no more nickels

[opal]

http://skewnews.com/penny-and-nickel-coins-to-be-phased-out-in-2013/
[h=Penny and Nickel Coins to be Phased Out in 2013 ]1[/h] Categories: News
by Henry Wallen



Earlier this week Canada announced that they would be phasing out their penny coin. On the heels of the Canadian announcement, U.S. Treasury Secretary, Tim Giethner stated in a press conference today that the U.S. Mint will remove the penny and nickel coins from circulation, starting early in January 2013.
Due to the rising costs of zinc and production related expenses, the U.S. Mint now spends 4.8 cents to make a penny. And the cost of copper and nickel have inflated the cost to create a nickel coin to 16.2 cents.

Gone in 2013

In 2011, the U.S. mint made over 4.9 billion pennies, at a cost of $118 million to make. That is $236 million to produce only $49 million worth of pennies, a loss of $187 million in minting costs. Minting the nickel coin also represents a significant loss in revenue.
By comparison, the dime (which costs 9.2 cents to mint) and the quarter (21.31 cents) are economically more feasible, and will continue in circulation through 2013. However, according to Giethner, the dime may be in jeopardy as early as 2014.
Once the phase out of pennies and nickels begins, merchants must be equipped to round all transactions to the nearest ten-cent increment.
If something costs $1.53, for instance, it will be rounded down to $1.50, and a transaction for $1.55 or higher will be rounded up to $1.60. Credit card, debit and check payments would also be subject to the rounding rule. It is expected that the rounding will not result in higher costs for purchases or losses for merchants.
Pennies and nickels will continue to hold their inherent cash value, and they can be traded in at financial institutions. Banks will then return the coins to the mint for recycling into their base materials. By mid 2013 it is expected that the penny and nickel will both be mostly removed from the U.S. economy

[tod evans]

Maybe, just maybe, some of the population will notice that the dollar has been devalued...

Wishful thinking I fear.

[angelatc]

Is there a legitimate source for this?

[opal]

Is there a legitimate source for this?

that link isn't legit?

[specsaregood]

Pennies and nickels will continue to hold their inherent cash value, and they can be traded in at financial institutions. Banks will then return the coins to the mint for recycling into their base materials. By mid 2013 it is expected that the penny and nickel will both be mostly removed from the U.S. economy

So if I go to the bank with 5 pennies, they will round up and give me a dime in exchange?

[Arklatex]

If you ask your bank they can get you a $100 box of nickels. Might have to wait a week if it's a small bank. Probably isn't a bad idea as it's hard money.

[seraphson]

However, according to Giethner, the dime may be in jeopardy as early as 2014.

Me says the $100 Dollar Bill will be in jeopardy before 2020.

[tangent4ronpaul]

Once the phase out of pennies and nickels begins, merchants must be equipped to round all transactions to the nearest ten-cent increment.
If something costs $1.53, for instance, it will be rounded down to $1.50, and a transaction for $1.55 or higher will be rounded up to $1.60. Credit card, debit and check payments would also be subject to the rounding rule. It is expected that the rounding will not result in higher costs for purchases or losses for merchants.

ROTGLMAO!

More like: All prices will forever be between $x.x5 and $x.x9 in the future.

Pennies and nickels will continue to hold their inherent cash value, and they can be traded in at financial institutions. Banks will then return the coins to the mint for recycling into their base materials. By mid 2013 it is expected that the penny and nickel will both be mostly removed from the U.S. economy

This sounds like it's going to be a MAJOR CASH COW for the banks and the fed gvmt.

-t

[Zippyjuan]

This article is from March:
http://abcnews.go.com/blogs/headline...coin-farewell/

U.S. Penny to Be Kept as Canada Bids Coin Farewell

ABC News’ Jonathan Karl and Robin Gradison report:

These days a penny made is a penny wasted.

Thanks primarily to rising costs of zinc – the main material in a penny – the U.S. Mint now spends 2.4 cents to make a penny.

Just last year, the U.S. mint made 4.9 billion pennies. It doesn’t add up: That’s $118 million to make just $49 million worth of pennies.

No wonder Canadian government announced this week that they doing away with the Canadian penny.

But here in America, the penny doesn’t seem to be going anywhere.

It’s not that powerful people have tried to nix the penny.

Treasury Secretary Hank Paulson tried to eliminate it in 2008.

The current Treasury Secretary, Timothy Geithner told Congress earlier this week that something has to be done about the sky-rocketing costs of making U.S. coins. And it’s not just the penny: the lowly nickel costs 11.18 cents to make.

“Currently, the costs of making the penny and the nickel are more than twice the face value of each of those coins,” Geithner said in his remarks.

By comparison, the dime (which costs 5.65 cents to mint) and the quarter (11.14 cents) are relative bargains.

The U.S. Mint, at the request of Congress, will soon make recommendations on reducing the cost of making coins.

I cannot find any other sources to support the claim of the original post.

[CaptUSA]

I cannot find any other sources to support the claim of the original post.

Neither could I.

It may be a while before this happens, but it will happen. They've devalued the currency too much. I don't expect them to scrap them entirely, though. I expect them to make em cheaper. Steel perhaps. Here's an interesting article from earlier this year. http://www.lifeslittlemysteries.com/...th-1-cent.html