Is It Ever OK To Ask For A Cash Discount At A Restaurant?

Eddie Fahmy, franchise director of Döner Haus, has seen the cash-versus-card debate play out from all sides of the counter. When he spoke exclusively with Chowhound, we had to ask him about the awkward moment that some diners toy with in their heads: "Should I just ask if they'll knock a little off the price if I pay in cash?"

Cash discounts are common, although not always for the reasons diners expect. The main reason restaurants may want you to pay less in cash is to avoid all the credit card processing fees, which can take away quite a bit of their profit. In many states, it's perfectly legal for restaurants to display one price for cash and one price for card as long as the difference is posted clearly on the menu (in order for them to recoup those losses). If you don't see a cash discount advertised, you could ask, but Fahmy warns that it's a pretty bold move: "If you have the nerve to ask that, then go ahead, but typically I wouldn't suggest doing that." It's not so much about offending the staff as it is about possibly putting them in an awkward position — not unlike asking to split a check five ways — especially if there's no policy in place.

Cash can feel a little old fashioned in the era of Apple Pay and tap-and-go, and it can be a mixed bag for some restaurant owners. While it means they avoid credit card fees, it also brings in new headaches such as counting, storing, and depositing the notes. "I'd rather have everyone pay with a credit card as it would make the business easier to reconcile," Eddie Fahmy says. With card payments, fees are already factored into menu prices and the bookkeeping is much cleaner.

There's also the tip factor and the whole tipping in cash vs. card debate. For servers, cash tips can be pocketed immediately. From an owner's point of view, card tips are easier to track and distribute accurately. Fahmy admits that card tips are overall less stressful for management, even if they take a day or two to hit employees' accounts (which may be frustrating for them). At Döner Haus, tips aren't really part of the culture since the restaurant prides itself on paying its staff a living wage. "If a business can't survive while paying employees properly, it should not be in business at all," Fahmy firmly believes. 

In the cash discount conversation, some diners may just enjoy the thrill of asking for a discount in much the same way others enjoy hunting for the best happy hour deals in the neighborhood. Just remember that any discount offered on the spot comes out of someone's pocket — and it's rarely the credit card company's.