Is It Better To Cash in Chips or Return with Them To Play?

I play table games at my local casino and go about once a week. Here is something I have wondered about for a while. Does it make a difference if I cash in my chips before leaving the casino, then buy in for cash the next time I play, or just keep the chips and buy in with them next time I play? I usually buy in for $500 and cash in when I leave, but thinking about cashing in only the winnings and keep the $500 chip for next time. Of course, I couldn't spend the $500 chip anywhere else, but I keep my gambling money separate. I have to wonder, does the casino look at cash as new money and chips as won money or do they look at both the same? Does it make a difference as far as rating or card points?

[Editor's Note: This answer comes from our guy behind the curtain, Andrew Uyal, author of The Blackjack insiders.]

This is a good question that has a couple of ways to answer it, technically and perceptually. Of course, we’ll get into both.

For the purposes of ratings and reward credits, it matters not whether you buy in cash or chips. The rating system simply reads the “In” and the “Out.” The variables that affect your points are the average bet, time of play, and game type, which we’ve gotten into in other QoDs.

Where it does make a difference is on the casino’s MTL (Multiple Transaction Log) and CTR (Currency Transaction Report). I’ll put on my casino hat for just a moment to explain that both of these are logs (and reports) of cash transactions the casino runs every day. The keyword here is cash. Now, due to certain regulations, I can’t say exactly what the threshold is that gets you onto these reports, but that information is readily available from people who are in less precarious positions than mine. I can tell you that if staying off daily reports is important to you, then keeping a stash of high-denomination chips on you is a good idea.

Perception is reality. This is one of my favorite sayings. Let’s talk about perception.

A floor supervisor’s perception is important. He or she decides how you’re rated and determines how much attention is paid to you. The latter is quite important if you’re playing with an edge.

With that in mind, the vast majority of buy-in transactions are cash. I’d go out on a limb and say 85%-90% of transactions are cash buy-ins. Why is this important? Because if someone comes to the table and buys in $1,000 cash, it’s just another buy-in. Everyone buys chips with cash. No big deal there.

But if you show up with $1,000 in chips, you’ve unintentionally triggered a few questions. The floor will instinctively wonder where the chips came from and when. They might even have to verify the play. If they do have to verify play and discover that you’re just moving tables from a few minutes ago, no problem. But if they see that you haven’t played for a few days or longer, it could raise some suspicion.

The main concern is whether the chip or chips are real. Secondarily, do the chips actually belong to the person using them? And if the gambler hasn't played in a while, why didn't he or she cash out? Trying to avoid cash in/out thresholds?

It's fairly common for people to hang onto chips, yes. But it’s far more common for people to cash out every time they leave a casino and use cash the next time, even if it’s the same day.

Moral of the story? Using chips to buy in is convenient and can save you from cash transaction logs. However, if you’re buying in $500 denomination chips or higher, especially more than one such chip, it will almost certainly trigger the “Where did those come from?” thought process.

This information will mean different things to different types of players. Green-chip gamblers who play a few times a year will have a different takeaway than green chip APs grinding out 25 hours a week. Which type of player are you?

Is it better to cash in your chips on the way out and buy in with cash the next time? Or take the chips with and just use them next time?

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Doug Bergman Feb-29-2020

As a former casino employee

I can tell you without professional liability that the ctr threshold is $10,000.
So can wikipedia. https://en.m.wikipedia.org/wiki/Currency_transaction_report?wprov=sfla1

rokgpsman Feb-29-2020

Keep em or cash em

I prefer to cash the chips in when I am done for the session. Makes it simpler and safer to me, I don't have to keep up with the chips or take a chance on losing some of them, especially by bringing them back home between trips.Chips in your possession for weeks or months are just dead cash. Plus, now and then a casino will retire chips, like if the place gets bought out by another casino or there is a bankruptcy, etc. For an out of town visitor this makes it a hassle to redeem chips that are about to expire.

That Don Guy Feb-29-2020

IRS agrees on the CTR minimum

In fact, here's the form the casino has to fill out, and the instructions say that only transactions of $10,000 or more require it:

https://www.irs.gov/pub/irs-tege/fin103_ctrc.pdf

Straski Feb-29-2020

Didn't cash in one evening

A side note on cashing in. I was on the 22nd floor of a casino in the 1980's with $900 in chips in my room (a lot of money at that time). The fire alarm went off at 01:00 a.m. while I was sleeping. First thought someone was going to rob me of my chips. Wife and I had to go down 22 floors of stairs. There were huge women in moo moo's going down with us. Quite the sight. Some drunk had taken a lighter to the sprinkler in his room on the tenth floor. The hotel threw in a free night for the inconvenience.

O2bnVegas Feb-29-2020

ya never know

One wouldn't want to leave $500 in chips 'on the table' (like at home) should his 'time' come unexpectedly (which is how it usually comes).

CTR doesn't worry me.  I'm rarely withdrawing 10K+ at one time from my bank, and never (so far) cashing in (or buying in with) 10K+ in chips.  That's the bank's problem, or the casino's problem, to account for these activities, right?  What's the big deal about a CTR, if one is on the up and up?

[email protected] Feb-29-2020

$10K

Should also note that a series of cash transactions which in total exceed $10K also have to be reported.  This tripped up former speaker Hastert who took out a series of $9K cash withdrawals to make his illicit payments.  The whole thing is to catch money launderers.  Not just casinos, but banks, insurance companies, etc., i.e., any firm that deals in cash transactions have these reporting requirements.  Oddly enough (or maybe not so odd?) the one exception is real estate where cash transactions of virtually unlimited amounts don't have to be reported.  One reason why a lot of folks from the former Soviet Union, Asia, and the Middle East buy lots of condos, etc., on the east coast of the US using cash.

Roy Furukawa Feb-29-2020

Parlay Bets

If you bet sports and take live parlay bets home, make sure you don't bet it at a small casino. My friend won a $100 4-team parlay and he bet it at a tiny casino off-strip behind Bally's (Tuscany?) where he had to stay for a night for work. He cashed it his next trip a couple months later and because the payout was for over $1000, we were there for 45 minutes while they looked him up and down, had to bring out huge books of computer paper records fpr verification and the big boss had to come inspect him. It was hilarious and excruciating all at the same time.

rokgpsman Feb-29-2020

Roy

There is a small casino directly east behind Bally's called Ellis Island, then the next one east of it is Tuscany but Tuscany is larger.

ocliffgirl62 Feb-29-2020

Cash for Chips

A couple of years ago, my son brought home a number of chips and gave them to me for Christmas.  Next time I was in Vegas, I tried to cash them in at Harrah's and this created all sorts of problems.  I explained to them how I got them, but they were very reluctant at the window to give me the cash until some higher-up came out and quizzed me about how I got them.  I thought it was all very innocent, but they sure didn't!

Pat Higgins Mar-01-2020

Big Tex

I usually carry about $200 in chips around with me.  I am a craps player and don't like to buy in at the table in the middle of a roll.  With a few chips in my pocket, if I walk up to a table and a player is in the middle of a roll I can begin to play immediately without breaking up the rhythm of the game. Otherwise I have to wait until a break--examples the shooter has a 7 out, or he makes his point and the game some to a stand still while the pass / don't line are being paid. Just a courtesy to the players at the table.

Question of the Day - 29 February 2020

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