The Wall Street Journal had an article this morning about replacing $1 bills with $1 coins. The Government Accountability Office (ironic name) is recommending that the $1 bill be phased out in favor of longer lasting $1 coins.
A quote from the article:
Last year, the U.S. Treasury curtailed production of dollar coins after finding that more than 40% had been returned to the government unwanted. At the time, government vaults held 1.4 billion such coins–enough to meet demand for a decade.
My personal experience with the dollar coins was a reluctance by merchants to take them. It is not surprising that 40% were returned especially considering how many people were taking them directly back to the bank for deposit.
Would the US Mint restart their campaign to reintroduce dollar coins into circulation? Probably not, especially with free shipping. But for frequent fliers, a return to the $1 coin wouldn’t be a bad thing as we have a financial motivation to introduce coins into circulation.
If you wish, you can vote in the Wall Street Journal’s poll for Yes you are in favor or No you are not. Currently 60% of people are in favor of $1 coins in their poll.
$2 bills need to go into wide circulation, as should the $1 coin.
$1 coins are a dopey idea. Who wants to walk around with a bunch of coins jangling in your pockets or the bottom of your purse? If I have to carry bills anyway, why would I want $1 coins?
In the UK there isnt a 1 pound note only coins. And I hate it walking around with coins is a PITA. Here in the US most of my change sits at home because I can not be bothered to take it out with me. In the UK i feel obligated due to the fact that the coins are actually valuable denominations. I spose this is a good argument for the coins in higher denominations as people will feel obliged to use them instead of leaving them at home. However I still find it a pain and much prefer paper singles!
I think that they should also get rid of the $5 bill and introduce into broad circulation $1, $2 and $5 coins.
Whilst it’s sensible for coins to be proportionally sized, it’s really not necessary – in any event, the dime is tiny and the nickel seems wrong in comparison. Clearly the $1, $2 and $5 need to feel more important in the hand than the lower denomination coins.
I’ll use them providing there is enough size difference between them and the quarter. If they are going to be close in size to a quarter even a different color would help. If they made a two dollar coin like Canada’s Toonie. I would use that one too. I’m used to the loonie and toonie from traveling in Canada.
RIP, U.S. Mint deal… we miss you.
No one wants to carry coins. When will they ever learn?
My main problem with them is that there isn’t enough size difference between them and a quarter. I know the ration nickel to quarter is the same as quarter to dollar, but I’d be a lot happier if they were about the size of the $2 CDN coin.
Also, vending machines and parking meters that took them would help a lot but that’s a very big infrastructure cost.
Canada has switched to the $1 (Loonie) and $2 (Toonie) coins years ago and the Canadians have adopted them. Why did the Canadians adopt the coins? Because Canada mint removed all the $1 and $2 bill from circulation. When there is no choices, people will take what’s available. Why was the US $1 coin a failure? Because the US mint, obviously not as smart as Canada mint, did not remove the $1 bill from circulation. So, of course, when people have to choose between the light $1 dollar bill or the heavy $1 coin, guess what they choose? Next year, Canada mint is getting rid of the penny. Is Canada mint again smarter than the US mint? Hummm…
I don’t want to carry any coins at all in my pockets. Heck, I’d be happy without any bills either. Almost all businesses accept credit cards these days anyway.
I like the $1 coins, except when going through TSA. I bought some from the mint and used them for tips while traveling. It’s just crazy that the mint now wants to charge a premium for US currency. Now I have to make a trip to the bank to get them, and the teller has to make a special trip to the vault because they don’t keep any in the cash drawer.
It won’t work until they just stop production of the dollar bill. As long as there is an option, people will be stubborn and fight the dollar coin.