Cash or Credit Card

I am still a cash person for everything I buy or I use my German debit card, but CC are more accepted.
There are still restaurants that are cash only, but they have signs on their menu displays by the door saying this. Farmers markets are cash only too, or food stands, food trucks.
It has gotten easier or more common on one hand to use your CC, but for small companies, taking CC is still a burden.

I think the pandemic has pushed more Germans into using cards and businesses to accept, but old habits die hard, and I expect there will be a bit of a backslide.

Most of the tourist type places you will go will accept card, get off the beaten track or in a small shop, cash will at least be preferred, but card may still be an option.

Fee's the business get hit with are usually the blame, but if you drive away customers by insisting on cash, that is sort of a self-defeating practice, it comes down to businesses just like cash better, and Germans as a whole, like to use cash.

I would have a ready stash of euros, try to use your card, at least you will have a fall back.

I would assume that in the urban centers, Munich, Frankfurt, Berlin, Hamburg, Cologne, etc more restaurants allow the use of credit cards, or to put the other way, far fewer cash only places.

I know of restaurants even in the tourist area, ie, across the street from Hamburg Hbf. where only cash is accepted, saw that happen in 2017. My Pension in Berlin only accepts cash....fantastic.

Presumably, the smaller cities and towns, maybe more in the eastern Germany, would have more establishments with no credit card option. The cash preference in Germany may be changing but I wouldn't bet on it. Keep it as a cash society.

I think that a lot of people (myself included) have returned to our pre-pandemic cash-based spending. But, I guess there are maybe more stores that take cards, at least: more that take EC cards (our German bank cards), and many more contact-less options.

Chain grocery stores will mostly have a card option, I would think. Smaller grocery stores, especially away from city centres, are maybe more of a mix. Restaurants haven't changed much in my experience during the pandemic. Most take cards, some do not. My three favourite restaurants are all cash-only, for example. As for what the businesses prefer: I assume that that has not changed, and that they still prefer cash. And, frankly, I think most customers do too--cash is still very popular even amongst younger people.

In 2009 I encountered exactly that at the DJH hostel in Dresden when I asked if a MC or Visa could be used to pay. The staff member told me only the EC was allowed. I paid cash for the 4 night stay.

Fred, it seems that your examples are pre-covid and pre chip and PIN and before contactless....

Have you seen that recently?

February 2020, just before the lockdown I spent a week in Berlin. I used my credit card (including Apple Pay)for 99% of my purchases. I used cash on only two occasions: taxi to/from the airport and at a bratwurst stand.

Have you seen that recently?

On this question: It is quite uncommon now in sectors of the economy that tourists interact with to have an only EC-Karte option, from what I see--if they accept cards, they then tend to accept both EC- and Creditcards.

And, on cash-only: Mostly it is in the gastronomy sector, and then mostly in areas that are not highly touristed. But still, it is always a good idea in Germany to have some cash available, especially if outside of major centres. Cash-only in restaurants and bakeries is not particularly rare.

Thanks everyone for the input.

My credit card has in the past been in some hacked data bases, requiring a new card with some hassle. I would hate to go that hassle while traveling through Germany. I prefer cash for restaurants, cafes and grocery stores.

BTW, as an article of faith in my ability to still travel to Germany, at the end of each trip I make an ATM withdrawal of Euro's for the next trip. I did so in November 2019.

If you prefer cash, then you are in luck. Cash still has primacy, and although it is technically allowed not to accept cash, that is something you will find only in some tiny minority of (very hipster) places in Berlin and Hamburg and similar, I would expect.

I personally do not remember when I last used my EC-Karte: at least a week ago, or maybe longer? And, I only reluctantly got a credit card a few years ago to make international travel easier, but I have not used that since the beginning of the pandemic (we have different online payment options inside of Germany that mean that you do not need to use a credit card for almost anything except airline tickets).

@ Nigel....The point I am making with my experience in Dresden in 2009 is the hostel did accept a credit card but not the credit I had, which was the MC., only the EuroCard.. If not that, then the guest had to pay cash. The payment option varied from hostel to hostel since in 2009 I also stayed in the Düsseldorf DJH hostel. They did accept my MC .

"...technically it is allowed not to accept cash." That was attempted a few years ago in SF where some establishments made it policy not to accept cash. One had to use a credit card, PayPal, etc. They were taken to court on the basis that such a policy was discrimination.

Last October in Berlin, I used a credit card only to pay my hotel bill. I paid for all the meals and groceries with cash. Can't remember whether I used cash or card at the machine where I bought a 7-day transit pass. Never had a problem with acceptance of cash.

I just returned from Berlin, having not been since early 2019. I wasn't expecting to be able to use my card as much as I did. I had about thirty euros with me, left over from a previous trip. I only got fifty more euros in cash, mostly because I needed change for using the pay toilets, and brought twenty euros home with me. I used a self-checkout at a market at a train station that was card only. It may have been at Cecilienhof, in Potsdam, that even had a sign that said "card preferred". I don't miss the fumbling for correct change in a not-very-familiar currency while a line grows behind me - now it's one tap of the card on the terminal and done.

When we travel to Europe or most places in the World, we rarely use cash anymore, except for small tipping.

