The present invention provides a system and method allowing customers to conduct a transaction at a fuel dispenser and obtain cash back in association with the transaction at the dispenser or a common terminal in the dispenser forecourt. The system may include a cash dispenser at the fuel dispenser, fueling position, or the central terminal, or, alternatively, a delivery system configured to deliver cash from a central location to the customer at the dispenser, fueling position, or central terminal. During a transaction for purchasing fuel or other products associated with the service station, a customer is provided an opportunity to select an amount of cash to be dispensed or delivered in association with that transaction. Providing a customer the opportunity to receive cash back in association with a dispenser transaction will attract more customers to the station because of convenience as well as provide customers with more disposable cash to spend at the associated quick-serve restaurants and convenience store.