As you may have heard, the U.S. Treasury has announced the decision to end production of the U.S. penny. This decision is part of an effort to reduce government spending, as it costs nearly four cents to manufacture and distribute each penny. As we move through this change together, we want to help answer any questions you might have. Check out the quick facts below!
- Although pennies will no longer be produced, they will remain legal tender. Banks will continue to accept pennies, and you can still use them in everyday transactions.
- Penny circulation has already begun to slow. As this continues, banks and businesses may start to run low or run out of pennies.
- Banks and businesses will likely need to adjust their cash management practices. Watch for communications regarding these changes.
At this time, SmartBank has not made any changes to its current cash management practices. As things evolve, we will keep you updated on how the penny phaseout may affect our clients.
If you have any questions or concerns, please visit your local branch or reach out to Client Services at 1.866.290.2554. We’re here to help.