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 Replies: 514 / Views: 78,791 |
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Valued Member
Canada
99 Posts |
In British Columbia they charge tax on all NCLT coins regardless of the medal except the 20for20 and 100for100 their the only tax free coins. so that must mean the government considers them legal nontaxable tender? At least in B.C.
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Rest in Peace
Canada
1360 Posts |
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Pillar of the Community
Canada
815 Posts |
The bottom line is, and this is not open for debate, is that the face value on these coins is of no real consequence unless being traded in at a mint boutique. Banks CAN elect to take them, but they generally won't, as they are beholden to the policies of their distribution centers. If they do choose to take them back, they actually get a kickback from the mint. The mint rep I had a long conversation with would not disclose the actual percentage, but he commented that the banks typically find the deal amicable. So in summation, no mint product has a real face value, except as a trade credit value at a mint branch. |
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Pillar of the Community
Canada
5324 Posts |
If you take these 20 for 20 coins to the bank branch that you do your business with they will deposit into your account with some encouragement, as mentioned there is a RCM policy in place to redeem, but it's extra work that no branch would do for a non regular customer. I have deposited the reindeer coins into TD Canada trust, once they know the policy involved |
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Pillar of the Community
Canada
815 Posts |
John100, that is not correct. The bank CAN elect to exchange/deposit them, but NOTHING will force them. You could be a 40 year customer, with three mortgages, 2 car loans, etc, etc, and have the mint rep on the phone ready to talk to the bank teller/manager, and they can still (and usually will) deny you. Banks like reliable processes, and processing a pile of odd shaped coins, all of which have counterfeits in circulation, is not a reliable process.
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Valued Member
Canada
99 Posts |
Are you saying that there's a counterfeit of every 20for20 coin? News to me
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Pillar of the Community
Canada
5324 Posts |
I never said a bank is forced to redeem these 20 for 20 coins, but as you agree there is a policy in place to redeem. It's extra work for the bank so it is logical that only your own branch would accept these coin for deposit, all I can say is I have deposited the reindeers into an account and other members have done so at different banks. For what it's worth, the coins were sent along with the old and torn currency to BOC according to TD branch personal.
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Valued Member
Canada
99 Posts |
They are LEGAL tender and have a 20 dollar face value! Saying that there only worth melt is a very misleading statement .
Edited by jawamin
02/11/2014 9:56 pm
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Pillar of the Community
Canada
2124 Posts |
1) They are legal tender 2) I doubt the Banks are aware of the counterfeit problem in numismatics. 3) If happen that the coin is a counterfeit, I'm sure RCM will pay the Bank anyway. Edited by arianzo
02/11/2014 11:46 pm
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Pillar of the Community
Canada
815 Posts |
The only guarenteed intrinsic value they have is melt value. What is misleading is the people on here are contributing to the mints irresponsible marketing of these coins as a de facto currency exchange. Please stop.
As I said, the mints process is there to ENCOURAGE, PROMOTE, and REWARD acceptance of NCLT, but it is not a POLICY or a LAW. Only a POLICY or a LAW will override the statement that matters most on that page, if you care to read it again, that states that NCLT is accepted at the DISCRETION of financial institutions or businesses.
Again, I would appreciate if forum members cease spreading false information, as it is dangerous for the unsuspecting newcomer to accept what is essentially consumer confirmation bias.
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Pillar of the Community
Canada
2124 Posts |
You are NOT the judge to determine if all of us spread false information, as you are NOT the owner of the true. Period.
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Pillar of the Community
United States
2408 Posts |
As the Mint Stated: http://www.mint.ca/store/mint/custo...-1100010#Q1a"All coins manufactured by the Mint are legal tender. However, unlike Canadian circulation coins, collector coins are non-circulating legal tender (NCLT). As such, these coins are not intended for daily commercial transactions and accepting them as payment or for redemption is at the discretion of businesses and financial institutions. It would certainly be interesting to see what the courts would say about that. In my opinion, non-circulating LEGAL TENDER means LEGAL TENDER... I don't think anyone can argue about that. So now the real question is what does Legal Tender really mean? Does that imply an obligation for a business or financial institution to accept? |
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CCF Master Historian of USA Commemoratives
 United States
12279 Posts |
Quote:
So now the real question is what does Legal Tender really mean? Does that imply an obligation for a business or financial institution to accept? My understanding of "Legal Tender" status is that it means the coin/note is a legal/valid form of payment for goods/services/other debts in the eyes of the Government. However, such Government backing does not imply/require that a given merchant must accept it. Individuals/Businesses have the right to limit their acceptance of any type of legal tender to that which makes sense for their business. For example, businesses are within their rights to refuse large bills as payment on small purchases. Collecting history one coin or medal at a time! (c) commems. All rights reserved.
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Pillar of the Community
United States
2408 Posts |
@commens - I believe merchants can also refuse if you want to pay with large amounts of coins.
That's fine for Individuals/Businesses. I think everyone will agree on that. You can't force private businesses to accept one form of payment over another.
But what about Banks, or the Government?
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Pillar of the Community
Canada
815 Posts |
Arianzo, I most definitely am, since I can read in plain english the disclaimer on the mints website, and I have talked to bank managers, mint reps, and other stakeholders. I am 100% sure, willing to bet everything I own on it, that NO bank HAS to take these coins as things stand currently. If you do not have that degree of conviction in your argument, I would posit that you have no argument.
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Replies: 514 / Views: 78,791 |
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Posted 02/11/2014 12:09 am
