Penny for Your Thoughts?
“Nickel for your thoughts?” That doesn’t have the same ring but will have to do because the phasing out of the penny begins today with the Royal Canadian Mint ending its distribution of one-cent coins to Canada’s financial institutions.
Last year Finance Minister Jim Flaherty announced the production cost of the penny exceeded its monetary value, and they would be ending production.
What happens now? Debit and credit transactions will continue to be settled to the cent. Only cash purchases will be rounded up or down to the nearest nickel. You can continue to use pennies, but once used at a retailer – the coins go to the bank. If you have a stash of pennies you would like to get rid of, banks will accept them rolled.