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Last week, the Maine Credit Union League joined credit unions nationwide in signing a letter to the Federal Reserve, calling for clear guidance on the operational challenges arising as penny production ends.
While pennies remain legal tender, new coins are no longer being minted due to rising production costs. As existing supplies decline, credit unions and other financial institutions are facing uncertainty around coin access, cash transactions, and compliance expectations. In recent weeks, the Maine Credit Union League heard directly from several Maine credit unions raising concerns about the lack of guidance surrounding penny circulation and transition planning. Those concerns were elevated to America’s Credit Unions and helped inform broader national action.
As part of this advocacy, Maine credit unions flagged several practical challenges that underscore the need for timely guidance, including:
- Transaction rounding challenges.
- Currency storage and security risks.
- Lack of transition time before minting was stopped.
- Compliance and accounting uncertainty.
Then, on December 12, America’s Credit Unions, in coordination with state leagues across the country, sent a joint letter to Federal Reserve Governor Christopher Waller calling for clearer guidance as penny supplies diminish. The Maine Credit Union League was proud to sign on to this letter alongside our fellow leagues nationwide. The letter urges the Federal Reserve to keep coin depots open as conditions allow, provide transparency around coin inventories, ensure equitable access to remaining penny supplies, and coordinate with federal regulators to offer interim guidance on rounding practices and cash handling expectations.
America’s Credit Unions sent a separate letter on Monday, December 15, to the House Financial Services Committee emphasizing the need for legislative clarity and expressed support for the bipartisan Common Cents Act. The bill would formally end penny production and establish a uniform national standard for rounding cash transactions, helping avoid inconsistent approaches across states and financial institutions.
The League will continue working closely with America’s Credit Unions and fellow state leagues to monitor developments, share updates, and advocate for clear, consistent standards that minimize operational risk and confusion for credit unions and their members.