I prefer cash when tipping, or when frequenting small businesses for which the bank and credit card fees are proportionally a financial burden. I NEVER carry over a balance on my credit card.
I use cash. I frequent a lot of independent little shops that do have a machine for card transactions but much prefer cash. I was selling some stuff at a car boot sale, (for Americans, it's a bit like a yard sale) and cash is the only method of payment. Then again I have never in all my years had a credit card or even felt the need to have one. I use a debit card if I must and pay my utilities by direct debit.
As a long-time tax auditor, I can say there's a big push to eliminate cash.. better for business? less federal headaches? more secure? nah.. I could track your financial world via records.. States/Feds know everything about you just via your CR/DR cards everything the underground barter system is making a comeback
--------------------------------------------------------------------------------------------------------------------- A friend of mine told me the same thing around 10 years ago. He noticed that particularly at markets, people were turning up with stuff they didn't want, and went looking for people who had things they did want. Then they'd exchange the items, possibly with a small cash adjustment, and go home happy that the tax man couldn't interfere with the trade, and that no-one other than the people involved knew of the transactions. Thus you could trade old books you'd read and gain a dining table for your back room, and no-one was any the wiser, or the poorer. So I can see the idea catching on, but only as long as the tax man doesn't try to stick his oar in by policing markets and trying to assess every item's value for tax purposes.