couple newbie questions

whats legal tender mean?

Is $8.25 a good price for a 2004 BUC SE?

 

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(According to the Bureau of Engraving and Printing
http://www.moneyfactory.com/document.cfm/18/110)

Legal Tender: A Definition

Section 102 of the Coinage Act of 1965 (Title 31 United States Code, Section 392) provides in part:

" All coins and currencies of the United States, regardless of when coined or issued, shall be legal tender for all debts, public and private, public charges, taxes, duties and dues."

This statute means that you have made a valid and legal offer of payment of your debt when you tender United States currency to your creditor. However, there is no Federal statute which mandates that private businesses must accept cash as a form of payment. Private businesses are free to develop their own policies on whether or not to accept cash unless there is a State law which says otherwise.
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If you want a hair to split, consider the difference between "debt" and "payment."
Michael

 

Great answers. Both of course are correct. Now, let me throw in a little extra. Our currency states that this note is legal tender for all debts public and private. The older currency also added that it is redeemable in lawful money at the United States treasury, or an any federal reserve bank.
Now I have had many people not accept silver certificates for fear they were forgeries. As we travel around the nation, we routinely pass out various coins as tips and such. Many an Indian cent was turned away.
With your next purchase, try handing the cashier a Large cent, and see the expression on their face. Of course my favorite is when the total ends in five, so that I can throw a Two cent coin, and Three cent nickel on the counter.
The only coin ever produced in the US that does not have legal tender status is the Trade Dollar. The US government demonitized this coin.
Isn't numismatics interesting? So many cool things.

You just have to love it

 

What about the pre-33 gold coins, they're not legal tender... or am i mistaken? (were they ever actually legal tender?)

 

The Coinage Act of 1965, specifically Section 102: (This is now found in Section 392 of Title 31 of the United States Code)

The law says that, "All coins and currencies of the United States, regardless of when coined or issued, shall be legal tender for all debts, public and private, public charges, taxes, duties and dues."

 

Well there are two exceptions. The 1933 St. Gaudens $20 Gold coin which was deemed not released by the treasury and the mint, along with all Trade Dollars.

 

Well according to all the info I have, the Trade Dollar was repealed as legal tender by congress in 1876.
I don't know why this isn't mentioned in the legal tender act of 1965.
Dunno????????

 

What I don't know is, why I repeated the same post that mmarotta had already made?
I guess I can't see too well. (lol)

 

Thats okay, we all repeat posts after a while. Gets the creative juices flowing again. I am going to look into this legal tender status thing. Maybe the 1965 act does blanket the whole coinage of America. Will give me interesting this weekend.

 

Unless they've changed the rules on statutory construction since I retired from active practice in '95, it does.
That would still seem to leave out the 1933 St. Gaudens $20 Gold coin that was apparently smuggled out of the mint and never officially shipped to a bank.

 

Smuggled? That particular coin was given to King Faruk as a presentation piece along with a handful of other coins. That is exactly why the dealer fought the mint and government over it. Treasury papers were given to the King with the coins.

Back to another thought. Satootoko, what is your avatar? That is the prettiest I have seen anywhere.

 

Wonder if there is a way to find out for sure if Trade Dollars are or are not demonitized, as per the 1965 Coinage act.

If not demonitized, I need to show up at Treasury's
front door with my bag of Trade Dollar to exchange for sound, solid modern currency.

Coin collecting. Everything is possible!

 

This raises another question regarding legal tender.

Does the Treasury still operate an outlet for exchanging old coin and currency for those who wish to do so? (I certainly do not recommended doing this however.)

I believe that the last time any exchanging was done was in the late 60's when silver certificates were turned in.

Any other info out there regarding this?

 

Hey there fjrosetti,

If you wish to drop off a bag of Trade dollars, look for my office address.
The treasury does still exchange currency at all fed banks. Mostly this is done with worn currency though.

I have walked the floor here at the Santa Clara coin show to see if I could come up with an answer to whether Trade dollars are legal tender. About as I thought. Half the dealers say yes, half say no. I have emailed the treasury about this question. Maybe they can answer it. I will let everyone know as soon as I hear back from them.

 

WOW. You have been watching Jody. You guys pull these links out of nowhere. Great job. My hat is off to you.