So What Happens When They Discontinue Pennies?

[Recyclersteve]

I'm curious what everyone here is planning on doing when TPTB announce they will be discontinuing the minting of pennies in the U.S.

There are some of us, I'm quite sure, who have many boxes of pennies sitting around that we haven't gone through yet. If it is announced that we will have a deadline of, say, one year to turn in our pennies before they are phased out, would that put a sense of urgency in people on this site to go through them to weed out all the zincs?

Conversely, I imagine there are some on this site who don't have any pennies whatsoever that they haven't already gone through. Will they be going to banks with a forklift to try and scoop up every last box they can before the banks can't give them out anymore?

Also, I'm sure there are previously active people who only look at this site a few times a year. I can imagine someone not finding out about the theoretical 12 month deadline until there are just a few months to go.

How did they handle it in Canada after they made the final Farewell Cent in 2012? If you went into a bank in Canada now with a few boxes of pennies and tried to turn them it, would the bank accept them? Apparently Wikipedia says they are still legal tender.

I wonder if there would be a big surge in activity with Coinstar machines as well. I anticipate that we, like Canada, would round purchases up/down to the nearest nickel.

I suspect there would be an uptick to the level of activity on this site as the elimination of the penny would bring us one step closer to being able to FINALLY melt pennies. And that would likely mean it would be much easier to sell obsolete pennies to collectors and speculators in the fairly near future.

Here are a totally random couple of items- it is interesting that Great Britain actually made a 1/2 penny till the mid-1960's and a penny that is the same size as our half dollar until 1967. Even though the British pound is worth more than the dollar, it still seems like a big waste of resources to have done this.

I wonder what Adam Youngs will do the moment he hears the news about our pennies being phased out- celebrate or be upset?

I predict it will make the national news when it happens. The skeptical part of my personality makes me thing this could be one of those stories that comes out to bury another much more serious story/scandal.

I am absolutely shocked that here we are SEVEN FULL YEARS after the last penny was made in Canada and we are still making pennies. What does everyone else think about they will handle this significant event when it is announced?

[TXSTARFIRE]

I dont think the US has ever made something not spendable. I think that even fractional currency can still be spent. My guess is that the cent would go away gradually. When the cent is not available the stores would round to the nearst 5 cents on cash transactions. For electronic or credit payments I would guess it would still go to the cent. Payment by check could still go to the cent as well.

[68Camaro]

We're going through a de facto discontinuation right now. I have to actually force a significant number of clerks to give me cents in change. (Most clerks can barely make fracfional change period much less care about cents. I've seen people decline change and walk away without it. I've seen plenty of people just walk by change on the ground without picking it up. I think eventually the Treasury will just start reducing mintages like they did for halves until cents become a NIFC item only for collectors. At that point they might stop circulating and might lift the melt ban.

[thecrazyone]

I'd like to get at least .02 each for my copper ones!

[coppernickel]

People are avoiding cash in most forms, and the penny is the poster child for government waste.

There is little demand at the far end of the distribution chain. The figure which stands out to me is the high demand on the mint. They are still minting billions of cents this year. Where are they going?

Lots of ideas. The value of the copper cent fundamentals remains valid. Still holding what I have been able to glean from circulation.

I think the penny is more likely to die in a whimper than media frenzy. The USD on the other hand, I'm afraid that is going to die in the coming wave of depression with a bit more wailing and gnashing.

[wagsthadog]

Hi all!

Im getting back into sorting pennies after a many year hiatus, so I had to weigh in on this question-

Good responses by all- here are my musings:
1- I think that *when* the US cent is finally retired, it will be part of a larger currency overhaul program (I.e. some change in treasury policy, retiring of the One Dollar note, etc) because shoehorning penny elimination into some larger bill will probably be the only way anyone in Washington will devote more than a second's interest in the matter. So, echoing coppernickel's post, I think it may get buried in larger, more newsy headlines.

