Journal, a CardLine sister publication. Several large grocery chains are piloting a "no checks policy," including Whole Foods market at certain stores in Arizona and California. Another chain, Fresh & Easy, dispensed with the pilot test and declared it would simply stop accepting checks altogether. James Neckopulos, manager of the financial services industry group with Hitachi Consulting, said that if not within five years certainly within ten paper checks will no longer be in use, replaced by debit cards and other plastic. An analyst with the American Bankers Association said he expects other retailers will follow the Whole Foods test closely and will follow suit if it appears successful. Data released by the National Retail Federation for the 2008 holiday showed paper checks made up just 4.3% of payments at store registers, a decline from 5.5% in 2007 and 6.2% in 2006.