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 Replies: 514 / Views: 78,827 |
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Pillar of the Community
Canada
6768 Posts |
Quote:
hat's interesting MoneyPenney. What does a bank do with coins that are exchanged for cash? This is what all the topic about....check it all and you'll see  MoneyPenney right No Kijiji or ebay worth for this coins....1-st, 2-nd maybe Directly to the bank for face value. Edited by Silveroid
07/16/2015 7:39 pm
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New Member
Canada
20 Posts |
The part about buying coins just so you can be in the Masters Club was what I thought was interesting. I read through all 14 pages and didn't see any mention of what happens to the coins after the bank takes them.
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Pillar of the Community
Canada
2845 Posts |
Thank you for your honest reply Silveroid regarding the Master's Club. Pardon my saying so but if RCM was a publicly owned company, I doubt it would knowingly allow their Loyalty Programs to be so easily circumvented but whatever..... But I'm also curious what happens to NCLT coins once they're redeemed by bank branches. So I'll just take a wild guess. Considering RCM is a Crown Corporation and Cdn banks are Publicly Owned Financial Corporations simply licensed to hold and distribute currency on behalf of the Bank of Canada, then banks probably also have an agreement to redeem NCLT and eventually the coins are returned to RCM. RCM then deducts the redemption from their balance sheet because there'd be a serious accounting flaw if they only counted sales but not what was "cashed in". However after that it's highly possible RCM might resell outdated coins to dealers or by auction at a discount rather than melting them down because that way they can recoup at least some of the loss created by the original manufacturing/selling costs incurred by the redeemed coin. (Aside from the NCLT that some branches apparently resell to per-chance customers (technically "under the table") since selling it across the counter is less hassle to them compared to shipping it out.) Just my opinion...... |
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Pillar of the Community
Canada
6768 Posts |
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The part about buying coins just so you can be in the Masters Club was what I thought was interesting. I read through all 14 pages and didn't see any mention of what happens to the coins after the bank takes them. Sorry, my misstake. I meant, that the thread, and probably some similar threads prooves the fact that they are really NCLTs (can't be spent as circulated, but banks will accept them as legal tender), despite they initially were advertised as: "Exchange your $20 bill from a pocket to $20 silver coin", giving illusive assumption, that they will be acceptable by majority of business as payment. So the answer, what will happen to them: the bank return them to the mint, where they will be melted as any other returned back mint's item. But I not sure, that updated final mintage will be published ever. |
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Pillar of the Community
Canada
2845 Posts |
Considering even lowly toonies are known to have been counterfeited, can you imagine the sheer delight of the fraudsters if virtually unknown $20, $50, $100 or $200 coins -- some of which look like they came from Cracker Jack boxes or Rice Crispie Cereal -- were deemed to be "legal tender" in the marketplace?
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Pillar of the Community
Canada
5324 Posts |
One would hope the RCM will melt down returned coins, as for counterfeit issue, the RCM never has taken it seriously, but it's no different than a counterfeit 20 or 100 dollar bill except the Bank of Canada are on the ball and ask the RCMP and other government agency to act unlike the useless RCM. |
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Pillar of the Community
Canada
2845 Posts |
Yes I agree with what you say John, I'd hope they would melt it down too....but considering they are a For-Profit Crown Corp I somehow suspect it might end up being resold as melting coin that's sold at par, then redeemed at par is not cost effective nor does it enhance their bottom line.
The difference from counterfeit dollar bills is they are very common currency that cashiers handle and become familiar with on a daily basis, plus polymer bills are very difficult to counterfeit --- contrasting that to X for X's whereby the mintage is so minuscule that even bank tellers are not familiar with them (according to this thread). If the X for X's had been deemed to be "legal tender" it's not hard to imagine an aggressive fraudster passing counterfeits off to some young and innocent store clerk who wouldn't have a clue what an authentic one even looked like. It's the merchant who ends up writing off the actual loss, who may or may not deduct it from an employees wages -- even when the RCMP become invoked seldom is there any reimbursement.
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Pillar of the Community
Canada
2984 Posts |
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I doubt it would knowingly allow their Loyalty Programs to be so easily circumvented but whatever.....
