How community banks are navigating the end of penny production 

A new ICBA article spotlights how community bankers are responding to the federal government officially discontinuing production of new pennies. 

Details: Based in part on conversations on ICBA Community, the new article notes that community bankers are applying rounding rules for cash transactions, limiting penny withdrawals, working with core providers, engaging community members, and more. 

Background: President Donald Trump in February called for an end to minting pennies given the cost, though there has not been any formal announcement from the Treasury Department. The U.S. Mint last month struck the final circulating one-cent coin, marking the official end of the penny’s 232-year production run. 

Federal Reserve Resources: 

• A recent blog post from the Federal Reserve Bank of Atlanta examines possible rounding methods the United States could use when penny production is phased out.  

• The Federal Reserve Board previously released frequently asked questions on anticipated changes to penny ordering and deposits following the Treasury Department decision to end penny production. 

Additional ICBA Resources: 

• A recent ICBA blog post breaks down recent developments and ICBA’s efforts to gain clarity and address disruptions stemming from the end of penny production.    

• The ICBA Compliance Center Question of the Week page features Q&As on Treasury’s decision to end production of the penny.   

• ICBA Community also features community banker discussions on processes and best practices related to the penny going away.     

READ ICBA’S ARTICLE