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The national coin shortage is giving West Texas banks something to worry about

The lack coins in circulation is affecting how banks can disburse to both businesses and customers.

SAN ANGELO, Texas — If you are out shopping or picking up food, you may notice signs stating no coins are available.

The reason - there is a national coin shortage, and according to the Federal Reserve, it’s because establishments such as retail stores, banks and laundromats, have closed which slowed down the circulation of coins.

The same circulations which banks use in West Texas, and it is causing problems when it comes to handing out coins.

First Financial Bank Vice President of Retail Reba Priddy said it is a challenge getting coins to customers.

"The orders we normally place to the fed to get a coin box coin or a row of coin for our customers they're no longer able to supply it," Priddy said.

Priddy was not able to disclose any information on how many coins they distribute. However, according the Federal Reserve, the total value of coins in circulation is $47.8 billion, up from $47.4 billion as of April 2019. The slow circulation is not just affecting small businesses across West Texas. Priddy said you have to look at the bigger picture when it comes to who uses coins.

"When you're servicing commercial customers, it's not just us, but any bank in town," Priddy said. "You've got to think about the Wal-Wart, the H-E-B other banks in town, credit unions and all the mom and pop shops. I mean, there's just a lot of businesses that are in need of coin."

Now, because of the coin shortage, the Federal Reserve has put together a U.S. Coin Task Force. The task force will work together to identify, implement, and promote actions to reduce the consequence and duration of COVID-19 related disruptions to normal coin circulation.

It will help banks like the one Priddy works at to ensure there is a smooth circulation of coins to make sure people are spending money.

"The majority are now using a debit card or credit card to make much purchase," Priddy said. "We're getting away from some currency but there's still a number of people that always want to carry cash."

The U.S. Coin Task Force will meet at the end of July, and the group will share its progress and evaluate where the coin shortage stands.

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