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Topic: Canadian Notes To Plastic Next Year  (Read 10002 times)
suretteda
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« on: November 25, 2010, 07:48:21 pm »



Ottawa: That $5 bill you used to buy your morning coffee is quite the frequent flyer! It left your wallet in Ontario, and not a minute later was in the hands of an Albertan in town on business. By the afternoon it became a tip for a taxi fare out of Calgary International Airport.

And that’s just from three cash transactions. Your coffee shop $5 could criss-cross the country several times in its lifespan. From this glimpse into the life of one $5, can you imagine all the to and fro involved with nearly 1.5 billion bills? That’s how many Canadian bank notes are out there!

So, how exactly does that cash get to your local bank, into the ATM, or into the till at your nearest convenience store?

Distribution

The Bank of Canada works with Canada’s financial institutions to monitor this traffic and ensure that there’s enough cash to go around.

Basically, it works like this: the Bank provides financial institutions with new notes and previously used notes that are still in good condition. The financial institutions then manage their cash supply to meet the demand from their clients.

If a financial institution has too many $10s and too few $20s, it can actually swap with another through a system managed by the Bank of Canada called the Bank Note Distribution System. This cuts down on transportation costs because notes can be exchanged within the same region and don’t have to needlessly travel across the country.

Along the way, these banks make sure that only notes that are in good condition are provided for use in ATMs and cash drawers. The guideline is clear: notes of poor quality are returned to the Bank of Canada and destroyed.

It is at the Bank of Canada where older series notes and notes that are worn, taped or scribbled with someone’s ‘to-do’ list end their life cycle and head to the shredder. When it comes to counterfeits, they get sorted out and sent to the RCMP forensic laboratory. Funny money has no place in Canadians’ pockets.

All in all, the Bank of Canada issues about 400 million new notes per year.

Replace It

So if a bill comes your way and it looks like a weary traveller, rest assured that financial institutions will put an end to its journey and replace it with a newer one. The Bank of Canada only wants good quality notes out there because Canadians expect first rate notes that they know are real and can use with confidence.

Change is coming

Polymer notes are coming to a bank near you late in 2011. Canada’s new polymer notes will last two to three times longer than paper notes. They’ll be more durable and able to criss-cross the country that many more times! Longer journeys mean fewer replacement notes and a cost savings for taxpayers. Now who doesn’t like the sound of that?

Short URL: http://www.weeklyvoice.com/?p=1580

suretteda
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« Reply #1 on: December 08, 2010, 01:28:47 pm »

Times reported here is one of the last reports on the introduction of polymer bank notes in Canada next year.

As yet, the new notes will appear at the end. From among collectors who deal with Canadian bank notes is advanced that the year 2008, no 20-dollar bill has been printed more. It was reasonable to assume that dollar bill could be the first $20, the output is the polymer that may already be printed. Is not clear whether the end of polymer banknotes will be issued to all 2011, too, or whether one of the 2011 edition starts at the end. Let's wait.

http://www.polymernotes.de/
BWJM
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« Reply #2 on: December 08, 2010, 06:32:16 pm »

What?  Who translated that and from what language? A ten-year-old from the Congo translating from ancient Aramaic?

BWJM
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President, IBNS Ontario Chapter.
Treasurer, Waterloo Coin Society.
Show Chair, Cambridge Coin Show.
Fellow of the Ontario Numismatic Association.
ikandiggit
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« Reply #3 on: December 08, 2010, 11:09:36 pm »

LOL!  I think it was done by google's translate function.
suretteda
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« Reply #4 on: December 08, 2010, 11:22:38 pm »

Times reported here is one of the last reports on the introduction of polymer bank notes in Canada next year.

As yet, the new notes will appear at the end. From among collectors who deal with Canadian bank notes is advanced that the year 2008, no 20-dollar bill has been printed more. It was reasonable to assume that dollar bill could be the first $20, the output is the polymer that may already be printed. Is not clear whether the end of polymer banknotes will be issued to all 2011, too, or whether one of the 2011 edition starts at the end. Let's wait.

http://www.polymernotes.de/


Google Translate

German to English translation


Here again one of the last reports on the introduction of polymer bank notes in Canada next year.

