Is Coinstar a scam? You might have used one of the kiosks in your local supermarket to cash in your change. But is it free?
TikTok movie fan The Greek Geek (@great_greek_film_freek) decided to perform an experiment with one of the coin machines. He filmed the results and posted them to his account on Saturday.
So far the video has an impressive 998,100 views and seems on its way to hitting over a million.
Put a penny in. Get nothing back
The customer doesn’t hold back in his video’s caption.
“Legit, the Coinstar is the biggest fucking scam ever to be conceived by Mankind,” he writes.
“You ever wondered [what would happen] if you just put a penny in the Coinstar?” he asks at the opening of the video.
He pans his camera to the kiosk’s screen, which outlays the terms of use. It reads, “Coin Counting Fee: $0.99 plus 12.9% of total value of coins counted.”
Despite that, the TikToker deposits his penny. When the screen indicates the $0.01 transaction, he presses the “I’m done” button on the touch screen.
The kiosk prints a receipt, which the TikToker takes. Unsurprisingly, it indicates a net zero transaction, as the penny doesn’t even cover the stated transaction fee.
“It just ate my penny,” he exclaims. So was Coinstar a scam?
Coinstar’s TOS and fees. Do they scam you?
Coinstar’s lengthy online Terms of Service do not state a standard fee for their kiosks’ use. However, it does state that they do not guarantee “coin counting accuracy.”
“Coinstar kiosks are designed and maintained with the goal of achieving a high degree of accuracy in counting coins. However, Coinstar does not guarantee that your coins will be counted with perfect accuracy,” the Terms of Service state.
Elsewhere on its website, the company states, “A service fee up to 12.9% + $0.99 transaction fee may apply. Fees may vary by location.”
Whether you think the fee is high, Coinstar is not a scam in as much it tells people what to expect as far as fees.
Update: A representative for Coinstar told the Daily Dot the following in a statement:
“Generally speaking, we would never recommend users insert a single penny into a Coinstar machine.
Coinstar is a trusted option for consumers wanting to turn unused coins into a cash-payout or digital currency, whether it’s in the form of a gift card, charitable donation, or cryptocurrency, and there are operational fees associated with using our services that vary based on your purchase method and transaction type. Our customers tell us that they value the convenience and ease in using Coinstar machines, and we’re always looking for ways to meet the needs of cash-preferred and cash-dependent consumers.“
Can you get around the fees?
There is one way to get around Coinstar’s fees, however. Gift Cards.
As long as your coins reach a certain amount, you can request that you receive a gift card for the full amount of coins counted.
Amazon, Apple, Lowe’s, and even Southwest Airlines all offer gift cards through Coinstar.
“One of the most attractive options Coinstar offers is the ability to turn your coins into an eGift Card without incurring any service fee,” states Greenlight.com.
Users can receive “money through an eGift Card with a 0% fee. Coinstar boasts partnerships with over 20 stores and restaurants, though it’s worth noting that the availability of eGift Card brands may vary by location.”
@great_greek_film_freek Legit the Coinstar is the biggest fucking scam ever to be conceived by Mankind
♬ L.Boccherini, Minuet from String Quartet No.5 in F major – AllMusicGallery
Viewers weigh in
In response to the TikToker’s transaction, Tyler999 (@tyler99959) wrote, “They were just like… ok thanks.”
One viewer said the transaction was actionable, writing, “12.9% of 1¢ is not 99¢. That’s false advertising. That’s a lawsuit.”
And some suggested another method of getting full value out of your coins: using them at self-checkout.
“Just use all the change at the self check out…that’s what I do,” one wrote.
Another added, “Yall use your change at self-checkout! Anytime I have loose change I always bring it with me and use it at self-checkout then if it doesn’t cover the full amount I use my card.”
The Daily Dot reached out to the Greek Geek via TikTok comment and message for a statement.
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