Dockwalliper Posted August 18, 2007 Report Share Posted August 18, 2007 We all know that the cent and nickel cost more to make and distribute than they are worth and that changes are overdue. The bottleneck has always been the congress. Too many lobbys, special interests and backroom deals to get things done. Everytime a bill come along to update our coinage it is sent to committee where it dies. Well, it looks like things are about to change. Two bills, one each in the house and senate(HR 3330,S 1986), were introduced just before congress went to recess. These bills would give the Treasury Secretary the power to change the composition of American coinage. Its called "Coinage Materials Modernization Act of 2007'." and seems to be on the fast track to the Presidents desk. I can see Canadian like plated steel coins in our future. Plus I predict that the huge savings will be sited in future bills that will give the Treasury the power to eliminate the cent and maybe the one dollar bill. Link to comment Share on other sites More sharing options...
dustin43160 Posted August 18, 2007 Report Share Posted August 18, 2007 We all know that the cent and nickel cost more to make and distribute than they are worth and that changes are overdue.The bottleneck has always been the congress. Too many lobbys, special interests and backroom deals to get things done. Everytime a bill come along to update our coinage it is sent to committee where it dies. Well, it looks like things are about to change. Two bills, one each in the house and senate(HR 3330,S 1986), were introduced just before congress went to recess. These bills would give the Treasury Secretary the power to change the composition of American coinage. Its called "Coinage Materials Modernization Act of 2007'." and seems to be on the fast track to the Presidents desk. I can see Canadian like plated steel coins in our future. Plus I predict that the huge savings will be sited in future bills that will give the Treasury the power to eliminate the cent and maybe the one dollar bill. kewl!!! maybe american can make more money and pay off a little bit of debt we have to many things... Link to comment Share on other sites More sharing options...
roaddevil Posted August 18, 2007 Report Share Posted August 18, 2007 ahhh i like the canadian steels .... they always look new Link to comment Share on other sites More sharing options...
Scottishmoney Posted August 18, 2007 Report Share Posted August 18, 2007 The interests involved in a composition change will not be in favour of this, copper especially. It was all but eliminated from the cent in 1982, but nickels still have 75% copper. Furthermore going to plated steel ala Canada is really not going to be cost effective either in the long run. For one, die life goes down dramatically. Steel is a much firmer metal than zinc. This means new punching tools for making the flans, then die life will not be as long and they will wear out quicker resulting in higher expenses. Â It may work in Canada, and until very recently the RCM said they were still turning a profit on the cents, but they make far far less of them and often rely on much older coins in change than we are used to in the USA. The economic scale of having to churn out so many more increases overall costs and I do not believe that they can make the cent profitably again. For all it is worth, it really is more of a drain on the economy and only has 1/10th the purchasing power it did 40 years ago. When you think about it in that sense, the Dime is now what a cent was 40 years ago, and should be the smallest circulating coin. Even at that beyond individual candy pieces, there is not much you can buy for a dime. Link to comment Share on other sites More sharing options...
Dockwalliper Posted August 18, 2007 Author Report Share Posted August 18, 2007 Changes could be to more than just the cent and nickel. Â "The Treasury Department, which supports the bill, estimated that changing the composition of pennies and nickels will save the government over $100 million a year. By making similar changes to the half dollar, quarter and dime, the government can save as much as $400 million annually" Â http://www.numismaster.com/ta/numis/Articl...;ArticleId=2671 Link to comment Share on other sites More sharing options...
BigCanadianM Posted August 18, 2007 Report Share Posted August 18, 2007 How about they abandon useless coins, instead of force feeding them to the public? Link to comment Share on other sites More sharing options...
labmom Posted August 18, 2007 Report Share Posted August 18, 2007 How about they abandon useless coins, instead of force feeding them to the public? I'm not so sure they force feed coins to the public. I bet there are lobbiests with really loud voices that want the "useless" coins to stay, so they stay. That coupled with the general public's resistance to change is keeping these "useless" coins in circulation. Link to comment Share on other sites More sharing options...
dustin43160 Posted August 18, 2007 Report Share Posted August 18, 2007 i think we should keep change.. how would you guys like it whean you were a youngin and there was no change?? Link to comment Share on other sites More sharing options...
