A coin circulation disruption is not a coin shortage

The U.S. Coin Task Force launched a campaign in hopes that it will encourage people to put dormant coins to use. According to a letter dated July 24, 2020 that was sent out from the task force, there are about $48 billion in coinage that is currently sitting dormant in an estimated 128 million households around America.

Despite the misinformation that has passed around on social media and other internet sites, Persons Banking Company President Keith Beckham said that the real reason that coins are not circulating as they should is due to the COVID-19 pandemic, which has resulted in a change in the manner that many Americans have done business.

“Basically what happened is this,” Beckham explained. “When you take as many people across the U.S. economy out of the workplace and put them at home where they’re not transacting business, then they’re also not re-circulating that coin through vending machines, transactions at the local supermarket, fast food restaurants—wherever.”

Beckham pointed out that the coinage is right in our midst; it’s just not circulating in the economy as is needed. “They are in our cars, cup holders, and in people’s change jars at home. At one point, when the pandemic first hit, a lot of banks wouldn’t accept coin for rewrapping,” he admitted. “We didn’t know what kind of biohazard or infection hazard that might present. As we learned more about that, we now accept it to go through our coin machines and be re-circulated into the economy.”

The situation has captured the attention and raised the eyebrows of conspiracy theorists. It has introduced speculations that are being passed around as though they are proven facts, but Beckham assures there is no truth to the unsettling rumors, and he hopes that sharing knowledge will ease people’s suspicions.

“I hate all the conspiracy theories out there saying that there is a coin shortage,” he stated. “That is not the case. It’s just the fact that due to the slowdown in the economy caused by the pandemic, the coin is not re-circulating as quickly. What we are experiencing is a coin circulation disruption … not a coin shortage. Those are two very different things.”

Beckham admitted that the thought of $48 billion in change just lying around and going unused might sound crazy, but he said it’s a true statement. Aside from the loose change tucked away in people’s homes and vehicles, Beckham said, “Just think of all the large manufacturing corporations that have break rooms. If those people are working from home now and they’re not buying Cokes, candy bars or crackers from the break room, that change is not going in that machine. And then compound that with the vendors who are not going by to service those machines as before, so they’re not taking the coin out and bringing it to their facilities to re-roll, re-wrap and reuse. You compound that happening over the entire United States, and you get a coin disruption.”

What the U.S. Mint and the Federal Reserve are reporting completely disputes what conspiracy theorists are saying, Beckham pointed out. “This is not a conspiracy to go to a cashless society. This is simply a disruption that has caused the limited recirculation of the coin so that it’s not as readily available.”

To help in the campaign to fuel the recirculation of change, based on information shared in a statement from The U.S. Coin Task Force, the American public is urged to do the following:

•Start spending their coin;

•Deposit coin at their financial institutions; and

•Redeem coin at coin kiosks.

The public is also urged to use the hashtag #getcoinmoving in social media posts to promote awareness and the understanding of this issue.

At one time, many of the coin kiosks in grocery stores had been discontinued. Beckham made it known that most have now reopened. “We’ve found out that the virus does not live as long as we thought on surfaces, and some surfaces that we thought were dangerous are not as dangerous.” According to Beckham, coin sorters at banks have reopened as well, and the pubic is encouraged to bring their loose change and exchange it for paper money, or just to come and deposit the coinage in their bank accounts; whichever they prefer.

“The main thing I want to say is that this is a national effort led by the United States Mint and the Federal Reserve,” Beckham said. “It’s nothing to be alarmed about or be afraid of. We just want to help get the economy moving again by getting people using the coin again.”

Persons Banking Company has locations in Swainsboro, Perry, Warner Robins, Forsyth and Conyers.

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