WASHINGTON - A banking industry representative blasted the proposed dollar coin on Thursday, telling a Senate panel it would be costly and inconvenient for consumers, as well as retailers and banks.

"Surveys and common sense show that the average person doesn't want to carry around a large number of $1 coins," said Tommy E. Looper, executive vice president and chief financial officer for the Anchor Bank in Myrtle Beach, S.C.

"Even coin proponents acknowledge that most people would be compelled to choose the historically unpopular $2 bill as a replacement," he added.

Mr. Looper represented the American Bankers Association in his testimony before the Senate Banking Committee.

The South Carolina banker told the Senate committee that if the coin is approved, the nation's community banks might have to spend as much as $80 million to replace coin-sorting and other equipment.

However, the ABA said that if Congress decides to go ahead with legislation, it should ensure that sufficient quantities of both the dollar coin and the $2 bill are produced.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.