It’s an unsettling thought: counterfeit money is circulating, and it’s becoming increasingly sophisticated. The U.S. Department of Treasury estimates that around $70 million in fake bills are in circulation, highlighting a problem that affects everyone, not just financial institutions. Knowing how to identify counterfeit currency is crucial for protecting yourself from financial loss and legal trouble. Attempting to use fake money, even unknowingly, can lead to serious penalties, including hefty fines and imprisonment. This is a growing concern, as evidenced by recent reports from Wisconsin where businesses have seen a rise in counterfeit bills. These incidents, involving denominations from $5 to $100, underscore the importance of vigilance for both businesses and individuals. Some fake bills are crudely made, even marked with disclaimers like “Motion Picture Use Only,” but others are more deceptive, mimicking security features to a worrying degree. This guide, drawing on expert advice, will equip you with the knowledge to confidently answer the question: How Can You Tell If Money Is Counterfeit?
Key Security Features to Check
While banks employ sophisticated technology to detect fake currency, you too can become adept at spotting counterfeits by understanding and checking key security features embedded in genuine banknotes. Here’s what to look for:
Color-Shifting Ink
One of the easiest checks involves color-shifting ink. For all genuine U.S. bills of $5 denomination and higher produced after 1996, the ink should change color when viewed at different angles. Typically, this feature is found in the numeral in the lower right corner of the bill’s face. Tilt the bill back and forth; the color should shift between green and copper, or copper and green, depending on the specific denomination and series. If the color remains static, it’s a significant red flag.
Raised Printing
Genuine banknotes are printed using a process called intaglio, which results in raised printing. To feel for this, gently run your fingernail across the surface of the bill, particularly over areas like the shoulders and face of the portrait. You should be able to feel distinct ridges. Counterfeiters often struggle to replicate this raised texture, as they typically use standard printing methods. A bill that feels completely smooth and flat is suspect.
Microprinting and Clear Borders
High-quality, detailed printing is a hallmark of authentic currency. Examine the bill closely, paying attention to borders, portraits, and any small text. Genuine U.S. bills feature microprinting, which is extremely fine text that may appear as a line to the naked eye but is readable under magnification. The borders and lines should be clear, sharp, and unbroken. Look for any blurring, smudging, or indistinct printing. Counterfeit bills often lack this level of detail, resulting in fuzzy lines and illegible microtext, even to the naked eye in some cases.
Security Threads
Security threads are another critical feature. These are thin, embedded strips that run vertically through the banknote. Hold the bill up to a light source to inspect for this thread. On genuine bills, the security thread is not printed on but is woven into the paper itself. Each denomination has a unique thread position and inscription. For example, a $20 bill will have a thread inscribed with “USA TWENTY” and should glow green under UV light. The inscription should correspond to the bill’s denomination. If the thread is missing, printed on the surface, or the inscription is incorrect, the bill is likely fake.
Watermarks
Watermarks are subtle images embedded in the paper that are visible when held up to the light. Newer U.S. banknotes feature a watermark portrait that mirrors the larger portrait on the bill’s face. Older bills might have a simpler, less defined watermark. Check that the watermark is present, is not printed on, and that the watermark portrait matches the face on the bill. If there’s no watermark, or if it’s poorly defined or doesn’t match, it’s a strong indicator of a counterfeit.
Security Ribbon (for New $100 Bills)
The redesigned $100 bill incorporates an advanced security feature: the security ribbon. This is a blue, 3-D ribbon woven into the bill, not printed on it. Within this ribbon are images of bells and 100s that appear to move and shift from side to side as you tilt the bill. This sophisticated feature is very difficult for counterfeiters to replicate. If a new-style $100 bill lacks this dynamic security ribbon, or if the ribbon appears to be a flat image, it’s almost certainly counterfeit.
What to Do If You Suspect Counterfeit Money
Receiving a suspected counterfeit bill can be stressful, but acting correctly is important both for yourself and for law enforcement efforts. Here’s a step-by-step guide:
Remember Details
If possible, make mental notes about the person who gave you the bill. This includes their physical description, any distinguishing features, clothing, and if you recall, any vehicle information. Note the circumstances of the transaction – where and when it happened, and what was purchased. This information, even if seemingly minor, can be valuable for investigators.
Handle Carefully
Minimize handling of the suspect bill. Like any potential piece of evidence, it’s best to preserve it as much as possible. Place the bill in an envelope or plastic bag to protect it. This helps preserve any potential fingerprints or DNA that could be useful in tracing the counterfeit bill back to its source.
Get it Checked
The most crucial step is to have the bill verified by experts. Take the suspected counterfeit bill to your local bank, credit union, or police department. These institutions have trained personnel and the necessary tools to properly evaluate currency. They can confirm whether the bill is genuine or counterfeit. If it is indeed fake, they will confiscate it and report it to the U.S. Secret Service, the federal agency responsible for investigating counterfeiting. Remember, knowingly passing counterfeit money is illegal, but simply receiving one and reporting it is the responsible action to take.
By understanding these security features and knowing what steps to take if you encounter a suspicious bill, you can protect yourself from counterfeit currency and contribute to combating this financial crime. Vigilance and informed awareness are your best defenses against fake money.