BigCanadianM Posted August 18, 2007 Report Share Posted August 18, 2007 Not being from the States, but judging from what people from the States have said on this forum about the Dollar coins, it seems they don't circulate, if they do the cashiers think their funny money. Perhaps their not force feeding, but a few billion dollars will have to go somewhere. Does anyone use halves in the States? Link to comment Share on other sites More sharing options...
Scottishmoney Posted August 18, 2007 Report Share Posted August 18, 2007 On a related note for our Canadian neighbours: Â Call for the Eliimination of the Cent Link to comment Share on other sites More sharing options...
dustin43160 Posted August 18, 2007 Report Share Posted August 18, 2007 well the dollors are going to be like the state quarters in the beginning. everyone one hoards them then as the years go by they circulate. Link to comment Share on other sites More sharing options...
BigCanadianM Posted August 18, 2007 Report Share Posted August 18, 2007 The only opposition to that is any major chain store that makes millions off extra cents... Link to comment Share on other sites More sharing options...
Scottishmoney Posted August 18, 2007 Report Share Posted August 18, 2007 Not being from the States, but judging from what people from the States have said on this forum about the Dollar coins, it seems they don't circulate, if they do the cashiers think their funny money.Perhaps their not force feeding, but a few billion dollars will have to go somewhere. Does anyone use halves in the States?   Let's explain it very simply, all money that is issued but not used is nothing but pure profit for the government. Plain and simple. All those millions upon millions of dollar coins lying around unused are profit for the government. How else can you take something with 3¢ worth of metal and call it $1 but coin a dollar coin. I do not remember lots of howling when the $1, and later on the $2 bills were replaced with coins in Canada. I remember a few years ago spending a $2 and it getting the look over because they hadn't seen them in a couple of years, they all went out with the Twoonie. That said I really don't like the Loonies or Twoonies for no other reason than I cannot use them at home. Anything else, 25¢ or $5 bill I can spend or exchange here. Link to comment Share on other sites More sharing options...
roaddevil Posted August 18, 2007 Report Share Posted August 18, 2007 easy beasy make the make the one cent a ten cent (thus a copper zinc dime ) then nickel material a 25 cent an the 25 cents material a 50 cents and the 50 cents material a dollar an remove the nickel an 1 cent Link to comment Share on other sites More sharing options...
Scottishmoney Posted August 18, 2007 Report Share Posted August 18, 2007 I will add though, my ankle biters love the loonies and twoonies, since they end up with all of them. But now we haven't been to Canada in a couple of years(a hassle with too many citizenships in one family) Link to comment Share on other sites More sharing options...
BigCanadianM Posted August 18, 2007 Report Share Posted August 18, 2007 True. The Pres. Dollars should have alot of support from the education community too, maybe this is the end of Dollar bills? Â You should try using 50 cent pieces at Esso... Â (Twonies are a godsend) Link to comment Share on other sites More sharing options...
dustin43160 Posted August 18, 2007 Report Share Posted August 18, 2007 i think if it costs more to make something dont make it. but dont take it out of circulation just let it roll around and it will disapear slowly and maybe make the nickle a little thinner. the mint isnt gong to stop making the pennie because they can get alot more money out of it in proof sets. Link to comment Share on other sites More sharing options...
crystalk64 Posted August 18, 2007 Report Share Posted August 18, 2007 I won't buy into the educational system benefiting as our schools only concentrate on a handful of past Presidents and the others might get a mention as they go down the order. Sorry thats just the way it is and was. The dollar coin does not circulate here because our BANKS DON'T want the coinage. Coins are heavy, they must be counted, rolled and stored, which takes space, compared to notes. Shipping costs are also something banks take int serious consideration! To the banking system coins have LABOR COSTS written all over them. The half dollar is an even bigger joke as there is basically NOTHING they will work in, even if you do get them. The quarter, nickel and dime are the work horses at this particular time in U.S. history and I see nothing changing that in the near future. Link to comment Share on other sites More sharing options...
