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Red King
Penny Sorter Member
USA
27 Posts |
 Posted - 08/19/2010 : 16:10:45
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Hi, everyone. I have been wondering this for a while, and the tellers are not sure themselves.
When a bank has too many pennies, as well as too many bags from their coin sorters, they ship it off to the Fed.
What happens to them when they arrive there? Are they stored? Destroyed? Any way to retrieve them? It is mind-boggling what can be found in those pick-ups.
Any idea?
On a different note, I've tried contacting CoinStar to see where they have their armored carriers send the full canisters of coins, but the reps cannot share that info. I would love to know where my local ones go?
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TXBullion
Penny Collector Member
374 Posts |
Posted - 08/19/2010 : 16:17:21
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| Highroller seems to well versed in the logistics/ supply chain of coin.... maybe he will chime in. I always wondered about the whole process and which I could be a penny for a day so I could see (preferably a copper) |
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frugalcanuck
Penny Pincher Member
Canada
103 Posts |
Posted - 08/19/2010 : 16:22:37
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This will sure be interesting
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One box of Nickels
11.65% .999 Ni |
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Red King
Penny Sorter Member
USA
27 Posts |
Posted - 08/19/2010 : 16:39:44
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If it turns out they are stored, the question is, "For what...?"
If it turns out they are destroyed, then I have mixed feelings.
On the one hand, it means fewer coppers and other rarities in existence; on the other hand it makes what we have collected all the more valuable.
That reminds me of something:
To get an idea of how many coppers were minted (except wheaties), I added up all the production figures from the mint from 1959 to 1981. Then, added 50% of 1982's production and arrived at approx. 150 Billion.
Large number indeed, but to give you a visual analogy:
Let's say all the coppers ever minted are rolled into 50 cent rolls. Each roll is stood up on its end, and we form a perfect filled square with them (a filled square). Each side of that square would hardly reach 1/2 mile.
Next take into account how many have already been destroyed, or in some way made irretrievable.
Gives a good idea of close we are to cornering the market for those things |
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dakota1955
1000+ Penny Miser Member
2212 Posts |
Posted - 08/19/2010 : 20:31:35
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| They are stored and shipped back out when a bank needs coins |
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TXBullion
Penny Collector Member
374 Posts |
Posted - 08/19/2010 : 20:53:54
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| But does each district have its own sorting center or does each carrier? I hear banks send coin to a place called cash vault, what is cash vault? I would like to take a field trip to cash vault |
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Red King
Penny Sorter Member
USA
27 Posts |
Posted - 08/20/2010 : 01:56:35
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quote:
Originally posted by dakota1955
They are stored and shipped back out when a bank needs coins
Makes "cents" lol...(crickets chirping)...
Anyway, it would be nice to know where these coin vaults are, though I would imagine access is strictly denied. |
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TXTim
Penny Hoarding Member
629 Posts |
Posted - 08/20/2010 : 07:16:38
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They don't go to the Fed from the bank.
They send them to Brinks, Loomis or other handlers for rolling/redistribution. |
Beer is my currency. |
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dakota1955
1000+ Penny Miser Member
2212 Posts |
Posted - 08/20/2010 : 07:22:32
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| I know that in North Dakota the coins go to the State bank of North Dakota to be shipped out again. That bank in is Bismarck. |
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highroller4321
1000+ Penny Miser Member
USA
2648 Posts |
Posted - 08/20/2010 : 10:57:37
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Normally when a bank sends coin into the fed it works like this:
When an armored gets a full bag into their facility they will weigh it. Pennies can weigh anywhere between 28-34lbs per bag. If the bag weighs over or under that amount than the bag will have to be run through a coin counter and than they bank will be charged a processing fee (Normally around $1-$1.50 per bag) If the bag weights correctly it will get put onto a skid with other full penny bags. From here it has several options on how it can move:
#1 The most common probably is the skid of pennies that the bag went out will get full and than it will be transfered to the coin depot (if the armored is already not one) When the full skid arrives at the depot the skid will be weighed and than put into the coin depot. A coin depot is basically a storage spot for coin in the local area that armored can pull out of and put coin in to.
