4 Retailers That No Longer Accept Paper Checks

In yet another sign the personal check is on its way out, Target recently announced it’s no longer accepting this form of payment, joining a growing list of retailers that have banned checks.  

Retailers like Target have their reasons for banishing checks. Usage is a big one: Checks represent only 3 percent of transactions, according to Bankrate data. Fraud is another: In recent years there’s been a resurgence of check fraud, with merchants a common target. And in an era when speed is of the essence, nobody wants to wait behind a shopper paying by check. 

“The juice isn’t worth the squeeze for retailers,” Greg McBride, chief financial analyst for personal finance at Bankrate, says of merchants accepting personal checks at the cash register. “Check writing didn’t fall off the table in the last five years,” he adds. “It’s been steadily declining for the last 30 years.” 

That doesn’t mean there aren’t holdouts, particularly among older adults who appreciate the familiarity of paying by check. Of American adults who still write checks, a 2023 GOBankingRates survey found many were 55 and older. “Check writing is still going to persist, but it’s going to be more for one-off transactions," McBride says, such as “the repairman who comes to the house and doesn’t accept credit cards or the school function or event.”

What you can do

If you are among those check-paying holdouts, you often have options when a retailer no longer accepts your preferred payment method. You can typically pay with cash, a debit card or a credit card, and a rising number of retailers accept digital wallets and payment via buy-now, pay-later services. There may be a learning curve with some of these digital methods. AARP’s guide can help. You can also enlist a trusted friend or family member, or ask for help at the store, library or community center.

Be mindful of safety issues associated with cash. You don’t want to lose it or get robbed on your way to the store. Cash does tend to be popular with older adults, with 22 percent of those 55-plus using it to make payments, according to the Federal Reserve Financial Services survey. ​

“Consumer adoption of mobile and electronic payments, which was accelerated by the pandemic, continues to grow and has driven a sharp decline in check usage,” says Sarah Grano, a spokesperson for the American Bankers Association. “With check fraud on the rise, we recommend consumers use electronic payments, rather than a paper check, whenever possible.”

The paper check ban doesn’t apply to paying your credit card bill if you use a store credit card. Most retailers, including Target, still accept personal checks for that. 

While the list of retailers banning checks is growing, many still accept this payment method. Here’s a look at both. 

Personal Checks Not Welcome Here

1. Aldi

Aldi accepts cash, most debit and credit cards, Electronic Benefits Transfer (EBT), Supplemental Nutrition Assistance Program (SNAP), Link cards and contactless pay such as Apple Pay and Google Pay. The grocer does not accept benefits from the Special Supplemental Nutrition Program for Women, Infants and Children (WIC) for formula purchases, since federal guidelines stipulate that only name-brand formulas are included and Aldi only sells its store brand.​