just carl Posted August 21, 2007 Report Share Posted August 21, 2007 "The Treasury Department, which supports the bill, estimated that changing the composition of pennies and nickels will save the government over $100 million a year. By making similar changes to the half dollar, quarter and dime, the government can save as much as $400 million annually" Â Oh so many actually believe the government is or ever has attempted to save money. Your kidding yourself if you thihk any change in our currency or coinage would save money. They could change it to plastic made from old pop bottles and it would still end up at a loss. The money just vanishes as fast as possible. If's not really money, it's just tax stuff to them. Need more money, raise taxes. $100 million a year? So what? That wouldn't even start to pay for the brought in food while Congress is in session. $400 million annually? Enough for a presidential vacation on Air Force One probably. Why would anyone ever think our government is trying to save money on anything? If they could save a Trillion a day on something, they would just turn around and spend it on a better lawn for the White House or something. The government saving money? Why start now? Now here is something to think about. The metal for our coins is one thing, but who pays for the Mint building, water bills, electric bills, phone bills, gas bills for that building? Who pays for the upkeep of the building and grounds? Who pays for the transportation of the incoming supplies and the outgoing finished products? Who pays for the Mint workers salaries? Thier benifits such as insurances? Imagine if our coinage was outsourced to say India. All the above would come to a stop. Those buildings demolished, Mint workers layed off just like you or me. They would never let that happen. It happens to us every day but a government worker? Not a chance. OH, OH, there is a few people in black clothing outside my door. NO, NO I take it all back................................... Link to comment Share on other sites More sharing options...
roaddevil Posted August 21, 2007 Report Share Posted August 21, 2007 just carl why didnt you run for president ill vote for ya exactly the ppl pay for the coins with taxes .... why does the government care? what will they decrease the amount of taxes taken from the ppl if they make coins cheaper? nope....where will the other money go 2 ? paying for wars, air force one vacation (like just carl said ^_^, etc ...mostly stuff that wont benefit any1 except a small group of ppl Link to comment Share on other sites More sharing options...
Topher Posted August 21, 2007 Report Share Posted August 21, 2007 Don't eliminate the cent and nickel because they cost more to make than their face value, eliminate them because they are worthless. I get the greatest feeling when I can pay for my lunch with three coins, and not have to open my wallet. Link to comment Share on other sites More sharing options...
TreasureGirl Posted August 21, 2007 Report Share Posted August 21, 2007 Hmm, I don't know what to think on this topic. Â If the bill says that the change will save $100 to $400 million, why doesn't it suggest where this money could go? Also, since I like to make everyone happy, here's an idea: Â Eliminate the cent and nickel, but keep minting them only for U.S. Mint specially ordered sets and rolls. Kind of like what's happened to the Sac and Kennedy dollar, except their numbers are much to big for this purpose only. We'll generally keep the already minted cents and nickels in circulation until we, like Jamaica suffer from such horrible inflation that it costs $1200 to buy a T-Shirt and pennies and nickels, and really anything under $1, really are worthless. Â I'm sure there's a million things wrong with this idea, but it just popped into my head. Doesn't have to be plausible. Â OR, and I like this idea better: recall all the non-precious coinage and start minting in silver and gold again! No more inflation! (Again, a billion things wrong with this idea, but hey, who can resist the idea of carrying gold and silver in your pocket every day?) Â EDIT: Methinks I'll start hoarding the pre-1982 cents for my grandchildren the way I wish my grandparents had hoarded silver coinage for me... Link to comment Share on other sites More sharing options...
Dockwalliper Posted August 21, 2007 Author Report Share Posted August 21, 2007 The economic scale of having to churn out so many more increases overall costs  Higher volume reduces costs. Link to comment Share on other sites More sharing options...
TreasureGirl Posted August 27, 2007 Report Share Posted August 27, 2007 Bump: Any updates? Where should I look to keep up on this story? Link to comment Share on other sites More sharing options...
Scottishmoney Posted August 27, 2007 Report Share Posted August 27, 2007 Looks like copper plated steel cents are in the works according to the legislation giving the Treasury Dept say over coinage, and in fact the nickel through 1/2 dollar might also become steel. Link to comment Share on other sites More sharing options...
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