I understand that countries like Norway and Sweden are planning to abolish cash totally.

@wf0042886 - store/restaurant/hotel owners do what is convenient and cost effective for them, not you. If you go to Germany, I suggest you take some cash. I’m not certain what is unpleasant about carrying and paying in cash.

If you go to Germany, I suggest you take some cash. I’m not certain what is unpleasant about carrying and paying in cash.

I will say that during my 30 days in Germany (and I went pretty much around the country), there were only 2 places that did not accept credit cards - one was a tiny business in a small town and the other was the drinks vender on a KD cruise ship. I took €55 with me (left over from my previous trip) and went home with around €40. Other than that, I used credit cards exclusively.

I like using cards because it allows me to track my expense in a more convenient manner. And it's easier to pull out a card, then tap and pay rather than trying to count out bills and change.

I just spent 3 weeks in Germany: Hanau, Muehlheim am Main, Cochem, Koblenz, Zell, Hamburg and Frankfurt. What Ms. Jo said in the first post was pretty much my experience to a tee.

One side note. Here in the US, I almost exclusively use Apple Pay from my watch. In the US, when the merchant rings you up, it automatically activates the credit card/NFC reader. In Germany, I had to ask "Kreditkarte, bitte". Then the cashier would activate it. And then I could pay.

A lot of places won’t take Amex, but cards are totally normal now

First, I think we have understand that there are differences between European and American credit and debit cards. There is something called an interchange fee. This is the fee that the bank collects from the vendor when handling the transaction. Some website claim that, in this country, it is only 2%, but banks give you 2% back for using the card and I'm sure they are not working for free, so the interchange fee has to be more than 2%. I've heard it's more like 4% and I'm inclined to believe it. If a business gives a 4% cut to the bank for half their transactions, you have to believe that they have price that are at least 2% higher than places that don't accept cards.

The EU has limited the interchange fee at 2/10% for debit cards and 3/10% for credit cards. That is for cards issued by EU banks. They have allowed banks from outside the EU to negotiate their own fees with vendors. Maybe that is why you see places taking EU debit cards (2/10%), but not US cards. On my last trip (2017) of 20 nights, 2 properties where I stayed for 4 nights told me in advance that they only accepted cash. I only paid cash the rest of the time, so I have no idea what other places did.

In my 5+ months of German travel in the last 20 years, I have regularly stayed in small, "mom and pop" establishments, Privatzimmer, etc because I enjoy the intimacy they provide, but I have also noticed that I pay far less than the I would at the ritzier places. I attribute part of that to the fact that these simple places do not have to pay CC fees.

So go ahead and feel smug that you have been able to use your CC to pay for you room (and probably gotten miles for it), but rest assured, you have paid for it in higher prices.

In November 2021 in Dresden and Berlin merchants preferred credit cards that you could tap. This was true even in the Christmas Markets, just tap your card!

My original question was aimed at flexibility in paying methods. I am glad that we can pay both with cash and credit cards.

Our individual card number has been stolen and used just once. Additionally, our cards have been compromised in hacked data bases 4 times. Each time our cards were frozen and new cards sent to us. That was messy at home but would be a lot more difficult if we were traveling through Germany.

So here's the deal. Use the Contactless Pay feature of your DC / CC as often a you can - never, never, swipe your card using the magnetic strip - and only Dip your card when abolutely necessary i.e. when it's required for larger purchases such as clearing hotel bills. If you have a smartphone, and your financial intititution supports electronic Wallets, familiarize yourself with the security of the feature and use it.

I've been using Apple Pay through a pretty wide swath of Europe since 2016 and rarely was I unable to use the Tap / Contactless Pay function.

Basically, in Germany (and Austria) I make an exception in contrast to the rest of Europe incl. the UK, regardless if the establishment accepts credit cards or not. In small family run hotel-Pensionen, I pay cash, regardless of their policy on credit cards, some accept them.

At bigger hotels I normally use the credit card, esp. if the hotel is part of a chain. At restaurants I pay cash, even if it accepts credit cards, much easier that way. For groceries in Germany I always use cash...much easier and convenient too.

and only Dip your card when abolutely necessary

sorry, I'm more and more realizing that there are lots of new differences between British English and other English.

What does dip your card mean? I know what card means, but dip defeats me.

"Card dipping is the insertion of a credit or debit card into a reader in an automated teller machine (ATM) or EMV point of sale (POS) terminal. Dipping can be contrasted with swiping, the act of sliding a magnetic stripe card quickly through a magnetic stripe reader."

thanks.

We just put the card in the reader and punch in the PIN if it is over the limit of contactless. I do that when tap isn't available such as when putting fuel in the car at pay at the pump (Germany, France, England).

Since I live in Germany myself, I would always have some money so with me. But it also goes in credit card. In a few restaurants, for example, they only accept cash.

My original question was aimed at flexibility in paying methods. I am glad that we can pay both with cash and credit cards.
Our individual card number has been stolen and used just once. Additionally, our cards have been compromised in hacked data bases 4 times. Each time our cards were frozen and new cards sent to us. That was messy at home but would be a lot more difficult if we were traveling through Germany.<<

Just have a couple cards as backup.