# do stores buy small coins in bulk like we buy quaters? **URL:** \ **Category:** Factual Questions\ **Created:** [February 2, 2011, 10:40pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949 "2011-02-02T22:40:02Z")\ **Posts on this page:** 16\ **Page:** 2
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [February 3, 2011, 4:35am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/21 "2011-02-03T04:35:55Z")
> [@Chronos](#): > > Yes, it’s work to sort and roll the coins, and yes, someone has to get paid for it, but I always figured the profit was on the other end, with things like the Coinstar machines. Coinstar can afford to sell their sorted coins to banks at face value, since they’re not paying face value for them from the customers (or they’re paying gift certificates worth the face value, but they’re surely getting those for less than face, too). But that’s a relatively new thing. Rolled coins being delivered to banks have been around much longer. Which is all I’ll say about that since I really don’t know much about the history of Coinstar or what they do with their coins after they’ve been collected in the machine. ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [February 3, 2011, 4:44am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/22 "2011-02-03T04:44:33Z")
> [@sitchensis](#): > > I believe you **Joey P** but I have never heard of that except in the case of paying for armored car deliveries. Do you do other business with the bank ie. loans, line of credit. Most banks I have worked with give you the little things for free to get your loan business. We do have loans with the bank, but I don’t think the coins are considered a ‘little thing’ We pay (off the top of my head), about $170/mo in interest on a LOC $1500/mo in interest on a mortgage (different account, different company, but still ‘us’) $175 per month in banking fees of which about $30 is coin and currency fees. The thing is, sure we can bitch and moan about the coin fees, but we pay for everything else as well. We pay for every check we deposit, we pay for every ACH deposit, we pay for every check we write, every time I drive to the bank and deposit money, it costs 75¢…everything we do with the bank costs money. Buying change is just one of those things. I’ll have to see if I have a fee schedule at work…banks charge for _everything_. But, then, everything costs money, and I like I said earlier, I’d rather be charged for the services I use, then have everything averaged and get charged for the services that you used that I don’t. As with any business…A)They exist to make money and B)All costs get passed along to the customer. No ifs ands or buts. ---
**Author:** ![Spectre\_of\_Pithecanthropus](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/spectre_of_pithecanthropus/32/12343_2.png) [@Spectre\_of\_Pithecanthropus](https://boards.straightdope.com/u/Spectre_of_Pithecanthropus)\ **Post date:** [February 3, 2011, 6:25am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/23 "2011-02-03T06:25:33Z")
I had no idea that anybody, whether individual account holder or a large retail business, got charged a fee for coins. I wonder why retailers don’t advocate for coinage reform that would eliminate all these coins that are worth so little and sized so big, and replace them with new denominations that would be more useful. This would even out the flow I would think. ---
**Author:** ![pulykamell](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/pulykamell/32/3166_2.png) [@pulykamell](https://boards.straightdope.com/u/pulykamell)\ **Post date:** [February 3, 2011, 6:35am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/24 "2011-02-03T06:35:16Z")
> [@Spectre\_of\_Pithecanthropus](#): > > I had no idea that anybody, whether individual account holder or a large retail business, got charged a fee for coins. Neither did I. It doesn’t surprise me at all, though. The last time I worked behind a register was in the late 90s. We went down the street to the bank in the morning (I believe it was Bank One at the time) to get rolls of change if we were in danger of running out. We were never charged a cent for the service. That said, a lot has changed in banking since then, and a lot of stuff that used to be free, ain’t anymore. ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [February 3, 2011, 12:25pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/25 "2011-02-03T12:25:00Z")
> [@pulykamell](#): > > Neither did I. It doesn’t surprise me at all, though. The last time I worked behind a register was in the late 90s. We went down the street to the bank in the morning (I believe it was Bank One at the time) to get rolls of change if we were in danger of running out. We were never charged a cent for the service. That said, a lot has changed in banking since then, and a lot of stuff that used to be free, ain’t anymore. The bank doesn’t charge us when we pick up the change. We pay face value when we pick it up and get a bill at the end of the month for the service (along with any other charge incurred throughout the month). ---