2- I honestly dont know if and when the melt ban will automatically be lifted upon elimination of the penny, but for us hoarders it may be more profitable immediately after the cent is eliminated to merely sell the cents outright, as there will almost certainly be a brief, intense rush of interest as laypeople seek to get a bit of nostalgia before the cents become unavailable. I think I remember hearing one Canadian fellow mentioning that cents were selling for 4x face for a few months after they eliminated their cent. Hearsay, but I can believe it.

3- I am getting back into cents as best I can because the way headlines move so fast and the (by Washington standards) rapid issuance of economic policies that Trump is firing off, I wouldnt be surprised if something was in fact coming around the pike that eliminated the cent. I dont want to sink 10 grand into copper cents but Ive been sorting thru a few hundred face a month just from now on...

Fwiw- cheers!
Wags

[highroller4321]

I dont think the US has ever made something not spendable. I think that even fractional currency can still be spent. My guess is that the cent would go away gradually. When the cent is not available the stores would round to the nearst 5 cents on cash transactions. For electronic or credit payments I would guess it would still go to the cent. Payment by check could still go to the cent as well.

This is exactly what will happen. As 68camaro said they are either going to lower the mintages or simply just stop making them. At some point in time I would think they would also stop letting more go back into circulation but we are a long ways from that right now.

[TheJonasCollegeFund]

Wags....what bank (banks) will you use for your supply? Lots of local branches are closing left and right in Northwest Indiana. Chase has closed the most. Chase used to be my major supplier. 5/3rd started charging fees and being very rude. I got even by moving out of various 5/3rd accounts...even my mortgage.

Supply is my main issue if I start back up. The Ryedale can be heard whimpering in the garage!

[wagsthadog]

Hi there!

Typically I use BMO Harris...they dont give me too much grief as long as I order small and infrequently. Luckily theres scores of locations by my work and house so I can spread out the pickups without much ruckus.

Its actually more about the hunt than the actual copper sometimes lol.

Wags

[misteroman]

I've actually been sorting a little bit to help lighten up a coming 700mile move to the south(finally!!!) Tho not looking forward to move 5+ tons of coins lol.
I actually had a decent set up here back in the day with picking up boxes from a branch inside a supermarket( I could use a shopping cart( or buggy for some lol).
I then had a local bank where if you had a business acct, you could bag them and they would just deposit in your acct. I would just use a scancoin 303 and make even $50 bags.
Haven't gotten coins in years ( still have prob at least 100 boxes not even sorted yet. Saw a 2010 stamped even last week!) Not sure how or if i can even get boxes anymore. I did find a bank down there (BG KY) that has a free counter in lobby for customers so that wil be nice.
Now that we are selling the rest of our rentals I will have time to relax and enjoy life again and plan to get back to sorting!!
When I first read the initial post all I thought of was Adam. He alone is going to have more information on this subject than anyone here bar none. Hopefully he will be able to share if he's able to.
D

[everything]

The hobby of collecting pennies may see a resurgence. They did do a special edition of the proof penny this year with the W mintmark. I always hope that when they do something different like this that it's preceding an announcement for ending the penny. Maybe if they cheapened the metal content further of the penny that would hasten it's demise.
It is not difficult to round up or down, maybe more retailers will go this route.. I know, that if or when they do, it seems they are usually doing it in the customers favor.

Some out here have said that getting rid of the penny may lead people to think U.S. $ is worth less or something, I don't know about that, maybe if they can keep the melt value of the nickel under .05 and ramp up nickel production they can make it fly somehow.

But, it's not going anywhere anytime soon because that fraction is coded into so much software and even hardware. RCM got rid of the penny because it just made sense to do it, here we have to many lobbyists controlling government decisions.

[Recyclersteve]

When I first read the initial post all I thought of was Adam. He alone is going to have more information on this subject than anyone here bar none. Hopefully he will be able to share if he's able to.
D

Adam did post to this thread on 9/2/19.

