Is Wet Money Still Usable? How to Handle Wet Currency

When currency accidentally becomes wet, its usability is a common concern. Most wet money remains usable; specific circumstances of wetting, damage, or contamination dictate necessary steps. Minor moisture exposure does not render a bill worthless. The currency’s integrity and security features determine if it can be used in everyday transactions or requires special handling.

Immediate Usability and Drying Wet Currency

United States currency, composed of a durable blend of cotton and linen, is designed to withstand some exposure to moisture, including accidental trips through a washing machine. If a bill is merely wet and not torn or otherwise compromised, it often retains its value and can be dried for continued use. The goal is to dry the currency gently and thoroughly to prevent further damage or mold growth.

Effective drying methods include air drying bills on a flat surface in a cool, well-ventilated area. A low-setting fan can accelerate drying by promoting air circulation. Placing individual bills between absorbent materials, such as paper towels or clean cloths, and gently pressing them helps wick away moisture. Replace saturated absorbent material with dry material.

Avoid methods that could harm the currency. High heat sources, such as microwaves or direct ironing without protection, can damage fibers, alter security features, or cause discoloration. While some suggest ironing with a protective cloth, air drying remains the safest approach. Once dried, if the bill is intact, readable, and its security features are visible, it is suitable for circulation.

Identifying Damaged Currency

Not all damaged currency is usable in routine transactions; some notes require specific redemption procedures. Distinguishing between minor wear and severe damage is important for financial institutions and the Bureau of Engraving and Printing (BEP). Currency that is dirty, defaced, limp, or worn, but mostly intact, is considered “unfit currency” and can be exchanged at a commercial bank.

Currency significantly compromised is classified as “mutilated currency.” This includes notes with less than half the original bill remaining, or whose condition makes its value questionable. Common causes of mutilation include fire, chemicals, explosives, animal or insect damage, or deterioration from being buried. If a note is severely torn, missing significant portions, or disintegrated due to prolonged water exposure or mold, it falls under the mutilated category.

Redemption by the BEP requires more than 50% of the identifiable United States currency to be present, along with sufficient remnants of any security feature. If 50% or less of the note is present, redemption may still occur if the method of mutilation and supporting evidence demonstrate to the Treasury that missing portions were completely destroyed. Assessing damage is important to determine if a bill is unfit for circulation or requires expert examination.

Exchanging Damaged Currency

When currency is too damaged for ordinary use, avenues for exchange exist. For minor damage, like small tears or excessive wear, commercial banks are the first point of contact. Banks can exchange “unfit” currency if more than half of the original note is clearly present and its value is determinable without special examination. This process involves presenting the bill to a teller for quick assessment and immediate exchange.

For severely damaged or “mutilated” currency, the Bureau of Engraving and Printing (BEP) offers a free redemption service. The BEP’s Mutilated Currency Division specializes in examining notes damaged by various means, including fire, water, chemicals, or other elements that render them unsuitable for bank exchange. To submit a claim, individuals can mail or deliver the currency in person to the BEP.

A submission to the BEP must include a letter detailing the estimated value of the currency, contact information, and a clear explanation of how the currency became damaged. Careful packaging is recommended to prevent further deterioration during transit, and it is often advised to leave fragments as found. Processing times for BEP claims can vary widely, ranging from six months to three years, depending on the complexity of the case and the current workload. Redemption is granted if the currency meets the BEP’s criteria, which includes demonstrating that the damage was not intentional or an attempt to defraud the United States.

Handling Contaminated Currency

Currency exposed to hazardous substances presents health and safety concerns. Contaminants include sewage, blood, mold, or chemicals. Exposure to sewage, for instance, carries risks of bacterial diseases like salmonellosis and shigellosis, viral infections such as gastroenteritis and hepatitis, and parasitic infections. Mold growth on currency is a concern, thriving in humid conditions and potentially causing health issues.

When encountering contaminated currency, precautions are advisable. Minimize direct handling; wear gloves to prevent skin contact. After handling, thorough hand washing is important. Attempting to clean or sanitize contaminated currency is not recommended, as it can be ineffective or further damage notes.

While contaminated currency retains its monetary value, its exchange requires special procedures due to health risks. Commercial banks may accept contaminated currency, but notify them of the contamination. Banks typically double-bag currency and notify the Federal Reserve for special handling. The Federal Reserve does not accept contaminated coins for deposit or recycle contaminated currency. If submitting severely contaminated mutilated currency to the BEP, clearly mark internal packaging “Contaminated” and include a contaminant description in the accompanying letter.