An Introduction to Telephone Tokens

with a flavor of Canada

(An article as it appeared in The Canadian Numismatic Journal, September, 1995)

By Robert Gilbert

Introduction

A fairly recent craze sweeping the numismatic scene is the collecting of telephone cards. Most of you are probably familiar with these credit card sized instruments used to pay for telephone calls at public pay phones. Technology has enabled phone companies around the world to deploy coin-less phones in which pre-paid debt cards are used to pay for telephone calls. Given that the small magnetic stripe or microchip on which is encoded the card's value is limited to a small fraction of the card's size, a lot of room is available for displaying any topical design that can be thought up. This has lead to literally thousands of different cards which can be collected. And collected they sure are.

In this article I'd like to discuss a numismatic area which is related to telephone cards; but one that has a longer history. This is the area of telephone tokens: non-currency tokens issued specifically for use with public pay telephones.

It is my hope that in providing an introduction to this field of numismatics that I will generate interest in an area that I've found fulfilling for several years. Telephone tokens offer both the challenge of the hunt for rare or undiscovered issues as well as the opportunity to perform numismatic research.

Telephone Tokens and Their Uses

The first pay telephone was installed in a Hartford, Connecticut bank in 1889. William Gray invented the pay telephone in the 1880's after having a difficult time convincing a local factory to let him use their telephone to call a doctor for his sick wife: few people or businesses could afford their own telephone in those days. Today, public pay telephones are virtually everywhere and continue to evolve with increasing sophistication

Telephone tokens have been used in many countries from the early 1900's to present day for a variety of reasons as will be discussed shortly. Over the years many businesses, both telephone companies and others, have issued or used telephone tokens. Although telephone cards are fast becoming the hi-tech solution, tokens are still used in some countries today (e.g., Italy and Brazil).

One of the earliest uses of telephone tokens was for making payment at attended pay stations. Attended pay stations were staffed offices where customers could make phone calls and then pay for the calls placed. Since the earliest pay phones had no coin slots, payment would be made to the attendant. Although it is not completely understood why tokens were used at attended pay stations, it is assumed that tokens facilitated payment in some manner.

Telephone tokens were also produced for deposit directly into the pay phone. The uses of these tokens can be classified into three main categories: to prevent the use of slugs, to substitute for local currency, and for official company use.

Security has always been a concern for any public device that requires the user to deposit money. Pay telephones are no exception. People have used anything from lower valued foreign currency to metal washers to cheat the machine. To combat those trying to cheat, security tokens have been used in telephones. The basic concept is that the pay phone had a coin slot, or some special device attached to the coin slot, which accepted only those tokens with the matching groove, punch or slot design. Thus, neither foreign currency, blank metal planchets nor washers would work. Only the appropriate security tokens could be used.

Probably the greatest example of security tokens were those manufactured by Harry Goetz, a Chicago druggist who became owner of the Yale Slot and Slug Company. From 1907 to 1944, Goetz tokens were used in abundance in the Chicago area; with 78 different patterns having been designed (see figure 1).

Examples of Goetz Telephone Tokens
Figure 1

It wasn't until April of 1944 when the use of these tokens became illegal and all of the security devices were removed. Counting the different legends found on these tokens, there are well over 200 different varieties of Goetz tokens for one to collect. And more are being uncovered as collectors start to make detailed study of these tokens.

Italian Gettone Telefonico Telephone Token
Figure 2

Another reason for the use of telephone tokens stems from the limited supply of local currency or the continual devaluation of a currency due to inflation. Lets say the price of a phone call goes up 50% in one year due to inflation. Instead of having to retool all of the pay telephones to accept a different sized coin, you can design a pay telephone to accept a special token and simply increase the price of the token as required by inflation. Or perhaps the particular denomination of coin required for a phone call is in short supply due to political or economic situations. Special tokens can be manufactured for use only in pay telephones. This was the case in Italy which led to the use of the Gettones Telefonico in the 1960's. These 24mm, bronze tokens are still used today and bear the month, year and mintmark of where they were manufactured (figure 2).

A third classification of telephone tokens are those used by special segments of the population: both those in the telecommunications industry and those in other industries. For example, telephone employees would be issued tokens to use in the field when they had to test a public pay telephone. Or a token could be issued to an employee of some other utility company, fire or police, or some private company to use when they had to make a phone call back to the home office. Rather then currency, which could be spent in any manner, the employee would be given a token which could only be used to make a phone call. Many tokens of this type bear the company's name and wording such as "test" or "employee slug".

The Telephone Tokens of Canada

To date, only two telephone tokens of Canadian origin are known to exist. A third token, although not of Canadian origin, is believed to have been used in the Yukon Territory.

The first is the Victoria & Esquimalt Telephone Co. Ltd. token. According to a B.C. Telephone Company internal document entitled "Historical Record" by Tony Farr, around 1902 the Victoria & Esquimalt Telephone Co. wanted to start installing pay telephones in their offices and other public places around Victoria. This would make it more convenient for their customers to make calls without having to ask the use of a private phone.

Up to that time, attended pay stations were the only means of making a phone call outside one's home or office. Pay telephones would eliminate the need to deal with an attendant and allow public phones to be placed in various local establishments.

