The end of cash?

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Re: The end of cash?

Postby Screw » Sun Sep 17, 2017 12:07 am

The problem with hoarding money is that the currency is changed every few years. In NZ it is changed every 5 years and the old notes are completely withdrawn in 7 years. The purpose is exactly that: to stop hoarding.
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Re: The end of cash?

Postby Weasel » Sun Sep 17, 2017 3:24 am

Screw wrote:The problem with hoarding money is that the currency is changed every few years. In NZ it is changed every 5 years and the old notes are completely withdrawn in 7 years. The purpose is exactly that: to stop hoarding.


Interesting, wouldn't people just exchange the old hoard for the new hoard ? Hoarding is almost pointless anyways, as its going to sit there and lose value, is hoarding is a valid reason to physically change the currency every 5 years? The US has used the same old paper money since the beginning of time, and the only recent change to coins were issuing quarters with different designs on them each year. Still got pennies, still got $1 notes, occasionally a 50c "half dollar" or $1 coin turns up in change, but almost everything that accepts coins as payment don't accept these so people don't like them much.
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Re: The end of cash?

Postby aardvark_admin » Sun Sep 17, 2017 8:08 am

And this children, is why gold is so often used as a method of storing wealth. Mind you... who *owns* the gold? Check US history for some insight into that.
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Re: The end of cash?

Postby Jimmy » Sun Sep 17, 2017 7:02 pm

Screw wrote:The problem with hoarding money is that the currency is changed every few years. In NZ it is changed every 5 years and the old notes are completely withdrawn in 7 years. The purpose is exactly that: to stop hoarding.


Ummm.... No.

Old notes are withdrawn and replaced by the Reserve Bank on average every 5-7 years or so because they wear out. It has nothing to do with hoarding. Plus, why would they want to stop hoarding anyway as the Crown makes quite a lot of money on that (though Seigniorage).

They don't stop hoarding. Your hoard of twenty dollar notes from twenty years ago is still legal tender. The Reserve Bank will, as far as I'm aware, still swap no longer legal tender one and two dollar notes for new notes. Heck even if you come across a pile of pre-decimal currency it hasn't lost its value, the Reserve Bank will happily swap it for dollars at the pound/dollar conversion rate from when the change occurred.
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Re: The end of cash?

Postby Screw » Mon Sep 18, 2017 12:04 am

Ummm...no Jimbo. The Reserve changes the notes subtly every 5 years and do a major change every 15 years.

Try taking that hoard of twenties back to a bank and see what happens, you're in for a surprise.
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Re: The end of cash?

Postby Muscular Jam » Mon Sep 18, 2017 8:40 am

The Reserve Bank will always pay face value for currency that has been legally issued for use in New Zealand but has ceased to be legal tender (including pre-decimal currency). https://www.rbnz.govt.nz/notes-and-coin ... d-currency
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Re: The end of cash?

Postby hagfish » Mon Sep 18, 2017 9:14 am

Weasel wrote:
Screw wrote:The problem with hoarding money is that the currency is changed every few years. In NZ it is changed every 5 years and the old notes are completely withdrawn in 7 years. The purpose is exactly that: to stop hoarding.


Interesting, wouldn't people just exchange the old hoard for the new hoard ? Hoarding is almost pointless anyways, as its going to sit there and lose value, is hoarding is a valid reason to physically change the currency every 5 years? The US has used the same old paper money since the beginning of time, and the only recent change to coins were issuing quarters with different designs on them each year. Still got pennies, still got $1 notes, occasionally a 50c "half dollar" or $1 coin turns up in change, but almost everything that accepts coins as payment don't accept these so people don't like them much.

Apparently if you take a gold sovereign into a bank in the UK, they will happily exchange it for a shiny new £1 coin.
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Re: The end of cash?

Postby aardvark_admin » Mon Sep 18, 2017 9:19 am

hagfish wrote:Apparently if you take a gold sovereign into a bank in the UK, they will happily exchange it for a shiny new £1 coin.

What a deal... plus you probably get grilled by authorities for many hours as to exactly how you came into possession of such a coin. If you fail to disclose your links to terrorism and/or money laundering they will put you on a secret flight to an unnamed country for a little swim-training on your back with a wet towel over your face -- no? :lol:
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Re: The end of cash?

Postby Muscular Jam » Mon Sep 18, 2017 9:24 am

Screw wrote:Ummm...no Jimbo.
Screw, you and Jimmy have already had this discussion and perry has confirmed that Jimmy is right and you are wrong.
http://forums.aardvark.co.nz/viewtopic.php?f=2&t=1157&start=20#p11083
Why do you keep on repeating things that you know aren't true? Do you hope that constant repetition will make them so?
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