Legal tender: using commemorative coins to pay off debt
<p>This question is somewhat related to: <a href="https://law.stackexchange.com/questions/38831/paying-debts-in-cash-in-a-petty-way">Paying debts in cash in a petty way</a></p>
<p>The Royal Mint issues commemorative coins. For example, they issued £20 coins (made out of silver) but usually shops and banks don't accept them. They are legal tender, however.</p>
<p>If I was sued and had to pay a debt to someone in court, could I use my commemorative coins to pay off part of the debt?</p>
<p>The <a href="https://www.royalmint.com/aboutus/policies-and-guidelines/legal-tender-guidelines/" rel="noreferrer">Royal Mint website</a> says this:</p>
<blockquote>
<p>Legal tender has a very narrow and technical meaning in the settlement of debts. It means that a debtor cannot successfully be sued for non-payment if he pays into court in legal tender. It does not mean that any ordinary transaction has to take place in legal tender or only within the amount denominated by the legislation. Both parties are free to agree to accept any form of payment whether legal tender or otherwise according to their wishes. In order to comply with the very strict rules governing an actual legal tender it is necessary, for example, actually to offer the exact amount due because no change can be demanded.</p>
</blockquote>

<p><strong>If I was sued and had to pay a debt to someone in court, could I use my commemorative coins to pay off part of the debt?</strong></p>
<p><strong>Yes</strong>, in to a court.</p>
<p>As per your quoted section from the Royal Mint's <a href="https://www.royalmint.com/aboutus/policies-and-guidelines/legal-tender-guidelines/" rel="noreferrer">Legal Tender Guidelines</a>:</p>
<blockquote>
<p>... a debtor cannot successfully be sued for non-payment if he pays into court in legal tender.</p>
</blockquote>
<p>And further down it says:</p>
<blockquote>
<p>We receive a lot of enquiries about our popular silver commemorative coins (including £5 crowns, £20, £50 and £100 coins) and their legal tender status. Each issue is authorised by Royal Proclamation in accordance with the requirements laid down by the Coinage Act 1971. This means that in common with coins in general circulation <strong>these coins have legal tender status.</strong> [<em>my emphasis</em>]</p>
</blockquote>

united-kingdom rules-of-court debt legal-tender