Does anyone know what the bank is charged for each box of pennies, nickels, and halves, respectively? Just curious!
LOL. I'm assuming the actual question here is how much extra does the bank pay (shipping, handling, whatever) when it orders a box of coins. I'm afraid I don't know, but I'm quite sure that armored-car services don't operate for free.
Yes, I should have clarified further. The question is, what fee do the banks get charged on top of the boxed dollar amounts?
I do the ordering at the bank I work at and I don't see the exact costs. If it's like most banks, the only person that knows for sure is Accounts Payable who get the monthly detailed bills.
Thats actually a very interesting question. I would also say that it likely varies depending on how many boxes are in one load. In my mind they say okay well come deliver you coins for $XXX what boxes do you need? so depending on how many boxes you request, the cost per box changes. Did that make any sense? I just got back from class and my brain is fried
Actually the bank pays face value for boxes but because they are under contract with say, Brinks, it is all included in their contract fee. If they did not the cost of each box would be passed on to whoever ordered the box as an additional fee. Because a bank cannot charge extra for cash to the consumer it all falls into the final contract fee.
I have never been charged and I go to a bank that I don't have an account with. They get there boxes face value they cannot charge you extra because it is illegal to tax money....
I'm not sure I follow. Look, for example, at CoinStar, which charges a "convenience fee" of close to 10%. If it costs the bank money to get coins shipped in, I don't think any law prevents them from passing that cost along. Market pressures might make it hard for them to do so, but "illegal"? I don't think so.
Coin Star is not a bank or affiliated with any government entity so they can charge whatever the market will bear for their private services. But banks do pass that cost along in other ways with other fees that make up the difference.
No, not really. While bound by government regulations, banks are no more government entity that CoinStar. Banks are private businesses. By your reasoning above, banks should not be permitted to charge a fee to use an ATM. Most of them do, especially when using one that is not owned by the bank in which you keep your accounts. Banks are not "charging" you for money when they add a fee to order boxes, they are passing on the cost of doing that business by having those boxes shipped to their branch. So using your CoinStar analogy, banks can indeed charge you the "shipping cost" for ordering those boxes so long as the market will bear it. Because the bank is, after all, a private service.
And to answer the OP's question, this would be whatever cost the individual banks negotiated with the shipping company. It would vary by area, amount of the shipments, and particular shipper, among other things. There would be no pat answer to your question. Here's a link to Brink's web site. You can see, they will offer a quote, they do not list specific fees: http://www.us.brinksinc.com/services/Armored-Transportation.aspx
That makes sense. Brink and other suppliers would charge based on the number of coin boxes/bags ordered. The per box fee should decrease the more you buy.
My bank doesn't get charged per box but they get charged per delivery. I have just recently worked out a deal with them to keep my flow of halves coming in. They will order me $10k worth of halves at the 1st of the month and I won't order boxes of any other denomination from them. They will give me any bags of coins off their coin counter that I want. This keeps the amount of bags they have to give to Loomis low and keeps me in all the coins I want