Vic. & Esq’t. Telephone Co. Ltd. Telephone Token
Figure 3

To create pay phones, the telephone company had to attach coin boxes to their telephones. However, the coin boxes obtained by the telephone company at that time were designed to accept coins the size of the US nickel (21.2mm). The Western Electric type 7A coin box, in which coins were deposited, could not be altered to accept the smaller Canadian 5¢ piece (15.5mm). Hence, a metal token (Copper-Nickel) was locally manufactured in the same dimensions as the US nickel for use in the pay phones (see Figure 3).

These tokens were sold to the public for use in the pay phones. They were sold by the merchants in whose establishments the pay phones were installed. As most numismatists are aware, it wasn't until 1922 when the Canadian 5¢ was redesigned to its current diameter of 21.2mm

L.H. Moise (uniface) Telephone Token
Figure 4

A situation similar to that which lead to the Victoria & Esquimalt token is believed to have existed in the city of Dawson, YT around 1900. As Ralph R. Burry describes in his article in The Canadian Token (Volume 16, Number 1, January 1987) of the Canadian Association of Token Collectors, the Yukon Telephone Syndicate, Ltd. obtained their telephone equipment from the United States. Again, there was a need for a coin or token the size of the US 5¢ for use in these US phones. Instead of creating special tokens for use in Dawson, stock 21mm brass tokens from the L.H. Moise Company of San Francisco, California seem to have been used (see Figure 4).

L.H. Moise was a manufacturer of many tokens including those for use in telephones. A few of these tokens have been found in the money boxes of old Yukon Telephone Syndicate Company phones: leading to the belief that they were obtained specifically for use in Dawson pay phones. These tokens are uniface and appear in the design of store cards, providing the manufacturers name and address.

Very little is known about the other Canadian telephone token. In fact, there is no real proof that it is a telephone token. It is believed to be from Prince Rupert, BC. However, there are other possibilities for its origin: for example the token may be from Powell River, BC.

The token is 21mm, bears an obverse wording of "P/TELEPHONE/R", a reverse legend of "Good For/5¢/ In Trade", and is made of Copper-Nickel (see figure 5).

"P R" Telephone Token
Figure 5

The "P R" lettering and the fact that it has been found in British Columbia leads one to the possible origins mentioned above. The word "Telephone" suggests that it was used for paying for a telephone call. To me, the odd thing is that most telephone tokens use wording like "good for one call" or "one switch"; they do not indicate a value in trade. Hence, the use and origin of this token is still undetermined in my mind. Obviously, if anyone has information about this token, please contact the author.

Why Collect Telephone Tokens?

Why collect telephone tokens? Any answer to this question must include aspects of why one collects tokens of any sort. There are some key reasons why collectors are drawn to this area of numismatics; usually these turn out to be cost and grading.

Many are familiar with the hair-splitting grading that occurs in the world of high grade currency coins. In token collecting grade is less important. Note that I did not say "not important". But, for most collectors of telephone tokens that I know, the condition of a token is measured in rough terms of uncirculated, circulated grades (AU, XF, etc.) , and whether the item has been cleaned, corroded or dug.

In general, tokens are not as expensive as coins. The same is true for telephone tokens: an average Goetz type token runs $1.00 to $3.00, many other telephone tokens are under $10.00, rare tokens are $50 to $100 and the occasional ultra rare piece may require an outlay of over $100. Often telephone tokens can be found in dealer junk boxes for under $1.00. I'm quoting $US prices.

To me, the most important aspect of collecting tokens is for "the hunt". The hunt for a needed item, the hunt to find new (unknown or not catalogued) tokens, the hunt for information about why, when, where a token was issued. To me, its the hunt that offers the biggest allure to telephone tokens.

There's also a vast amount of research that needs to be done. There is no greater satisfaction then to find a piece that is new to you, perform some research and correspondence with other collectors and end up with a new discovery and its history. Telephone tokens offer this and much more. Give them a try.

Reference Material

There are several printed sources of information on telephone tokens. A couple of books specifically on telephone tokens are described here. Other books by active telephone token collectors are in the works and I would expect to see them published in the next few years. Until then, I suggest the following:

A Catalog of Telephone and Telegraph Tokens of the World by Henk A. Groenendijk, published in January, 1989. This is the latest and the most complete reference to cover telephone tokens of the world; although not totally accurate and with many omissions. It contains descriptions of tokens which are listed by country. This book essentially replaces the earlier work of Paul Targonsky entitled A Catalog of Telephone Tokens of the World.

Slotted, Grooved & Punched - Handbook of U.S. Security Telephone Tokens by Frank A. Earl, published in 1979. This is a detailed work on the Goetz type tokens mentioned earlier in this article. It provides a tool for identifying and cataloguing the various types and varieties of these tokens. Bill Weber has continued and updated Earl's work with his article in the February, 1994 issue of the TAMS Journal (of the Token And Medal Society). I'd like to take this opportunity to thank Bill for his helpful comments on drafts of this article.

Other resources, too numerous to list here, are the various regional token books (e.g., tokens of a country, state, or province). There have also been several articles written over the years in various journals, again too numerous to list.

The most valuable resource is your fellow collectors. Corresponding with other collectors, sharing experiences and ideas is an invaluable source of information. And, one of the most enjoyable aspect of our hobby.

Anyone interested on corresponding with the author can contact him at P.O. Box 299, Liberty Corner, NJ USA 07938

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