**Author:** ![Gary\_Robson](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/gary_robson/32/3448_2.png) [@Gary\_Robson](https://boards.straightdope.com/u/Gary_Robson)\ **Post date:** [February 3, 2011, 10:06pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/26 "2011-02-03T22:06:40Z")
> [@Joey\_P](#): > > A buddy of mine that owns a small business, can, in his peak season, go through $30,000 dollars worth of change in a week. A million and a half bucks in change per year, and you consider it a _small_ business? Holy cow! > [@Joey\_P](#): > > We’ve banked at M&I, US Bank and a Milwaukee bank called Park Bank, all three have charged for rolled coins as well as strapped paper money. You have to figure that the bank is paying for that money (they are ordering it from someone else, not rolling and boxing it themselves) and they are going to pass it along to the customer, so even if they aren’t charging you directly, somewhere along the line, you are paying for it. Banks offer a wide variety of services to businesses, and they are covered by the interest they don’t pay us on our checking accounts. We have to maintain a certain minimum balance to get a certain number of free checks per month, and so on. Charging a 30% surcharge for coins is (a) double billing and (b) outrageous. I (or my wife) go over to the bank once or twice a week to buy coins, plus $1, $2, and $5 bills. Every time, they just smile and sell us the change. I’d drop my bank in a New York minute if they charged us extra for it. ---
**Author:** ![Spectre\_of\_Pithecanthropus](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/spectre_of_pithecanthropus/32/12343_2.png) [@Spectre\_of\_Pithecanthropus](https://boards.straightdope.com/u/Spectre_of_Pithecanthropus)\ **Post date:** [February 3, 2011, 10:46pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/27 "2011-02-03T22:46:42Z")
[quote=“Gary “Wombat” Robson, post:26, topic:569949”] A million and a half bucks in change per year, and you consider it a _small_ business? Holy cow! [/QUOTE] Well, he did say “peak season”. ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [February 3, 2011, 11:25pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/28 "2011-02-03T23:25:40Z")
[quote=“Gary “Wombat” Robson, post:26, topic:569949”] A million and a half bucks in change per year, and you consider it a _small_ business? Holy cow! [/quote] He has a small restaurant, but has three booths at [Summerfest](http://en.wikipedia.org/wiki/Summerfest), those 10 days are his peak season. > [@](#): > > We have to maintain a certain minimum balance to get a certain number of free checks per month, and so on. Charging a 30% surcharge for coins is (a) double billing and (b) outrageous. That 30% is only for pennies, for a roll of quarters it’s only 1.5%. Also, why is it double billing? > [@](#): > > I (or my wife) go over to the bank once or twice a week to buy coins, plus $1, $2, and $5 bills. Every time, they just smile and sell us the change. I’d drop my bank in a New York minute if they charged us extra for it. I think people are just annoyed that some banks charge for money. Again, you have to remember, the bank doesn’t get all this nice, counted, wrapped/rolled/strapped and boxed money delivered in a armored truck for free. If you aren’t paying directly for your change, it just means you’re paying indirectly. As a side question, what business are you in that you are buying $2 bills from the bank? And if you don’t mind my asking, how much change are you buying in a week? > [@](#): > > Banks offer a wide variety of services to businesses, and they are covered by the interest they don’t pay us on our checking accounts. How is this statement any different then: The grocery store shouldn’t charge me for bananas since they make so much on beer and wine? In the end, every.single.cost. the bank incurs…every single one, will be passed on to the customer. Even though you don’t pay for your coins, I’d be willing to bet, if the coin delivery service doubled what they charge the bank\* you’d find some of your other fees start creeping up to cover the losses. \*For the purposes of this argument, lets assume that all coin delivery services doubled their rates at the same time for some reason, maybe the cost of something fundamental to the process went up. ---
**Author:** ![Superhal](https://avatars.discourse-cdn.com/v4/letter/s/b4bc9f/32.png) [@Superhal](https://boards.straightdope.com/u/Superhal)\ **Post date:** [February 3, 2011, 11:26pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/29 "2011-02-03T23:26:22Z")
A store I worked at paid a change fee as part of bunch of fees that the bank charged. The same services (change, checking, etc.) were not charged to individual accounts, only business accounts. ---
**Author:** ![Dewey\_Finn](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dewey_finn/32/4222_2.png) [@Dewey\_Finn](https://boards.straightdope.com/u/Dewey_Finn)\ **Post date:** [February 3, 2011, 11:41pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/30 "2011-02-03T23:41:34Z")
What we need is [a bank that specializes in making change for its customers](http://www.nbc.com/saturday-night-live/video/first-citywide-change-bank/229045). ---
