Source: The Arizona Republic
Author: Dawn Gilbertson

The distress call usually goes out about halfway through the in-flight drink service.

A flight attendant gets on the intercom and asks whether any passengers have change for a $10 or $20 bill.

The cumbersome dash for cash by flight attendants and passengers is disappearing on some airlines as technology makes it easier to accept credit and debit cards in flight.

Frontier Airlines went cashless last month, joining such carriers as AirTran Airways and Allegiant Air.

Hawaiian Airlines stopped accepting cash on its trans-Pacific flights two summers ago.

In January, Hawaiian expanded the policy to its interisland shuttles.

None of the country's largest carriers has gone that route, but some appear headed that way.

A year ago, American Airlines began accepting credit and debit cards in a partnership with American Express after testing the program on select flights.

The airline said passengers liked the ability to conserve cash while still being able to buy things on board.

Delta is testing a cashless system and expects to roll it out companywide over the next year.

And Tempe-based US Airways said the new seatback in-flight Internet and entertainment system it is considering will have a built-in electronic payment system and that it would likely add a companion handheld system for passengers to pay for other items, such as food and cocktails, with plastic.

"It's a real helpful thing for a lot of reasons," said Travis Christ, the airline's vice president of sales and marketing.

Southwest, the other dominant airline in Phoenix, said it, too, is looking into switching to a cashless cabin but has not made any decisions.

Like US Airways, the airline recently announced plans to test in-flight Internet service.

Ann Block, senior vice president of in-flight services for Frontier, said it was an easy switch for the Denver-based airline because the technology was there with its DirectTV live television service.

Frontier is the only U.S. carrier to offer live television besides JetBlue, which owns the LiveTV business.

"We were able to capitalize on that partnership and that technology," she said. "It was all very attractive."

It's been a month since Frontier stopped accepting cash, and Block said she has had just a single passenger complaint.

Frontier uses battery-operated handheld devices, about the size of a standard pocket computer, in its system.

Flight attendants like them because it eliminates the hassle of getting change and reduces the postflight paperwork and money handling, Block said.

"It was pretty labor-intensive," Block said of the old cash-handling system.

Going cashless also cuts down on theft, industry executives said.

Perhaps one of the biggest benefits of the system is higher revenue.

And that's something the airline industry sorely needs as it faces one financial challenge after another.

At Frontier, sales of alcoholic beverages are up since the airline began accepting credit and debit cards.

"They're saving cash for the cab," Block said.

She sees a day when credit cards won't be necessary to buy on board, either. Passengers will be able to preorder drinks, food, movies and other items when they buy their ticket.

"Ideally, we would like to do that," she said.