Target to stop accepting this type of payment next week

Target has announced plans to stop accepting a classic form of payment starting next week.

Target will no longer accept personal checks from customers starting on July 15.

To justify the decision, the massive nationwide retailer cited that shoppers rarely utilized the traditional payment method.

“Due to extremely low volumes, we’ll no longer accept personal checks starting July 15,” a representative for the company wrote in a statement, according to KTLA. “We have taken several measures to notify guests in advance to aid an easy and efficient checkout experience.”

The Target spokesperson attempted to calm the fears of check users by pointing out all of the forms of payment that the Minnesota-based retail behemoth does accept.

“Target is committed to creating an easy and convenient checkout experience, and that includes providing our guests with numerous ways to pay, including our new Target Circle Cards (formerly known as Target RedCard); cash; digital wallets; SNAP/EBT; buy now, pay later services; and credit and debit cards,” the spokesperson said.

Target's website notes that its stores do not accept the following payment options:

• Foreign checks and currency: Target doesn’t accept currency or coins from foreign countries. However, depending on where the Target store is located, stores may be able to accept Canadian dollars or Mexican pesos. Target stores update exchange rates weekly.
• Mall Certificates and Chamber Bucks: Exception - select stores accept payments using mall certificates or chamber bucks. Call your local store to find out if they are accepted.
• Money orders and cashier's checks: Only accepted as payment on credit accounts
• Business checks are not accepted.
• Merchant gift cards (e.g., Disney), except Starbucks gift cards (which can be used at the in-store Starbucks registers)

The Federal Reserve has noticed that the use of personal checks has declined significantly in recent years. The Federal Reserve Payments Study – which collected data for the 2021 calendar year – discovered that checks used for payments declined at a rate of 7.2% per year since 2018, dropping to 11.2 billion in sales.

Despite the drop in the number of checks used, the value of checks increased from $1,908 in 2018 to $2,430 in 2021. The increase stems from fewer checks being written, but they were still used for higher-priced transactions such as rent and automobile purchases.

Accelerating the decline of personal checks was the COVID-19 pandemic, as more customers and businesses adopted contactless and digital payment methods.

Experts believe the use of personal checks will only continue to decline as more people utilize typical digital payments and up-and-coming cryptocurrencies.

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