**Author:** ![Gary\_Robson](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/gary_robson/32/3448_2.png) [@Gary\_Robson](https://boards.straightdope.com/u/Gary_Robson)\ **Post date:** [February 4, 2011, 12:01am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/31 "2011-02-04T00:01:22Z")
> [@Joey\_P](#): > > He has a small restaurant, but has three booths at [Summerfest](http://en.wikipedia.org/wiki/Summerfest), those 10 days are his peak season. Ah, that explains it. > [@Joey\_P](#): > > That 30% is only for pennies, for a roll of quarters it’s only 1.5%. But it’s still 30% for pennies. And that’s outrageous. > [@Joey\_P](#): > > Also, why is it double billing? Because they’re already charging me for basic services by requiring a minimum balance in my account and not paying me interest on it. Any further charge for a basic service is double-charging. How long do you think people would continue shopping at my bookstore if I said, “That book is $15.00, but I’m going to add a buck because I had to use coins in your change, a buck for coming in my front door instead of using my website, a buck for the receipt, a buck for the bag, a buck for asking an employee where to find the book, a buck for the ‘fuel surcharge,’ a mandatory 20% tip, a buck for the restocking fee 'cause I’ll have to reorder that book, and a buck for wearing red shoes in my store. Your total will be $27.60. Plus tax.” ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [February 4, 2011, 12:20am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/32 "2011-02-04T00:20:40Z")
[quote=“Gary “Wombat” Robson, post:31, topic:569949”] Ah, that explains it. But it’s still 30% for pennies. And that’s outrageous. Because they’re already charging me for basic services by requiring a minimum balance in my account and not paying me interest on it. Any further charge for a basic service is double-charging. [/quote] Maybe that’s why _you_ don’t get charged for coins and I do, I don’t have a minimum balance on my business checking account. > [@](#): > > How long do you think people would continue shopping at my bookstore if I said, “That book is $15.00, but I’m going to add a buck because I had to use coins in your change, a buck for coming in my front door instead of using my website, a buck for the receipt, a buck for the bag, a buck for asking an employee where to find the book, a buck for the ‘fuel surcharge,’ a mandatory 20% tip, a buck for the restocking fee 'cause I’ll have to reorder that book, and a buck for wearing red shoes in my store. Your total will be $27.60. Plus tax.” Well, here’s the thing (ignoring the red shoe tax)…Most of the things you listed are the cost of doing business. You paid for the book, the employee (since the customer didn’t use the website), wear and tear on the front door, the bag, gas in your car to get you to the store etc…You are going to pass those all down to the customer, right? If the one of those costs spike are you going to pay it out of your pocket, no. If minimum wage goes up (and you have minimum wage workers) you’re not going to eat that, you’re going to raise your prices to cover that cost. What you’re doing is assuming that the bank uses your minimum balance to pay for the coins. Maybe the use it for something else. You really have no way of knowing. ---
**Author:** ![srzss05](https://avatars.discourse-cdn.com/v4/letter/s/898d66/32.png) [@srzss05](https://boards.straightdope.com/u/srzss05)\ **Post date:** [February 4, 2011, 3:47am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/33 "2011-02-04T03:47:39Z")
> [@Joey\_P](#): > > We’ve banked at M&I, US Bank And that’s one of the reasons I dumped US Bank and switched to a state bank. It doesn’t surprise me in the least they charge for this. Not only does the bank i use now not charge for coins, before I even had an account with them they would count my loose change and change it into bills no questions or charge. ---
**Author:** ![Ludovic](https://avatars.discourse-cdn.com/v4/letter/l/7ab992/32.png) [@Ludovic](https://boards.straightdope.com/u/Ludovic)\ **Post date:** [February 4, 2011, 3:55am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/34 "2011-02-04T03:55:17Z")
> [@Dewey\_Finn](#): > > What we need is [a bank that specializes in making change for its customers](http://www.nbc.com/saturday-night-live/video/first-citywide-change-bank/229045). I always wondered how they could make a profit. ---
**Author:** ![Dewey\_Finn](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dewey_finn/32/4222_2.png) [@Dewey\_Finn](https://boards.straightdope.com/u/Dewey_Finn)\ **Post date:** [February 4, 2011, 4:32am UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/35 "2011-02-04T04:32:05Z")
Volume, of course. ---
**Author:** ![Sailboat](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/sailboat/32/461_2.png) [@Sailboat](https://boards.straightdope.com/u/Sailboat)\ **Post date:** [February 4, 2011, 1:04pm UTC](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949/36 "2011-02-04T13:04:41Z")
When I worked a cash register, the retailer had a specific number of rolls of each type of coin allotted to each cashier’s drawer. This was usually just insufficient, causing all kinds of problems with running out of things during busy periods. Needless to say, management was attached to that fixed change plan with desperate urgency. We were _not allowed_ to walk over to the bank and grab an extra roll of pennies, for example. It was as if that extra roll of pennies sitting in a drawer represented too large a percentage of our investment capital to allow us to flourish, and patently ridiculous. [Previous page](https://boards.straightdope.com/t/do-stores-buy-small-coins-in-bulk-like-we-buy-quaters/569949.md?page=1)