#2 Once the skid is full the armored will cut all the bags open and throw them in their wrapping machines for wrapping.
#3 The armored will pull pennies from the partial skid to send to their customers (This is the least likely)
There are probably a few more uncommon senarios but those are the common ones. |
Copper Penny Investing
www.portlandmint.com |
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highroller4321
1000+ Penny Miser Member
USA
2648 Posts |
Posted - 08/20/2010 : 11:00:54
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quote:
Originally posted by Red King
Hi, everyone. I have been wondering this for a while, and the tellers are not sure themselves.
When a bank has too many pennies, as well as too many bags from their coin sorters, they ship it off to the Fed.
What happens to them when they arrive there? Are they stored? Destroyed? Any way to retrieve them? It is mind-boggling what can be found in those pick-ups.
Any idea?
On a different note, I've tried contacting CoinStar to see where they have their armored carriers send the full canisters of coins, but the reps cannot share that info. I would love to know where my local ones go?
The only one allowed to destroy/melt any coins is the tresaury mulilated coins department located in Philadelphia,PA. Depending on the area the mutilated department sends a semi to almost every armored carrier location 1 time about every other year to pick the mutilated coin up. Otherwise the armored has to send the coin in themselves to get reinbursed for it. |
Copper Penny Investing
www.portlandmint.com |
Edited by - highroller4321 on 08/20/2010 11:17:04 |
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TXBullion
Penny Collector Member
374 Posts |
Posted - 08/20/2010 : 11:01:33
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| What about the conflict of weight on pennies, there could be a 33 cent difference per pound? Also, why dont we see the percentages drop from sorting. Is it that it is too small of an amount relative to how many pennies there are? |
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highroller4321
1000+ Penny Miser Member
USA
2648 Posts |
Posted - 08/20/2010 : 11:04:20
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quote:
Originally posted by TXBullion
But does each district have its own sorting center or does each carrier? I hear banks send coin to a place called cash vault, what is cash vault? I would like to take a field trip to cash vault
It all depends on the area and the size of the armored. Most of the time each armored has their own small processing area, but sometimes the armored will just pay another armored to process it for them.
A cash vault is pretty much what is sounds like . There are many types of cash vaults so I will use the most common onse, bank cash vault. Everyday the bank cash vault recieves money from the fed or their armored carrier. The cash vault than preps the cash for atms or its customers to be delivered. The cash vault also recieves deposits from its customers every day so they process and verify the cash so they don't have to pay an armored to do so. |
Copper Penny Investing
www.portlandmint.com |
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highroller4321
1000+ Penny Miser Member
USA
2648 Posts |
Posted - 08/20/2010 : 11:07:37
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quote:
Originally posted by TXBullion
What about the conflict of weight on pennies, there could be a 33 cent difference per pound? Also, why dont we see the percentages drop from sorting. Is it that it is too small of an amount relative to how many pennies there are?
Yes, there may be a shortage or an extra little bit in each $50 bag but on the average over time it will come out pretty close. It is not cost effective to count every single penny bag that comes in the door.
You will not see a drop in percentages unless you do some major sorting. A person may pull out $1000 a week but theres a lot more than that being dumped in from peoples piggy banks or brought from another area through pocket change, ect ect |
Copper Penny Investing
www.portlandmint.com |
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wolvesdad
1000+ Penny Miser Member
USA
2164 Posts |
Posted - 08/20/2010 : 12:27:49
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thread gave me a good belly laugh.
the thought of the 'received' coin just being destroyed/recycled!
But yes, we all want to know how the process works, and we'd all like to be 'let in.'
IF you don't have lots of money and something to offer back, that aint going to happen! |
"May your percentages ever increase!" |
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mauk13r
Penny Sorter Member
USA
60 Posts |
Posted - 08/23/2010 : 19:09:49
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| Nice to have an idea of how the system actually works. |
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Red King
Penny Sorter Member
USA
27 Posts |
Posted - 08/26/2010 : 16:46:21
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| Thank you for the input everyone |
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Topic |
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Where do they go?
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