We can’t believe it! After all the Tim Horton’s transactions we’ve been through with the Canadian penny, it’s hard to imagine its extinction from our pockets and change purses.
Although the Royal Canadian Mint hasn’t been producing pennies in months, today is the first official day that it will stop shipping them to banks and retailers nationwide. Apparently this will result in a massive savings for the federal government, whose expected to cash in on the halt of its’ distribution by a cool $11 million.
For many Canadian entrepreneurs the adjustment is intimidating, because it means adapting to rounded figures instead of individual cents. The federal government suggests that Canadian retailers deal with the monetary discrepancy by rounding their transaction sums to the nearest nickel, which experts speculate should benefit employers in the long run.
We at Merchant Advance Capital remain mostly unaffected by the loss of the beloved penny, since we rely solely on debit and credit transactions to extend flexible funding options to our clients. With technology growing exponentially and debit and credit card transactions becoming the norm, we’re wondering if the nickel is the next to be nixed!
…What are you going to do with all your pennies??
There is no question that people are starting to prefer to do their banking online. The days of having to go into the bank for every transaction you want to make are long gone, and now the era of the fintech is taking its place and continuing to grow.