[Recyclersteve]

A rather odd thought, but the whole rounding subject and public restrooms have something in common when you think about it...

The public is getting ready in their own way for the future. First they had the "Give a penny/Take a penny" trays near cash registers. Then that morphed into people occasionally putting nickels and dimes in as well. And some places round up or down or just say "don't worry about the pennies".

Think about what is happening to restrooms as well. People are adapting to the idea of unisex bathrooms. Previously, if a man went into a ladies room, people would look at him like it was about time to call 911. Now it isn't a big deal at all. I've been to a few places where people even encouraged me to use the ladies room.

So society is already adapting to a different future both in terms of pennies and in terms of public bathrooms.

It would be nice if our congressional representatives could take a hint and grow up for a change.

[shinnosuke]

This was an interesting thread with many good comments. Anyone have an update on the ultimate outcome of the lowly penny? Maybe we're waiting on the release of SDRs and/or a central bank digital currency.

[Silver4face]

People are avoiding cash in most forms, and the penny is the poster child for government waste.
I thought Biden was the poster child for government waste!
There is little demand at the far end of the distribution chain. The figure which stands out to me is the high demand on the mint. They are still minting billions of cents this year. Where are they going?

Lots of ideas. The value of the copper cent fundamentals remains valid. Still holding what I have been able to glean from circulation.

I think the penny is more likely to die in a whimper than media frenzy. The USD on the other hand, I'm afraid that is going to die in the coming wave of depression with a bit more wailing and gnashing.

[Silver4face]

Oops I did that wrong! It was suppose to read "I thought Biden was the poster child for government waste!" AFTER coppernickels post, not mixed in the middle.

[Silver4face]

On a more serious note, this is an excellent thread - one that has more relevance now than it did when first started. The discontinuation is more of a threat now than ever before. My advice is to buy rolls NOW even if you don't have time now to open them. You will eventually have time. Once they disappear, that's it! You can't go backwards in time to buy/sort etc. I have over 200 rolls, and that's NOT enough!!!

[willy13]

I am going to do some flexing so forgive me.

I have 197 boxes of mixed cents stored away for future sorting. All picked up between 2012 and 2015. They are weighed and show about 21% copper on average. Thats 9850 rolls!

[shinnosuke]

I am going to do some flexing so forgive me.

I have 197 boxes of mixed cents stored away for future sorting. All picked up between 2012 and 2015. They are weighed and show about 21% copper on average. Thats 9850 rolls!

197 boxes?!?! Daddy? Daddy, is that you?

[TXSTARFIRE]

I would get 3 more so you have a nice even number 200!

[Silver4face]

I agree with TXSTARFIRE, get three more boxes for an even 200, even if you have to go to more than three banks. Simply get empty penny boxes and fill them. 10,000 rolls would be an impressive hoard.

[willy13]

I tried to get back into the hoarding groove and my normal bank said they are only allowed 1 box each week per denomination for there own use. Before I could order what ever. Kinda weird, teller thought so also. So I may not be able to get any more boxes.

[willy13]

Silver4face, I think you might be right, I might have to only ask for small amounts. Tough times, lol.

[Cu Penny Hoarder]

I am going to do some flexing so forgive me.

I have 197 boxes of mixed cents stored away for future sorting. All picked up between 2012 and 2015. They are weighed and show about 21% copper on average. Thats 9850 rolls! :clap:

This is the way!

[Cu Penny Hoarder]

I tried to get back into the hoarding groove and my normal bank said they are only allowed 1 box each week per denomination for there own use. Before I could order what ever. Kinda weird, teller thought so also. So I may not be able to get any more boxes.

My credit union will still let me order me as many boxes as I want... as long as I pay a $7.00 fee per box.

For the past 6 months or so I've been focusing my efforts on nickels more than pennies. The zincs have diluted the coppers down to about 5-10% per box now. Sometimes my LCS guy has Cu pennies for me, but it's been slim pickings lately.