It’s the ATM coin trick that an increasing number of young Australians are using to create profits out of thin air – but not everyone is caught up in the magic of the new ‘coin noodling’ craze.

The practice involves depositing notes in a coin change machine and sorting through the stacks of coin rolls that are spat back out, carefully examining the front and back of each coin in search of rare and valuable pieces.

Whatever low mintage, variation, commemorative and error coins the noodler is able to unearth are then sold online to collectors for a profit. The hundreds of rejects are then returned to the bank and the ‘gold mining’ process starts again.

One coin enthusiast from the Gold Coast said he had “caught the noodling bug” and described the practice as a “zero risk investment”.

In one of his videos, about $1400 worth of notes is fed into the machine, with the man then collecting dozens of rolls of gold coins, taking them home and beginning the “treasure hunt”.

At the end of the process, the man had 70-odd coins worth more than their face value, stating: “I expect that I’m going to get a 10% return on investment, which I’m very happy with.”

While some bank customers and business owners have slammed the side hustle – suggesting it has left machines devoid of coins for other users and could see the service shut down for everyone – others have defended those who are willing to put in the time and effort.

Coin noodlers typically dig up ‘finds’ with relatively modest returns, but if you’re fortunate enough to pull a rabbit out of the hat, you may find yourself with a coin worth vastly more.

Earlier this year, for instance, it was reported that a 20c coin with a wavy baseline on the bottom of the ‘2’ – the result of a minting error back in 1966 – could sell for as high as $4000 at auction.

Similarly, a $1 coin with a double rim around the Queen’s head – a technical error by the Royal Australian Mint in Canberra in 2000 – could fetch anywhere from $300 to $4000.

If coin noodling is for you, happy hunting. If, however, you’re more interested in larger investment opportunities, click here to be kept in the loop on Reach Markets’ deal flow.

Sources:

• news.com.au, Teenager cops hate online after trying to get free money
• youtube.com, Gold Coast Picker
• dailymail.co.uk, Banks are furious over new ATM trend young Aussies are using to make ‘thousands’ of dollars with little effort and zero risk : ‘We are the new-age treasure hunters’