Negative interest, circulation incentive, demurrage, money holding costs – all these terms describe the same idea: holding onto money will (and should) have costs. The term ‘negative interest’ is popular but imprecise: for interest is actually due when one lends money. So long as deposits at the European or Swiss Central Bank cost money, the term is appropriate: in that case a commercial bank lends the central bank money. In the case of cash, the term is not so apt because holding cash is not the same as lending cash. With cash, the idea of a charge to encourage circulation is better. “Demurrage” is also a term used in shipping: demurrage is the charge paid for keeping goods in storage, which a shipper needs to pay as long as a ship is in harbor and takes up room that other ships could be using. This principle is meant to transfer the money holding costs onto the money itself: the currency should circulate in the economy and there should be a price for taking it out of circulation.