A new Maryland law will require most retail stores to accept cash during specific hours—and many owners haven't heard about it yet.
Starting October 1, 2026, Maryland retailers who sell essential consumer goods will face a new operational requirement: you must accept cash for in-person transactions between $5 and $300 during the hours of 6 AM to 10 PM. You also cannot charge customers extra for paying with cash. Most retail owners don't know this provision exists, even though it carries civil penalties up to $500 per violation—rising to $1,000 for repeat violations.
The requirement is embedded in House Bill 191, titled "Consumer Protection - Retail Transactions for Essential Consumer Goods - Cash Payments." It appears in Section 14–1330(C) on page 3 of the bill.
The law applies to any retail establishment selling essential consumer goods in person. Essential goods are defined as food, water, beverages, hygiene products, health products, and fuel. If your store sells any combination of these items, you fall under the requirement.
The cash-acceptance mandate applies only to transactions between $5 and $300. Transactions below $5 or above $300 are not covered. The hours are fixed: 6 AM to 10 PM daily.
Under this law, you cannot:
The no-surcharge rule is important: you cannot price cash transactions differently from card transactions to offset processing costs or other expenses.
This affects how you staff registers, manage cash handling, and set pricing. If your store has moved toward cashless operations or card-only payment systems, you'll need to ensure cash-handling capability during those six hours. Your POS system, staffing, and cash management procedures should all account for this requirement.
The law does not require you to accept cash outside the 6 AM–10 PM window, nor does it apply to online or delivery transactions—only in-person retail sales.
The law takes effect October 1, 2026. That gives you roughly two years to prepare systems and procedures. Violations carry civil penalties of up to $500 for the first offense and up to $1,000 for subsequent violations per transaction.
If you operate multiple locations or process high transaction volumes, the cumulative penalty exposure is significant. A single day of non-compliance across multiple stores could result in substantial fines.
Review your current payment systems and policies. If you've eliminated cash handling, plan how to reintroduce it safely and efficiently. Check your POS system's capabilities. Ensure your pricing strategy doesn't inadvertently violate the no-surcharge rule. Document your compliance procedures.
The Maryland Retailers Association and other trade groups have published detailed guidance on HB191 compliance. A free, business-specific resource guide is available through most retail industry organizations in the state.
Source: Maryland House Bill 191, Section 14–1330(C)