Last updated on September 13th, 2022 at 10:27 am
Last Updated on September 13, 2022 Posted by Colonial Acres Coins
It’s been ten years since the last Canadian penny was minted on May 4th, 2012. This passage of time allows us to gain a better understanding of how the de-circulation of the penny has affected the Canadian economy. In general, the population has handled taking the penny out of circulation very well. However, removing the penny from circulation has also shown how beneficial digital currency can be and made pennies a rare commodity for collectors.
How Do People Feel About Not Having the Penny in Circulation?
When the penny was first removed from circulation in Canada, many people were confused about how they would pay for items and services in cash. Many totals still end in one-cent increments, and without a coin to accommodate this amount, many people did not understand how they would be charged for the items they need to purchase. Nearly a decade later, it has become standard practice for vendors to round up or down to the nearest five-cent increment. This change in how cash users pay for the products and services they need has had little impact on society overall. Most people have forgotten that the Canadian penny ever existed.
How Does the Removal of the Penny Affect Digital Currency?
The removal of the Canadian penny from circulation has had little impact on society because people willingly round up or down to the nearest 5-cent increment. However, digital currency – paying by debit, credit, or electronic banking – allows people to pay the exact amount they owe without the need to round up or down. This can make digital currency a preferred alternative for cash users because they will never have to round up their total to cover the cost of a few pennies.
Advantages of the Digital Age
As modern technology progresses, an increasing number of Canadians are shifting to payments done with plastic or various mobile payment systems, such as Apple Pay or PayPal. Cash is still present on smaller common purchases throughout many brick-and-mortar stores. In fact, more than half of all transactions throughout Canada still see cash as the most often-used payment method, which translates into the fact that checkouts nationwide are still seeing more rounding than card tapping taking place. But, cash use has steadily been declining in recent years, which is more than expected.
Similar Plans Exist for the Nickel
The way of the penny seems to be destined for Canada’s nickel as well, and it only appears to be a matter of time. Some estimates suggest that the five-cent piece is growing increasingly less useful because of the costs to maintain it in circulation, as well as its overall low purchasing power. This sounds all too familiar – the same reasons were used to justify pulling the penny out of circulation in 2013. One important difference is the fact that the Mint is under much less pressure to produce the nickel than was the case with the penny – a positive consequence of the recycling system.
Which Pennies Do You Need in Your Collection?
The one feature that almost all Canadian pennies share is maple leaf symbols on one side. The maple leaf is a symbol of Canadian culture, so it has been a staple on our smallest coin. However, this is where the similarities end, and pennies from different years can look much different. If you are looking for interesting pennies in Canada to add to your collection, look for ones from the following years:
- 1900: Until 1908, every Canadian 1-cent coin was made in England by the Royal Mint. If you are looking for a rare coin for your collection, choose one of the years before the currency was minted on Canadian soil because they are harder to find.
- 1920: This was the last year that the large penny was in circulation. The diameter of the coin measured 2.54 centimetres, and Canadian officials decided to cut down on the size of the penny to save money on minting costs. The design features a maple leaf vine around the circumference.
- 2012: Canadian pennies minted in 2012 are not necessarily rare, but they represent the last date the penny was produced. Having a penny from the last year it was widely in circulation is a great talking point and makes the coin a wonderful addition to your collection.
Shop at Colonial Acres Coins
Because Canadian pennies have been out of circulation for nearly a decade, they are rare editions to any coin collection. If you are seeking rare Canadian pennies to add to your collection or you need to find cases to store your coins in, Colonial Acres Coins has the products you need. Browse our website today to find great deals on Canadian pennies. Visit Colonial Acres today and enrich your coin collection from a reputable source.