It is reported that the new notes will appear at the end. From among collectors who deal with Canadian bank notes is advanced that printed since the year 2008, no 20-dollar bill was more. It was reasonable to assume that could be the 20 dollar bill which is issued in the first polymer and is perhaps already in print. It is clear, should be not be issued until the end of 2011 if all polymer bank notes, or whether to start in late 2011 with the output. Let's wait.
« Last Edit: December 08, 2010, 11:27:16 pm by suretteda »
AZ
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« Reply #5 on: December 09, 2010, 12:01:04 am »

Well, I know where this news is coming from. It was actually me who suggested to Thomas Krause of www.polymernotes.de that $20 may be the first denomination issued in polymer. My reasoning was that (1) Unusually large numbers of twenties were issued in 2008 and 2009, perhaps in anticipation of the change, and (2) With the switch to polymer driven primarily by cost savings and not counterfeiting concerns, the first denomination to be converted may as well be then one that requires most notes. Of course, it's just a guess.
jmc
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« Reply #6 on: December 09, 2010, 11:36:55 am »

Good reasoning, we'll know next year. But for sure, this should save some money in the long run.
walktothewater
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« Reply #7 on: December 11, 2010, 05:51:38 pm »

Quote
that $20 may be the first denomination issued in polymer. My reasoning was that (1) Unusually large numbers of twenties were issued in 2008 and 2009, perhaps in anticipation of the change and (2) With the switch to polymer driven primarily by cost savings and not counterfeiting concerns, the first denomination to be converted may as well be then one that requires most notes

I find this logic difficult to follow.  If the BOC have issued "unusually large numbers of twenties" then wouldn't that lead one to assume the opposite- that they could last all that longer- and that the twenties would be the last denomination to be polymerized?  While the BOC may tout the cost savings- security is always an unspoken concern.  Not only that- but I believe they'd want whatever goes out to be done properly without any embarrassing glitches.

If history is any indicator, it was the $10 denomination of the "Journey" series to replace the $10 "Birds" in 2000.  This note was then again the first "upgraded" Journey in 2004 due to security flaws in it's original format.  That's when they finally got around to the twenty.

Both the tens and the fives seem to wear out quicker than the twenties.  I wouldn't be surprised to see the first polymers in those denominations.  The tens also seem to be the least common in circulation.   I'm sure the printers will have many pre-tests and trials- but when they do finally decide "Eureka! This is the one were going to start with!" I would put my money  ::)on first the fives and then the tens soon after.  But of course- all 3 could be slowly released as they see the need for them to be replaced.

Just my 2 cents- of course!  ::)

 

friedsquid
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« Reply #8 on: December 11, 2010, 06:13:15 pm »

Most of the Bank ATM's dispense $20 and $50 notes and at a few of the local high schools the machines only disperse $10 notes
From my personal experience in trying to put other polmer notes into a counting machine at home, at the bank, or into a number of ATM machines, they just cannot disperse them properly...
I would think that they would have to get these changes made to ensure smooth sailing regardless of what denomination is released first....
I wonder if they will be able to modify machines or have to create new ones to handle not only the polymer, but a combination of paper and polymer...
I assume that denominations will be released at different times as others seem to suspect, but it will be a very interesting time to see how things work out...I too would think that the $10 would be the first to appear..but what the heck do I know...



Always looking for #1 serial number notes in any denomination/any series
jmc
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« Reply #9 on: December 11, 2010, 11:28:36 pm »

...From my personal experience in trying to put other polmer notes into a counting machine at home, at the bank, or into a number of ATM machines, they just cannot disperse them properly...
I would think that they would have to get these changes made to ensure smooth sailing regardless of what denomination is released first....
I wonder if they will be able to modify machines or have to create new ones to handle not only the polymer, but a combination of paper and polymer...
That's a concern then... hope they get all the bugs out first.
suretteda
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« Reply #10 on: December 20, 2010, 10:00:28 am »

New Bills On The Way

Written by Chris Sumner
Sunday, 19 December 2010

Get ready to say goodbye to those old, crumpled, and sometimes ripped bills in your wallet or purse, because about a year from now the Bank of Canada will begin phasing them out. Senior Analyst Ginette Crew tells us late in 2011 new polymer bills will be phased in, with paper bills starting to be removed from circulation. The polymer notes will feel significantly different than today's paper bills, featuring a very smooth texture.

Crew says the polymer bills will further increase the security of the Canadian cash supply, and stay ahead of counterfeiters. She tells us by using polymer the Bank of Canada will  be able to put advanced security features into the bill, making them that much harder to counterfeit. Crew adds the polymer bills are more durable lasting two to three times longer than the current cotton based bills, meaning reduced costs because fewer bills will have to be manufactured during the lifetime of the series. On top of that there will be a positive impact on the environment, because fewer bills will have to be produced. Crew says other central banks are also going down the polymer path, most notably Australia and New Zealand.

Crew says the new polymer bills will be another step in deterring counterfeiting. The latest cotton-based series of bills to be released, called Canadian Journey, incorporated new security features right into the paper. For the first time ever, Canadian notes contained a ghost image (watermark), and a woven security thread that appeared as metallic dashes on the back of the notes. The other new and most visible security feature was a colour shifting metallic stripe.

So what about the well recognized, colourful nature of our money... will that be part of the new polymer series? Crew says it's still too early to talk about the design of the new bills seeing how their introduction is about a year away. With that said, she tells us the Bank of Canada does do a lot of research with stakeholders when designing new bills, and they feel they have a pretty good idea about what Canadians like about their bills.