The Master Club is based on the total dollar amount of coins you buy from the RCM. They do not distinguish between the $20/$20, $25/$25, $50/$50, $100/$100, $200/$200 and the rest of the coins they sell. Its easy to reach MC status just by buying these coins. Buy 4 of the $200/$200 and 2 of the $100/$100 and you get MC membership. |
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Pillar of the Community
Canada
2845 Posts |
Quote:The Master Club is based on the total dollar amount of coins you buy from the RCM. They do not distinguish between the $20/$20, $25/$25, $50/$50, $100/$100, $200/$200 and the rest of the coins they sell. Its easy to reach MC status just by buying these coins. Buy 4 of the $200/$200 and 2 of the $100/$100 and you get MC membership. I have to admit this has been an eye opener for me. It must be my age......in my opinion this lazy way of generating sales from folks who are lured by an easy way to belong to a Loyalty Club ultimately reflects very poorly on RCM. |
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Valued Member
Canada
234 Posts |
Went to the bank down the street from me today to cash in a few x for x coins. At first they gave me a bit of a hard time since it was their first time receiving these kinds of coins but without too much trouble I was able to get my money back for them. The manager was pretty nice afterwards and told me if I ever needed to bring any more in I shouldn't have any problems. Quote:I have to admit this has been an eye opener for me. It must be my age......in my opinion this lazy way of generating sales from folks who are lured by an easy way to belong to a Loyalty Club ultimately reflects very poorly on RCM. I do agree that a loyalty program like this should be more difficult to attain. I admit I obtained my MC status from the past two years by strictly buying X for X, circulation coin packs, and one of the superman gold coins. Although, with the exception of the coins I redeemed today (which was the mints fault since it was supposed to be a cancelled order) I had every intention of keeping the coins I purchased or giving them to friends/family as gifts or using them for trade. After seeing the redemption process at the bank, it would be very easy to abuse the process, buy $1000+ of X of X, bring it back to the bank, get your money back and essentially "free" MC status. The mint does get penalized for it since the financial institution ships the coins back to the mint FEDEX at the RCM's expense, then reimburses the bank the face value of the coin +2%. In the case of the $200 for $200 coin I traded in, the RCM has to pay my bank $204 for the coin plus the cost of shipping (plus they already covered the cost of shipping to get it to me in the first place). In the grand scheme of things I know the financial hit to the RCM is extremely small, however it still can't be in their best interests. Could be part of the reason why the MC was changed this year, with the limits placed on online orders for X for X I do not think it is possible to attain the $5000 or $10K levels by strictly buying these coins. |
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Rest in Peace
Canada
1360 Posts |
SolarPenny said: Quote:In the grand scheme of things I know the financial hit to the RCM is extremely small, Not to worry to much about the Mint's 'financial hit'. The Mint hits us pretty darn hard selling us 1 ounce Silver $20 coins for over $100 sometimes close to $150. With silver on a downward trend, likely to hit it's historical low, the Mint ain't hurtin' much. Edited by Dcadon
07/24/2015 1:51 pm
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New Member
Canada
6 Posts |
I deposited almost all my coins in face value of $20, $25, $50, $100, $200 to CIBC Bank 2 days ago. I have to open an account there in order to deposit those coins. They took all square boxes and plastic round coin boxes, but they didn't take the square paper. They will ship those coins (10 bags) back to MINT. They gave me a receipt which said the total amount is $7295. I have to wait for 1 month until MINT confirm those coins. They don't know how much money MINT will give them back. They said how much money they get, how much money will be deposit to my account. CIBC is also selling part of MINT's coins online. https://www.preciousmetals.cibc.com.../Collectors/Edited by qinzhi
07/25/2015 11:55 am
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Pillar of the Community
Canada
6768 Posts |
This sounds like joke, sorry. I do understand about confirmation from Mint, cause it big money. But what does it mean "they will deposit amount, that mint will give them"? You have to get face value, doesn't metter how will they get from RCM. Cause the way like it sounds, all the expences will be on you. Why not just your bank and branch? Edited by Silveroid
07/25/2015 11:56 am
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New Member
Canada
6 Posts |
I tried to deposit to my bank -- Buduchnist credit union. They said they are not bank. They don't accept it. They suggested me to deposit it to CIBC, because they saw CIBC is selling those coins. I'm also worry about the RCM may deduct the shipping fee from those coins. I'll post how much I get and post here. Edited by qinzhi
07/25/2015 12:42 pm
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Pillar of the Community
Canada
6768 Posts |
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I'll post how much I get and post here. yeah...have a good luck and keep us posted... |
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Replies: 514 / Views: 78,827 |
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Posted 07/16/2015 7:38 pm
