Move Over Toilet Paper, Coins Are The New Shortage We Have To Contend With

It seems like just YESTERDAY everyone was running to the store to clear the shelves of toilet paper.

We still haven’t fully recovered from THAT shortage, and now it looks like this pandemic is claiming its next shortage victim!

But, what is it that we are short on? It might be something you have NEVER thought of as being in short supply. I mean, I have enough in my couch and car floorboard to fund a small arcade.

What is it, you ask? Coins.

Banks seem to be in short supply. So much so, that there is even a forced ration on the little bits of copper and silver.

I have worked at a bank, and I can tell you, that is NOT going to be a good thing for retail businesses that go through rolls of coins like my son goes through ketchup bottles.

That’s a lot. They go through a lot.

Even though a lot of us are using touchless payment options (credit cards and money apps), some people and businesses are still operating on a cash basis.

Those businesses that rely on cash NEED the coins to make change with. If push comes to shove, and the coin shortage continues, businesses may be required to round up or down when it comes to giving back change.

Many business are already having to close up and go out of business. Every little penny, nickel, dime, and quarter makes a difference, and can REALLY add up if you are having to give up change on every transacation.

My fear is that customers who use these banks will react very poorly, and I know that we all don’t want to wake up to headlines in the near future such as ‘Banks Out of Money.’
Rep. John Rose via NPR

That would just be the straw the breaks the back of the Jumanji game that is 2020. A bank run is ALL we need.

Why is this shortage happening?

The U.S. Mint made fewer coins than usual this spring. Just like EVERY business in the world, the U.S. Mint had to face protecting its employees from the coronavirus.

Less employees were available to make coins, therefore, less coins were manufactured.

Distribution of coins has also been a big concern. Not only has there been a hitch in the distribution of coins from the Mint to banks, there has been a problem in the flow of cash through the system.

During the lockdown, many bank lobbies where people can recycle coins were off limits. And coin-sorting kiosks in retail stores saw reduced traffic. With many businesses closed, unused coins piled up in darkened cash drawers, in pants pockets and on nightstands, even as banks went begging.
NPR