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Moving from the UK to the US a few years ago was like going back in time 20 years in finance tech. No-one supported contactless payment, cards didn't implement

Moving from the UK to the US a few years ago was like going back in time 20 years in finance tech. No-one supported contactless payment, cards didn't implement it, despite it having been standard tech in the UK for years. The UK de-facto deprecated cheques in 2011 when the cheque-guarantee scheme was closed, so it was very shocking to need one to rent an apartment in the US. (The UK would just use a bank transfer). Even with improvements seemingly brought on by covid, the US still seems massively behind the times - for example ACH still takes several days to do a bank transfer that is instant in the UK, and venmo or whatever seems to be overcomplicating it.

javajosh 4y ago
Yes, and moving to the EU was like moving forward 20 years. The IBAN system is fantastic! The seller gives you their IBAN number, and you tell your bank to send money to that number. It happens instantly and for 0% commission. There are no routing number/account numbers. (Granted, I never had to deal with fraud so I'm not sure how that goes. I doubt that credit card style charge backs are possible.) It's also interesting that in some parts of Europe (esp Germany) cash is still the normal way of paying, even for large amounts.
- hnbad 4y ago
  > I doubt that credit card style charge backs are possible. Actually they are, but only for SEPA direct debit (i.e. you giving your IBAN to the seller to authorize a recurring charge). Also I'm not sure if this is automatic or just standard practice but failed SEPA charges will invalidate the mandate, so you'll have to issue a new one if it ever bounces. Some(?) banks also allow you to reverse a bank transfer in online banking but I'm not sure if this just an "undo" before the transfer has actually gone through or an actual reverse charge. You can also set up recurring transfers in most online banking software for free but again they're not usually reversible like SEPA direct debit payments are. As for cash payments in Germany: the pandemic led to a lot of retail adoption of debit card payments but if you don't know in advance whether you'll be able to pay by card, it's good to keep cash on hand. Most larger retail stores (clothing, pharmacies, etc) and pricier restaurants take debit cards, grocerers/bakers and non-chain fast food places often only take cash. You probably can't pay for your Currywurst with your debit card but you can pick up your prescription (if it's not fully covered by health insurance) or pay for a fancy dinner. In the latter case they might even take credit cards, if they're particularly fancy.

javajosh 4y ago

Yes, and moving to the EU was like moving forward 20 years. The IBAN system is fantastic! The seller gives you their IBAN number, and you tell your bank to send money to that number. It happens instantly and for 0% commission. There are no routing number/account numbers. (Granted, I never had to deal with fraud so I'm not sure how that goes. I doubt that credit card style charge backs are possible.) It's also interesting that in some parts of Europe (esp Germany) cash is still the normal way of paying, even for large amounts.

hnbad 4y ago
> I doubt that credit card style charge backs are possible. Actually they are, but only for SEPA direct debit (i.e. you giving your IBAN to the seller to authorize a recurring charge). Also I'm not sure if this is automatic or just standard practice but failed SEPA charges will invalidate the mandate, so you'll have to issue a new one if it ever bounces. Some(?) banks also allow you to reverse a bank transfer in online banking but I'm not sure if this just an "undo" before the transfer has actually gone through or an actual reverse charge. You can also set up recurring transfers in most online banking software for free but again they're not usually reversible like SEPA direct debit payments are. As for cash payments in Germany: the pandemic led to a lot of retail adoption of debit card payments but if you don't know in advance whether you'll be able to pay by card, it's good to keep cash on hand. Most larger retail stores (clothing, pharmacies, etc) and pricier restaurants take debit cards, grocerers/bakers and non-chain fast food places often only take cash. You probably can't pay for your Currywurst with your debit card but you can pick up your prescription (if it's not fully covered by health insurance) or pay for a fancy dinner. In the latter case they might even take credit cards, if they're particularly fancy.