How to Check if Money Is Counterfeit?

Counterfeit money is fake currency. Unknowingly accepting or circulating it leads to financial losses for individuals and businesses, as its value is unrecoverable. Beyond individual impact, widespread counterfeiting can erode public trust in the financial system and contribute to economic instability. Understanding how to identify these imitations is a valuable skill for financial protection.

Key Security Features

Genuine U.S. currency incorporates several security features. The paper itself is a unique blend of 75% cotton and 25% linen, giving it a distinctive feel. It also contains tiny red and blue fibers embedded throughout, not merely printed on the surface.

Raised printing, or intaglio, is another feature. It creates a slightly textured feel on genuine bills, particularly noticeable on the portrait and borders. Counterfeiters often struggle to replicate this tactile quality, resulting in a flatter or smoother feel on fake notes.

Watermarks are faint images embedded within the paper. These are visible when the bill is held to light and depict the same historical figure as the portrait. The watermark should be on the right side of the bill and appear distinct.

Security threads are thin, embedded plastic strips running vertically through the bill. Each denomination has a thread in a different location and with unique microprinting, such as “USA” and the bill’s denomination. When exposed to ultraviolet (UV) light, these threads glow a specific color; for example, the $5 bill’s thread glows blue, the $10 orange, the $20 green, the $50 yellow, and the $100 pink.

Color-shifting ink is another security feature found on denominations $10 and higher. The numeral in the lower right corner and, on the $100 note, a bell in an inkwell, change color when the bill is tilted. This shift occurs from copper to green.

Microprinting involves tiny, almost illegible text found in various locations on bills $5 and higher. This text should appear sharp and clear, not blurry, even under magnification. U.S. currency features fine-line printing patterns that are difficult for standard printers to replicate.

Methods for Detection

To determine if a bill is authentic, begin with a touch test. Run your fingers across the bill, particularly over the portrait and main text. You should feel a slight roughness or raised texture from the intaglio printing process, which is an indicator.

Next, visually inspect the bill by holding it up to a light source. Look for the embedded watermark in the blank space to the right of the portrait. Simultaneously, locate the security thread running vertically through the bill; it should be visible and contain microprinting.

Then, tilt the bill to observe the color-shifting ink. For denominations $10 and higher, the numeral in the lower right-hand corner should change color from copper to green. On the $100 bill, the bell in an inkwell also exhibits this color-shifting property.

For inspection, use a magnifying glass to examine areas with microprinting. The tiny text should be clear and sharp, not smudged or broken. Scrutinize the fine lines in the borders and around the portraits; genuine bills will have crisp, unbroken lines and detailed images.

Use a UV (black) light to verify the security thread’s glow. Each denomination’s thread glows a specific color. If the thread does not glow the correct color or if the bill appears uniformly bright under UV light, it may be counterfeit.

Counterfeit detector pens are available, but they have significant limitations. These pens react to starch, which is present in most standard wood-based papers but not in genuine U.S. currency paper. While a dark mark indicates starch and thus a likely counterfeit, sophisticated counterfeiters may use bleached genuine paper or apply coatings to bypass these pens, leading to false negatives.

Reporting Suspected Counterfeit Currency

If you encounter a bill you suspect is counterfeit, handle it carefully. Do not attempt to return the bill, as knowingly passing counterfeit currency is illegal and can lead to severe penalties, including fines and imprisonment.

Minimize physical handling of the suspected counterfeit note to preserve evidence. Place the bill in an envelope or a plastic bag to protect it. This ensures law enforcement can properly examine the note.

Try to recall or write down any relevant details about how and from whom you received the bill. This includes the date, time, location, and a description of the individual who passed the note. Such information can be valuable for investigators.

Contact your local police department or the nearest U.S. Secret Service field office to report the suspected counterfeit currency. The Secret Service is the primary federal agency responsible for investigating counterfeiting. Individuals report to local police, who then forward the currency to the Secret Service.

Be aware that if a bill is confirmed as counterfeit, you will not be reimbursed for its value. The financial loss falls on the individual or business that accepted the fake currency. This policy underscores the importance of vigilance in checking money received.