Mutilated currency is a term used by the United States Bureau of Engraving and Printing to describe currency which is damaged to the point where it is difficult to determine the value of the currency, or where it is not clear that at least half of the note is present.
A currency note is mutilated when its original size of the note has been reduced / lost through wear and tear or otherwise torn, damaged, defaced, burnt, decomposed, shredded, contaminated, or perforated etc., through various actions. The condition of these notes requires special examination to determine its value.
A note which gets dirty over time and is torn is called a soiled note and when the note is split into more than two pieces or is torn is called a mutilated note. Soiled and mutilated notes can be exchanged with new notes by the bank.
The good news is these scarred notes aren't worthless. In fact, the Reserve Bank of Australia (RBA) happily takes damaged cash and reimburses you for your trouble.
Shops are not obliged by law to accept banknotes that are damaged, especially as some forms of damage may arouse suspicion over whether the note is genuine.
The Reserve Bank provides a Damaged Banknotes Facility for eligible holders of incomplete or badly damaged/contaminated Australian banknotes making a legitimate claim, with the aim of ensuring that the public has confidence in Australian banknotes as a means of payment and a secure store of wealth.
As said, you send whatever remains of the note you have off to the Department of Mutilated Notes with a form. They judge whether your claim is genuine, and usually transfer the face value of the note directly into your bank account.
A bill that is 51% intact is still legal tender and must be accepted at its full face value. If it's precisely ripped in half, you have a problem, but you can send both halves to the Bureau of Engraving and Printing and they will replace it with a new bill.
Criteria for Exchange of Damaged Banknotes
The Bank replaces damaged banknotes, including those torn or burnt, with new banknotes, according to the proportion of the part of the original banknote remaining, provided that both front and reverse sides of the banknote are maintained.
The cut in such notes, should, however, not have passed through the number panels. All these notes can be exchanged at the counters of any public sector bank branch, any currency chest branch of a private sector bank or any Issue Office of the Reserve Bank of India. There is no need to fill any form for doing this.
A mutilated note is a note of which a portion is missing or a note which is composed of pieces, provided that the note presented is not less than half of the area of the note and that, if the note is composed of a note joined together, each piece is, in the opinion of the 'Prescribed Officer' [as defined in the RBI ( ...
A defective, mutilated or soiled bank note which is slightly cut or stained or of which the essential portions are missing, or notes in the denomination of Rs 10 and above in two pieces can be exchanged without filling any form at any public sector bank (PSB) branch, any currency chest branch of a private sector bank ...
This week I'm explaining what's legal when it comes to notes. What should I do if I have a damaged note? If the damage to the note consists of wear, tears, sticky tape or staples, marks or defacement and the note is complete, it can continue to be used. The damage has no impact on the value of the note.
Currency Procedures
Under regulations issued by the Department of the Treasury, mutilated United States currency may be exchanged at face value if: More than 50% of a note identifiable as United States currency is present.
Currency that is contaminated, but not mutilated, should be sent to the servicing Federal Reserve Bank using Contaminated Currency Depositing procedures. However, any currency that is both contaminated and mutilated should be sent to the BEP's Mutilated Currency Division.
You can use your cash as is if a corner is missing. If it's ripped into two pieces, tape them back together and take the bill to a bank, where they will make sure the serial numbers on both sides of the note match and give you a new one.
Many stores and merchants will not take torn or drawn-on bills, and even vending machines struggle to take heavily wrinkled ones. The good news is that even if a bill is torn in half, you can tape them together and exchange them at a Federal Reserve bank for fresh notes, as long as the serial numbers match.
You can apply to the Central Bank of Ireland to exchange old or damaged money. Through this service, you can exchange: IR£ pounds: Old or damaged Irish banknotes and coins. € euro: Damaged euro banknotes and coins.
In most cases the banks will only reimburse you with the face value of a damaged banknote if you still have at least half of the banknote.
In addition to the MNB, credit institutions and post offices are also required to exchange forint banknotes and coins that are difficult to identify or damaged (incomplete, torn, contaminated banknotes or coins or notes mended with glue) to forint banknotes or coins fit for circulation of the same denomination or ...
Mutilated banknote is a banknote, of which a portion is missing or which is composed of more than two pieces. Extremely brittle, burnt, charred, stuck up Notes Notes which have turned extremely brittle or are badly burnt, charred or inseparably stuck up together and, therefore, cannot withstand normal handling.
The government does not replace your money with a genuine bill during an investigation, so your primary options to recoup losses are insurance policies. If you do not have an insurance policy that covers the receipt of fake dollars, your business must absorb the loss.
"Some shops take a torn Dh20 banknote for Dh19," said the banker. Banks generally accepts such notes from individuals or companies provided the person or the company has an account with the bank. "Banks usually accept spoiled or torn banknotes from their own customers," said the branch manger of Sharjah Islamic Bank.
The South African Reserve Bank will not consider payment for any mutilated banknotes that originate from criminal activities or those that have been deliberately mutilated. A mutilated banknote with two-thirds or more of the original note remaining may be paid at full value.