Business and Accounting Technology

How to Use a Counterfeit Detector Pen

Secure your transactions. This guide teaches you how to confidently identify and handle suspect currency using a detector pen and other checks.

Counterfeit detector pens identify fraudulent currency using an iodine solution that reacts with specific paper types. They quickly distinguish genuine United States currency from common counterfeits, serving as a first line of defense. This tool easily detects bills printed on standard copier paper, which differs from the specialized paper used by the U.S. Treasury.

Using the Counterfeit Detector Pen

Locate a smooth, unprinted area on the currency, such as the white border or a blank space. Apply a small, clear mark with the pen, drawing a line or dash. Use consistent pressure, similar to a regular marker.

The pen’s ink will immediately react with the paper. Observe the mark’s color change. This visual cue is crucial for assessing authenticity. Ensure the mark is clear enough to interpret without damaging the bill.

Understanding the Test Results

Interpreting the mark depends on the chemical reaction between the pen’s iodine solution and the paper’s composition. Genuine U.S. currency is printed on cotton and linen fibers, containing no starch. When the pen is used on authentic currency, the mark remains pale yellow or clear, indicating no starch.

Conversely, most counterfeit bills are printed on wood-based paper, which contains starch. If the mark turns a dark color, typically black, dark blue, or brown, it indicates starch and that the bill is likely counterfeit.

Next Steps for Suspect Currency

If a counterfeit detector pen indicates a bill is suspect, follow specific procedures. Do not return the bill to the person who passed it. If possible and safe, attempt to delay the individual and observe their description, including vehicle details.

Write your initials and the date in the white border area of the note. Limit handling to preserve potential evidence, and place it in a protective covering, such as a plastic bag or envelope.

Surrender the currency only to a local police officer or a U.S. Secret Service agent, as they are authorized to handle counterfeit money. There is no financial compensation for returning a counterfeit bill, but reporting it helps combat counterfeiting.

Additional Security Features to Check

While counterfeit detector pens are useful, they are not the sole method for verifying currency authenticity. Genuine U.S. currency incorporates several other security features designed to deter counterfeiting. These features include watermarks, faint images visible when held to light, and security threads embedded vertically within the paper.

Color-shifting ink is another feature, where numbers or designs change color when the bill is tilted. Microprinting involves tiny, difficult-to-read text, and raised printing that can be felt by touch, also serve as indicators of authenticity. Checking these multiple features provides a comprehensive assessment of a bill’s legitimacy.

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