| Author |
 Replies: 28 / Views: 3,999 |
|
Valued Member
United States
126 Posts |
There's a bill goin' around congress, that calls for pennies and nickels to be made of steel in the near future. I get the cost saving part, but I've got mixed feeling on this. I don't have much of a problem with the pennies, as they're only 2.5% copper now, and I really despise modern coinage for the most part. But nickels, they're NICKELS! What is everyone else's opinion on this?
|
|
|
|
Bedrock of the Community
Australia
21786 Posts |
I guess the nickels could very easily wind up being either copper nickel clad iron or steel, or nickel plated steel. You can still have your nickels, and still eat them if you want to!
I think the zinc cored cents are at least a bit of a failure, because there are more minting errors, and the cores are just a little too sensitive to corrosion.
Under most conditions, pure iron, or pure iron with about 1% nickel added, is less subject to corrosion than carbon steel.
I prefer silicon aluminum coins, but I recognise that most people don't.
I prefer plastic coins, but also recognise that most people would even more stongly reject them than aluminum coins. Polymer banknotes are readily accepted, and they last 7 to 10 times longer.
|
|
Pillar of the Community
United States
1510 Posts |
from what I read--thats from 2008--I doubt it will happen.
The U.S. House of Representatives finally took some action yesterday (Thurs. May 8th 2008) in an attempt to solve the penny crisis. The question doesn't seem to be "should we eliminate the penny?" but rather, "what should it be made of?" The bill, HR-5512, calls for a penny made out of copper-coated steel to be issued within 270 days (about 9 months) from the date of enactment. The bill also calls for a steel nickel (hmm, is this an oxymoron?) but doesn't set a timetable. U.S. Mint Director Ed Moy opposes this bill, primarily because it doesn't give the Treasury Department enough authority to prescribe the alloys U.S. coins are made from, plus Moy says that 270 days is too short to allow for proper testing and implementation. Furthermore, he hinted that the price of steel might even go too high in the near future to coin pennies cost-effectively.
Retired USAF 1983-2003
|
|
Valued Member
 United States
126 Posts |
|
|
Bedrock of the Community
United States
17884 Posts |
Quote:
But nickels, they're NICKELS! What is everyone else's opinion on this? Well considering they are actually mostly copper....... And Nickel is just a slang term for them because they have nickel in them. The cents from 1857 to 1864, and the Three Cent from 1865 to 1889 were also called nickels. So plated the steel planchets with nickel and we can keep calling them nickels. And forget the cent, just drop it because no matter what you make it from it is a money loser. Their new figures for costs on the cent just for manufacturing and distribution is now 1.98 cents apiece. Even if the material was free they would still lose almost a cent on every one they make. |
|
Pillar of the Community
United States
1903 Posts |
We are all focusing on the "cost" of making a cent and or nickel. Lets look at the big picture though. Think of all the seigniorage they make on the cheap coins and notes. Making cents and nickels at a loss my friend is just the cost of "doing business" when it comes to making coin and currency. The mint isn't having any problems keeping their heads above water and I doubt losing money on the cent or nickel will break the proverbial bank.
|
|
Pillar of the Community
United States
632 Posts |
i'd love to find out how many zinc lincolns have been pulled from circulation due to massive corrosion. I have not done a cost study, but there is a chance that sticking with copper would of cost less in the long term.
|
|
Pillar of the Community
United States
2295 Posts |
I totally agree with unholyroller. You are very smart. Most people don't understand business. Hence all the fuss about losing some pocket change on the cent and nickel. I could see them making the nickel out of steel and plating with nickel though. That would be an improvement and that is what Canada has been doing now for many years. http://www.mint.ca/store/mint/learn...ents-53000061982 to 1999 Composition: 75% copper, 25% nickel Weight (g): 4.6 Diameter (mm): 21.2 Thickness (mm): 1.76 2000 to date Composition: 94.5% steel, 3.5% copper, 2% nickel plating Weight (g): 3.95 Diameter (mm): 21.2 Thickness (mm): 1.76 The US Mint needs to get educated and see what other countries are doing many times better for less cost. Same thing with the BEP. Go polymer and stop printing the dollar note and go with the dollar coin. That's my Two Cents.  |
|
Valued Member
United States
126 Posts |
Well, if they go to steel entirely, we could just call them Half Dimes again, haha. But I guess I'm just really ticked off about the currency and coins, I don't care for paper money in general. I like the silver certificates, mainly because it used to have some hard value to it. I really REALLY hate the designs of the '96-04 FRN's, and REALLY REALLY despise the new colorful crap, but that's just my opinion. I would still like to see a decent dollar coin with some actual silver in it, but, with the price n'at, that'll probably never happen. Very good points made by all of you, thanks. |
|
Pillar of the Community
United States
2295 Posts |
But the thing is, if they go with steel, they will have to be plated with something else or they will rust, so no one would know the difference, except us collectors and maybe vending machines.
Just like with the Zincoln. Most people still have no idea that they are really mostly zinc and not copper. They aren't perfect and they do fail sooner than the old copper ones, but better than no cent at all?
|
|
Pillar of the Community
United States
3345 Posts |
 with unholyroller too. Theres more than enough profit to accept the cost of making pennies and nickels. |
|
Rest in Peace
United States
9104 Posts |
If the gubmint had any sense they'd quit making cents and nickels, both of which have far less purchasing power than Half Cents did when they quit making them. |
|
Bedrock of the Community
Australia
21786 Posts |
I wonder how many years it will take for the Dollar to be reduced to a copper plated steel coin?
Same for the Pound and Euro.
|
|
Bedrock of the Community
United States
17884 Posts |
Quote:
I agree with unholyroller too. Theres more than enough profit to accept the cost of making pennies and nickels. But is there? Remember they also just tossed away $210 million in seigniorage profits from the dollar coins as well. Mintages of the dimes and quarters aren't that great, and there really isn't much seigniorage from the halves either because they aren't made for circulation. ( According to the 2010 mint report the dollar coin accounts for 94% of the seigniorage profits) The total seigniorage profits for 2010 was $300 million. The costs have increased significantly, and they have tossed $210 million in seigniorage now. The mint may just drop to near break even this year. Remember the Mint runs out of those seigniorage profits and turns the balance over to the general fund. They may be in danger soon of having to dip into tax revenues and take money OUT of the general fund. Edited by Conder101
01/06/2012 11:01 am
|
|
Moderator
 United States
188213 Posts |
Quote:If the gubmint had any sense they'd quit making cents and nickels, both of which have far less purchasing power than Half Cents did when they quit making them. Worth repeating.  And once again, Conder separates fact from fiction.  |
|
Bedrock of the Community
United States
20753 Posts |
Quote:
But the thing is, if they go with steel, they will have to be plated with something else or they will rust, so no one would know the difference, except us collectors and maybe vending machines.
Stainless Steel. If you look up Stainless Steel you would find there are numerous grades, mistures, of that and some grades are non magnetic. Most, not all, will not rust and some will completely resist staining too. Surgical Stainless of grades 440 and up could be used for coinage with little problems. As to nomenclature we could call a Stainless Steel Nickel a Five Cent coin. Now wouldn't that be original? Putting Five Cents right on the reverse of a Nickel? On a Dime they could put something like Ten Cents or One Dime. And on a Penny I'm for putting Penny on the back of one.  |
| |
Replies: 28 / Views: 3,999 |
Posted 01/05/2012 12:04 am
