Abstract: The present invention is directed to a spring coiling machine, a chuck or tool holder for a coiling machine, and a method of operating a coiling machine, which, in their broadest aspects, utilize two vertically spaced apart arbors of different construction. The first is a stationary form arbor and the second is a lower, retractable cutting arbor. The form arbor is continuously employed to produce the desired radius of curvature, or turn diameter in conjunction with the coiling point, whereas the cutting arbor is normally in a retracted position and is extended into its deployed or cutting mandrel position, only when the coil has been fully formed and it is to be severed. The reciprocating motion of the cutting arbor is preferably effectuated by utilizing the conventional cam controlled features of the machine that are normally used to control the pitch tool.