Can you spare some change?
By Steffen Klenk
If you’ve been to a grocery store, convenience store or any retailer in recent weeks, you may have noticed signs asking customers to pay in exact change or use their credit card to make purchases. That is because the U.S. is in the midst of a nationwide coin shortage. The circulation of pennies, nickels, dime and quarters have been in short supply.
There are a number of factors that have led to this shortage. The U.S. Mint has been working at limited capacity to ensure employee safety during the COVID-19 pandemic. Since there are fewer people working inside the building, the Mint has been unable to produce as many coins as they would in a normal day.
The de-circulation of coins has also been caused by the partial closure of businesses due to COVID-19, according to Douglas Keefe of Beachcomber Coins. He comments that “there are a lot of coins out there, but unfortunately, they’re staying home. People aren’t going out to shop like they normally would.” Online ordering for essentials and food have limited the usual natural exchange of coins.
For everyday people, this is a minor inconvenience when you need exact change for a parking meter or toll booth. Small businesses, on the other hand, have found the coin shortage to be a problem. Customers were less likely to search for the few cents needed to complete a purchase with cash. Some retailers had also rejected cash purchases over fears of contamination.
Coin operated laundromats and car washes have been especially hard hit. Since most of these businesses operate without little to no staff on site, many customers have been unable to get the quarters necessary for services. Coin counting machines are also being affected as well. Bank lobbies have been closed to the general public, meaning anyone hoping to exchange their saved coins for crisp dollar bills would be out of luck.
So, how long will this shortage last? The Federal Reserve has recently launched a U.S. Coin Task Force with the effort of restoring normal operations at the Mint, with safety measures still in place. Keefe says that the distribution of coins should normalize as businesses reopen and customers spend money: “People have to get out and feel comfortable going out and spending.” Experts recommend carrying some change with you whenever you plan to make purchases.
In order to entice customers and attract much-needed business, banks and large retailers are offering additional cash to customers who bring in their rolled coins. Even local businesses are getting creative. Wawa is offering free beverages to its patrons in exchange for $5 worth of coins, and a complimentary hoagie for $50 in change.
Coins are an essential part of our daily lives. We use change in many situations such as going to the laundromat, visiting the bank, paying a toll, or going to the boardwalk to play 10 cent skeeball at the arcade. This shortage in change may be an inconvenience in our daily lives, but it is important to remember that this too shall pass in time.
Steffen Klenk is a multimedia journalist. He resides in Ocean City and enjoys capturing the eclectic moments of shore life.
