Canadian supermarket retailer Loblaw Cos. announced that at the end of the month, it will stop accepting personal checks.
Checks reportedly account for less that two percent of all sales, down from 25 percent a decade ago. In addition, the company has determined that consumer preferences for paying for purchases with credit and debit cards has made it acceptable to refuse to accept checks -- especially because they pose a greater credit risk for the retailer.
Canada’s Wal-Mart Stores and Sears Canada are among the retailers also not accepting checks.
Checks reportedly account for less that two percent of all sales, down from 25 percent a decade ago. In addition, the company has determined that consumer preferences for paying for purchases with credit and debit cards has made it acceptable to refuse to accept checks -- especially because they pose a greater credit risk for the retailer.
Canada’s Wal-Mart Stores and Sears Canada are among the retailers also not accepting checks.
- KC's View:
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Sure, this is good for the retailer. Sure, checks are a lessening component of store sales.
But we’d hate to be the person who has to tell customers, even if just a few of them, that their check is no longer welcome.
The question that has to be asked is, even if this is good for the retailer, if it is good for the consumer.
