Five-Cent and One-Cent Coin Federal Regulations

[Copper Catcher]

Prohibition on the Exportation, Melting, or Treatment of 5-Cent and One-Cent Coins

http://www.federalregister.gov/articles ... cent-coins

[Rodebaugh]

"Two commenters suggested that existing 5-cent and one-cent coins be physically altered; one suggested punching holes in the center to decrease their melt value, and the other suggested encasing them in a ring of metal and increasing the denomination of the coins. Two commenters suggested the United States Mint begin producing a two-cent coin or a three-cent coin."

Where these commenters high on drugs?

[PennyPauper]

Very good read.
"this regulation's purpose is to protect the Nation's coinage by ensuring there are sufficient 5-cent and one-cent coins in circulation to meet the needs of the United States."

Six commenters stated that the public would hoard the coins and remove them from circulation. The United States Mint is aware that 5-cent and one-cent coins may be hoarded. However, the legislative history of 31 U.S.C. 5111(d) indicates that when Congress passed the Coinage Act of 1965, section 105 (the predecessor provision to 31 U.S.C. 5111(d)), it did not intend on prohibiting hoarding because of concerns that such prohibitions would be difficult to enforce and that citizens might unknowingly violate the regulations. The United States Mint does not intend to prohibit the hoarding of 5-cent and one-cent coins but, consistent with the legislative intent of 31 U.S.C. 5111(d), has implemented these prohibitions on exportation, melting, and treatment to reduce the incentive to hoard these coins.

Hoard On!

And war nickels are exempt.

(d) The prohibition contained in § 82.1 against the exportation, melting, or treatment of 5-cent coins shall not apply to 5-cent coins inscribed with the years 1942, 1943, 1944, or 1945 that are composed of an alloy comprising copper, silver and manganese.

[68Camaro]

Interesting footnote on the war nickels; thanks for pointing that out!

[68Camaro]

Also from this, to confirm their intent, it should be temporary:

"It is anticipated that this regulation will be a temporary measure that will be rescinded once actions are taken, or conditions change, to abate concerns that sufficient quantities of 5-cent and one-cent coins will remain in circulation to meet the needs of the United States."

Frankly, by now, there are enough zincs, and few enough coppers in circulation that it wouldn't do any harm to repeal this from pennies since most are zincs and it wouldn't have any overall affect on penny circulation. It's the nickel that's the main current issue.

[68Camaro]

It has probably been covered elsewere, but to put all into a single convenient thread, and to prevent duplicative research, what's the legality of melting 40% and higher precious metal coins (silver, gold, etc)? Legal or not?

[PennyPauper]

IMO it's ok to melt 40% and anything not a 5cent or 1 cent. not legal advice,consult your own legal professional

[Rodebaugh]

It has probably been covered elsewere, but to put all into a single convenient thread, and to prevent duplicative research, what's the legality of melting 40% and higher precious metal coins (silver, gold, etc)? Legal or not?

Yep....you can melt them. All and any silver or gold alloy US coins.

[tn-dave]

Frankly, by now, there are enough zincs, and few enough coppers in circulation that it wouldn't do any harm to repeal this from pennies since most are zincs and it wouldn't have any overall affect on penny circulation. It's the nickel that's the main current issue.

I sure agree with this. I don't think there would be any kind of penny shortage but it would be wild with every nickel currently in circulation available for metling.

[STINGER]

Are these laws written where penny ban and nickel ban can be lifted separate? If not nickels are far from being covered with junk so will we be waiting on all nickels to be hoarded and replaced and the ban is lifted on both?

[VWBEAMER]

I just want to know when the Mint got the power to make law. I'm pretty sure only the congress can make laws.

EDIT: Never mind, see that they have the power to prohibit melting or exportation.

Still, i got to think these things are going to start melting if the metal value get too much higher, law or no law.

[highroller4321]

Are these laws written where penny ban and nickel ban can be lifted separate? If not nickels are far from being covered with junk so will we be waiting on all nickels to be hoarded and replaced and the ban is lifted on both?

The way the law is written there is no seperation. In order to release just one of the denominations they would have to amend the bill.

[VWBEAMER]

I asked this in the silver forum, but I'm guessing the ban also covers silver nickels.

[JadeDragon]

I asked this in the silver forum, but I'm guessing the ban also covers silver nickels.

No there is an exception to the ban for silver nickels. Read the linked info.

[NashuaSolstice]

how soon do you all think the melting bans will be lifted if at all?

[wiper]

you tell me when the penny/nickel is discontinued and/or has they composition changed, and i'll tell you when the melting ban will be lifted.

[HPMBTT]

I asked this in the silver forum, but I'm guessing the ban also covers silver nickels.

No there is an exception to the ban for silver nickels. Read the linked info.

Yes, Jade is correct. There is an exception for the war nickels (35% Silver).

[eric273]

If only that ban would be lifted

[aaa30040]

Are there any restrictions for a US citizen, located in the US, melting Canadian coins?

Are there export restrictions on Canadians shipping coins to the US?

[CoinHuntingObsession]

Where these commenters high on drugs?

probably were, or born missing their frontal lobe.

[pennymanofmoney]

Interesting. This law will fail though when copper and nickel get so expensive as it would be worthwhile to melt them, even it means evading the law.

[Cu Penny Hoarder]

Of course you can melt them...






Just don't get caught

[transistor]

Really though, how could you get caught if you melted it yourself? Once it's melted, is there any way the feds could prove it was once pennies?

[Engineer]

Really though, how could you get caught if you melted it yourself? Once it's melted, is there any way the feds could prove it was once pennies?

Yes.

[Prince By-Tor]

Are there any restrictions for a US citizen, located in the US, melting Canadian coins?

Are there export restrictions on Canadians shipping coins to the US?

Im not sure but im asuming that it is still illegal for usa to melt canada coins
The laws in us and canada are the same for coins