MAINSTREET BANK
Our approach to the "penny-less" transition
At MainStreet Bank, we are committed to making your banking experience as smooth as possible, even as the currency landscape changes. While the U.S. penny is being phased out of production, we expect them to remain in circulation for a long time.
Our goal is simple: We will continue to transact with pennies for as long as our inventory allows. However, because penny production has ceased, there will be times when our local branches run low on physical copper coins. In those instances, we follow a fair and balanced approach to ensure you can still complete your transactions without delay.
How “symmetrical rounding” works
When a branch is out of pennies, MainStreet Bank follows the Federal Reserve and U.S. Treasury’s recommendation to use Symmetrical Rounding (also known as “nearest-nickel rounding”).
This method is designed to be statistically neutral. This means that over time, the few cents rounded up and the few cents rounded down will cancel each other out, ensuring neither the customer nor the bank gains an unfair advantage.
The rounding quick-reference
Check ends in
We round
Result
.01 or .02
Down
You receive the lower nickel amount
.03 or .04
Up
You receive the higher nickel amount
.06 or .07
Down
You receive the lower nickel amount
.08 or .09
Up
You receive the higher nickel amount
Your options and flexibility
We understand that every cent counts. If our penny inventory is low during your visit, you always have choices:
- Account deposits: You can always choose to deposit your check or cash directly into your MainStreet Bank account. All deposits are processed for the exact amount down to the penny. Rounding only applies when we are physically handing out cash and do not have pennies in the drawer.
- Inventory fluctuations: Because pennies are still in circulation, our stock changes weekly. If we are out of pennies this week, we may receive a deposit of them by your next visit, allowing us to resume exact-change transactions.
- Advance notice: Our team will always inform you if rounding is necessary before we process your request, so you can decide how you’d like to proceed.
Information for business owners
If your business frequently issues checks to employees or vendors who cash them at our branches, you may want to prepare for these changes in penny availability. To ensure your payees receive their exact intended amount without rounding, we recommend the following:
- Transition to electronic payments: By utilizing Direct Deposit (ACH) or wire transfers, you can ensure employees and vendors receive their exact payment to the penny every time.
- Round at the source: Consider adjusting your payroll or invoicing systems to round payments to the nearest nickel. This ensures the amount written on the check matches exactly what our bank can provide in cash.
