Penny Retirement

A Small Change

The Penny is Retired.

On November 12th 2025, the U.S. Treasury minted the last penny. This discontinuation is projected to save the America taxpayers $56 million annually as the cost of making the penny is greater than 1¢.  As of its final day, the penny was actually costing 3.7 cents per mint and added 2-2.5 seconds to a 'typical cash transaction'. The retirement of our copper friend is a necessary cost and time saving adjustment. This is a national change implemented by the federal government that will affect the cash transactions of all American businesses and banks. As we wish the penny happiness on a well-earned retirement, let's review the subsequent implementation of rounding.

What is the Impact?

The effect on day-to-day banking is minor:  Cash transactions will require rounding to the nearest nickel.

After 232 years of circulation the penny will remain legal tender but will gradually become less available. To prepare, Carolina Bank will eventually begin to round physical coin transactions to the nearest nickel. This is a practice being implemented at several businesses already, like: McDonald's, Home Depot, Kroger, and more. This practice has also been used in other countries like Canada, Australia, and New Zealand for decades.

How Rounding Works:

End in 1¢ or 2¢  →  round down to 0¢
End in 3¢ or 4¢  →  round up to 5¢
End in 5¢ or 0¢  →  exact change given
End in 6¢ or 7¢  →  round down to 5¢
End in 8¢ or 9¢  →  round up to 10¢
 

Example: 

$3.01 is equal to $3.00 

$3.02 is equal to $3.00
$3.03 is equal to $3.05
$3.04 is equal to $3.05

$3.05 is equal to $3.05 

The implementation of this method is based on our accessibility to pennies. 

 
 

What is Carolina Bank Doing?

We are casually encouraging customers to deposit pennies at local Carolina Bank branches. We would love to see you in our lobbies, and we'll be happy to assist you in depositing your unwanted pennies. Business members with existing (historical) penny orders (rolls or boxed) will continue receiving them while supplies last. Please let it be known, due to Federal Reserve policies, Carolina Bank can no longer provide rolls or boxes of pennies to consumers at this time.
We appreciate your understanding! 

Facts to Know:

  • Your card and digital payments are not affected by rounding.
  • Your current balance will be entirely unaffected.
  • You can continue to spend pennies. Pennies remain legal tender.
  • You may still receive existing orders for rolls and boxes. However, The Federal Reserve has stopped the distribution of penny rolls and boxes to consumers. Once the supply is diminished, penny orders will no longer be available.

We're Here for You.

Like the penny, this is a small change. However, please be assured your Carolina Bank staff members are always here to help. If you have any questions or concerns, we will be happy to address them at your local branch. You can also call our main number now to be connected at any location: (843)398-8000.