I’m sure the restaurants – and businesses and customers – will figure out that cash only means debit cards so as to decrease the chance of cash only robberies.
The real point I was trying to make was that up until now I had only heard of the “credit market squeeze” in terms of home loans, HELOCs, car loans, etc. It hadn’t really affected me or most people who were not in the market for home loans, refis and car loans.
But with this business going to a cash only basis – and more to follow – I now have a tangible impact of the “credit market squeeze”, of the credit markets freezing up that will affect me and many more households.
Once that impact of a credit market squeeze/freeze is felt by a wider amount of people then I would expect more people to start hoarding cash. Expect a slow run on the banks to begin and then accelerate as more people begin to see what is going on. Wait until that happens. You ain’t seen nothing yet.
The financial environment is changing right before our eyes. What it will be, and what our lives will be like when it is over, is left up to our imagination.
