Regarding the Ratio of Cash to Mobile Payments and Suggestions for Carrying Small Denomination Cash

1. Background on Payment Environment

China is one of the most mobile payment-savvy countries in the world, with WeChat Pay and Alipay covering over 90% of all consumption scenarios (such as dining, shopping, transportation, and scenic spot tickets). However, cash still circulates in certain areas, especially among small merchants, in remote regions, or during emergencies. Therefore, it is recommended to adopt a strategy that prioritizes "mobile payments + small denomination cash backup."

2. Recommended Ratio of Cash to Mobile Payments

• Mobile Payment Ratio: 80-90%
• Applicable Scenarios: Chain restaurants, malls, hotels, ride-hailing services (like Didi), public transportation (subway/bus QR code scanning), scenic spot tickets (online booking), food delivery platforms, etc.

• Advantages: Convenient, secure (no need to carry large amounts of cash), supports real-time exchange rate settlement (link international credit cards).

• Cash Ratio: 10-20%

• Applicable Scenarios: Street food stalls, traditional markets, temple donations, remote mountainous areas, taxis (some drivers may not accept QR code payments), emergency backup (in case of phone battery depletion/network failure).
• Special Cases: In remote areas like Tibet or Shangri-La in Yunnan, the use of cash is higher, so it is suggested to increase the proportion of cash to about 30%.

3. Recommendations for Carrying Small Denomination Cash

• Daily Small Denomination Cash Amount:
• Big Cities (e.g., Beijing, Shanghai, Guangzhou): 50-100 RMB (about $7-15 USD) for sporadic expenses.

• Medium-Small Cities or Tourist Areas Nearby: 100-200 RMB (about $15-30 USD).

• Total Cash Suggestion:

• Short-Term Travel (within 7 days): Carry 300-500 RMB (about $45-75 USD).

• Long-Term Travel (more than 7 days): 500-1000 RMB (about $75-150 USD), combined with ATM withdrawals for replenishment.

• Cash Denomination Distribution:

• Primarily Small Bills: 1 RMB, 5 RMB, 10 RMB notes (for bus rides and purchasing small items).
• 50 RMB, 100 RMB Notes: For paying taxi fares or emergencies.

4. Cash Exchange and Withdrawal Guide

• Exchange Channels:
• Before Departure: Exchange a small amount of RMB at your local bank (it’s recommended to make an advance reservation).

• After Arrival: Airport exchange points (lower exchange rates, only for emergency exchanges), bank counters (passport required), hotels (some support but offer poorer exchange rates).

• ATM Withdrawals:

• Support for International Cards: ATMs from major banks such as Bank of China, Industrial and Commercial Bank of China (ICBC), and Construction Bank of China (CCB) support Visa/Mastercard withdrawals.
• Fees: Typically charge 1-3% cross-border fees (specifics depend on the issuing bank).

5. Mobile Payment Activation Guide

• Binding International Credit Card to WeChat Pay/Alipay:
• Download the WeChat or Alipay app and register an account.
• Enter the "Wallet" function, choose "Add Bank Card," and bind Visa/Mastercard international credit cards (some small purchases may be restricted).

• Use the "TourCard" virtual card (a mini-program within Alipay) to recharge RMB, suitable for large purchases.

• Precautions:

• Some merchants may only support QR code payments linked to domestic Chinese bank accounts, so it’s advisable to prepare cash as a backup.
• Activate "International Roaming" service to ensure smooth network access.

6. Other Practical Suggestions

• Cash Storage: Store separately in your handbag, luggage, or hotel safe, avoiding carrying large amounts of cash while traveling.
• Handling Damaged Bills: Some Chinese merchants may refuse to accept damaged or torn paper bills, so ensure your cash is clean and intact.
• Emergency Contact: If you run out of cash, contact the hotel front desk for assistance with exchanging or withdrawing money.