How to Check If Money Is Fake and What to Do Next

Counterfeit currency poses a significant threat to financial stability and individual transactions. Understanding how to identify genuine banknotes is important for protecting yourself from financial loss.

Examining Key Security Features

Genuine U.S. currency possesses a distinct feel that differentiates it from ordinary paper. Authentic bills are printed on a unique blend of cotton and linen, giving them a crisp, slightly textured, and durable quality.

Many parts of a genuine banknote feature raised printing, which creates a tactile experience. You can often feel this raised ink by lightly running your finger or fingernail over areas like the portrait, the numerical denomination, or the Federal Reserve and Treasury seals. This tactile element is difficult for counterfeiters to replicate precisely.

Color-shifting ink is another security feature found on several denominations, particularly on the lower right-hand corner numeral on newer bills. When you tilt the bill, the color of this numeral should visibly shift. For example, on a $100 bill, the numeral “100” and the bell inside the inkwell will change from copper to green.

Holding a bill up to a light source reveals a faint, embedded watermark image, which is a replica of the portrait on the bill. This watermark is an integral part of the paper itself, not merely printed on the surface. The image should be clearly visible from both sides of the bill.

Each denomination also contains an embedded security thread that runs vertically through the paper. When held up to light, this thread becomes visible, displaying text that indicates the denomination (e.g., “USA 100” for a $100 bill).

Microprinting, tiny text that appears as a solid line to the naked eye, is another detailed security feature. This minute text is usually found in areas like the borders of the portrait or within the security thread itself. Upon close inspection with a magnifying glass, the microprinting should be sharp and legible.

Utilizing Verification Tools and Techniques

Beyond basic visual and tactile inspections, certain tools and techniques can aid in verifying currency authenticity.

Using a UV light, also known as a black light, reveals specific security threads that glow in distinct colors for different denominations. For instance, the thread in a $5 bill glows blue, a $10 bill glows orange, a $20 bill glows green, a $50 bill glows yellow, and a $100 bill glows pink.

Counterfeit detector pens offer a quick initial check, reacting to the starch present in common paper used by counterfeiters. When used on genuine currency, the ink from these pens typically leaves a clear or light amber mark. If the mark turns dark brown or black, it indicates the presence of starch and suggests the bill is likely counterfeit.

Genuine U.S. currency paper is embedded with tiny red and blue fibers. These fibers are integral to the paper itself, appearing randomly dispersed. A close examination, possibly with a magnifying glass, will reveal these distinct, embedded fibers.

Newer $100 bills feature a 3D security ribbon woven into the paper. Tilting the bill causes images of bells and “100s” along the ribbon to move from side to side and transform into each other. This intricate three-dimensional movement is highly challenging for counterfeiters to reproduce accurately.

Reporting Suspected Counterfeit Currency

If you suspect you have received counterfeit currency, handle the situation carefully to avoid further complications and aid law enforcement.

Do not attempt to return the suspected counterfeit bill to the person who gave it to you. Doing so could put you at risk or allow the counterfeiter to continue circulating fake money.

Limit handling of the suspected bill as much as possible to preserve any potential evidence, such as fingerprints. Place the bill in a protective covering, like an envelope or plastic bag, to prevent further damage or smudging of forensic evidence.

Note any details about the person who passed the bill, if observed, and the circumstances of the transaction. This includes the date, time, location, and any identifying characteristics of the individual or vehicle involved. Such information can be valuable to investigators in tracing the source of the counterfeit.

Contact your local police department or the U.S. Secret Service, as they investigate counterfeit currency. Provide them with the suspected counterfeit bill and any information you have gathered. Authorities may require you to fill out a report or provide a statement regarding the incident.