The one cent coin going the way of the dodo bird
This went into effect on May 7, 2014 after weeks of sensitizing Barbadians about the demise of their one cent coins.
The one cent coin will remain legal tender indefinitely, but will no longer be produced because of economic reasons - it takes five cents to mint one single cent. That meant that it cost more to mint a cent than its face value.
A rounding up or rounding down process will now be in effect until prices are regulated ....therefore consumers will either lose or gain up to two cents on some of their transactions.
Until all the prices are changed to no longer reflect single cents, your bill total will be rounded up or down accordingly to the nearest five cents.
The individual prices remain the same and only the total bill is affected by the change.
However, if paying by debit/credit card or by cheque, the transaction will not be subject to the rounding process....only cash payments of currency notes and coins will be rounded.
"Small Change" flyers displayed prominently at point-of-sale cash registers
So far the new system has been working okay with no problems or hiccups.
It is expected that the one cent coins will go out of circulation in another five years.
I exchanged the cents I had in my coin purse at the bank a few days ago....fifteen cents....I will keep the remaining three cents as a souvenir.
The coins collected by the Central Bank will be used as scrap, which will then be sold off.
On its own the cent had no purchasing power since nothing costs one cent anymore, and was really only there to make exact payments for cash transactions.
The poor lowly one cent will be no more....gone with the wind...a thing from the past....a blurred memory.
Folks had no respect for the one cent coin, they refused to spend them, they kept them lying around at home saving them in large jars and tins before exchanging them at the bank and thus they were not being circulated like they should have been....the Central Bank was minting large volumes of these coins annually to keep the supply fulfilled....what a pity.
Barbados has now joined other countries like Australia, Israel, South Africa, New Zealand, Canada and Nordic countries that have also replaced/removed their lowest coin denominations from their currency lineup.
I will probably be regaling my grandchildren with stories like "when I was growing up, we had one cent coins" or something along those lines.
More info at the links below.