Paper has served us well for a very long time. The Bank of Canada's notes have been printed on paper since its first series was issued in 1935. As continual improvements were made to security printing from one series to the next, the paper held up.

http://www.portageonline.com/index.php?option=com_content&task=view&id=20226&Itemid=468
docstrange
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« Reply #11 on: December 20, 2010, 11:40:52 am »

I hope the Canadian government releases a commemorative note as the Australian`s did when they first brought out their new polymer notes
« Last Edit: December 20, 2010, 12:03:07 pm by BWJM »
Dean
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« Reply #12 on: December 20, 2010, 05:17:35 pm »

For the first time ever, Canadian notes contained a ghost image (watermark)

Correct me if I'm wrong, but didn't the Dominion of Canada issue a watermarked $4 bill in 1882?

Dean

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« Reply #13 on: December 20, 2010, 11:24:27 pm »

Correct me if I'm wrong, but didn't the Dominion of Canada issue a watermarked $4 bill in 1882?

Dean
Yes your are correct. P.135 of the chalton Cat. says that the note was printed on watermarked paper.
suretteda
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« Reply #14 on: December 27, 2010, 12:07:05 am »

Plastic-based cash coming soon

TORONTO SUN - http://www.torontosun.com/news/torontoandgta/2010/12/26/16676671.html

A shop clerk’s traditional query, “Will that be cash or plastic?” takes on a whole new meaning next year.

Mostly secret plans to finally issue Canadian banknotes on plastic-based material are well under way.

But nine months after the federal budget announced new currency, Bank of Canada and Department of Finance staff remain tight-lipped about imagery and when the bills will be unveiled.

Officials even refused Toronto Sun requests to confirm or deny Queen Elizabeth’s image will make the cut. She’s on the $20 bill, but former prime ministers are on the other four.

Bank of Canada spokesman Julie Girard would only say “there will be certain legacy features,” cautiously suggesting “culture” and Canadian themes.

“It will be late 2011 that we’ll issue the notes,” she said recently.

The federal agency will retain two private Ottawa security printing firms to produce Canada’s folding money, but she wouldn’t reveal the source of the polymer-based material, since “we’re still in contractual negotiations.

“It’s two to three times more durable and lasts longer than current cotton-based notes,” Girard said. “There is definitely a cost savings.”

Such currency “is harder to counterfeit, but easier to verify,” she said.

Counterfeiters routinely adapt their forging methods with each new banknote series, which undermines the public’s confidence in Canada’s money when word spreads, Girard said.

“Security is the main reason we put out new notes. We go through a lot of testing,” she said. “We don’t produce new banknotes in months ... it takes years.”

Girard said 67,000 bogus bills worth $3.4 million were seized in 2009 — far less than in previous years, before the current currency which contained new security devices including watermarks and holographic metallic strips.

There are 1.5 billion banknotes worth $51 billion in circulation. The Bank of Canada annually releases about 300 million new notes through chartered banks, and withdraws about 250 million to be destroyed.

Girard said final costs remain unknown.

More than 50 countries have switched to plastic-based currency, printed on three types of material, including polymer-paper hybrids.

Almost two-thirds, however, are on Securency International Pty Ltd. polyethylene polymer, according to a leading website on banknote dealers. The 14-year-old firm was created by the Reserve Bank of Australia and a Belgium-based pharmaceutical company.

Australia’s first polymer currency was issued in 1988. Although criticized for shedding some engraved surfaces over time, they are widely accepted as longer-lasting, heat-resistant, creasable and untearable.

The current Aussie series has a see-through clear plastic portion with an imbedded holographic device.

Securency “has a factory in Mexico,” said Bret Evans, managing editor and associate publisher of Canadian Coin News. There have been reports that Canada’s new notes will be printed on material from the Mexican plant, “but it’s been speculation.”

Formed in 1933, two years before releasing its first currency in a smaller size than previous 1870-1920s Dominion of Canada notes, the Bank of Canada has produced a new series about every decade with upgraded security features aimed at thwarting counterfeiters.

Officials have deliberately not released details early, Girard said. “We want to be sure we don’t tip off counterfeiters.”

Sources said test runs were made on plastic-based material prior to the current notes being released from 2001 to 2004, but due to unacceptable results, they are printed on cotton-based paper.

Girard said talks continue with suppliers, scientists, chartered banks, vending machine companies, “stakeholders” being consulted about designs to ensure Canadians are comfortable with topics, plus printing firm staff. They include engravers who carve intricate main features on metal dies that produce a raised “feel” which forgeries lack.

Final costs for the new series and money-handling machinery have not been tallied, Girard said, adding there are “some tradeoffs” to produce more-secure currency.

She revealed the practice of a “staggered release” of new denominations will continue over time.

But unlike with the first Bank of Canada series in 1935 that featured the country’s only $25 bill, the new series will have “the same denominations,” Girard said.
 

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