To bolster the security of the monetary system, the Bureau of Engraving, the Secret Service, and the Advanced Counterfeit Deterrence (ACD) Steering Committee have implemented an initiative to stop U.S. retailers, banks, and ATMs from accepting specific banknotes.
Reports indicate that the dollar bills set to be rejected include those classified as “mutilated” — with cuts, damaged edges, or discoloration. This policy applies to stores and supermarkets such as Target, Walmart, Dollar Tree, Costco, and others.
Currently, the Federal Reserve issues dollar bills in seven denominations: $1, $2, $5, $10, $20, $50, and $100. While $500, $1,000, and $10,000 bills are no longer produced, they remain in circulation.
However, these high-denomination notes can be rejected if they meet the “mutilated” criteria, just like any other bill.
Banknotes typically become mutilated due to factors like “fire, misuse, or even deterioration from burying money,” according to the Federal Reserve. Bills with cuts, damaged edges, or discoloration fall into this category.
If you possess mutilated bills, you’ll need to contact the Bureau of Engraving and Printing. Filing a mutilated currency claim is required. The Bureau provides a step-by-step guide for redeeming such currency.
Alongside these new security measures, the Federal Reserve plans to release updated designs for the $5, $20, $50, and $100 bills in the coming years. The updated $50 bill will debut in 2028, the $20 bill in 2030, the $5 bill between 2032 and 2035, and the $100 bill between 2034 and 2038.
LIKE SHARE SAVE