ICBA urges Treasury to restart production of pennies

ICBA called on the Treasury Department to restart production of the penny and develop a formal plan to phase out production of the one-cent coin.

Details: In a letter to Treasury Secretary Scott Bessent, ICBA President and CEO Rebeca Romero Rainey said:

• Community banks are experiencing noticeable disruptions in penny availability, which greatly impacts their ability to serve individual customers and small businesses.

• The lack of clarity surrounding penny processes has created operational challenges for banks and their customers, including inventory management, impacts to the retail sector impact, and customer communication issues.

Fed FAQs on Penny Ordering: While there has not been a formal announcement from Treasury, the Federal Reserve last month released frequently asked questions on anticipated changes to penny ordering and deposits following Treasury’s decision to end production of the coin.

What It Means for Community Bankers: The ICBA Compliance Center Question of the Week page features new Q&As on the Treasury Department’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.