Though UV counterfeit detection lamps and counterfeit money pens are helpful tools, there are many other ways to tell if a bill is authentic or counterfeit. Physical characteristics of the banknote, such as ink, watermarks, and text, are intentional security measures to help people recognize authentic money.
When retail associates learn how to spot a fake $100 bill, they can help reduce the chances of a business suffering a loss of thousands of dollars. Here is a list of eight ways to tell if a bill is real or counterfeit:
1. Color-shifting Ink
One of the first things to check to see if a bill is authentic is if the bill denomination on the bottom right-hand corner has color-shifting ink. Going back to 1996, all bills of $5 or more have this security feature. If you hold a new series bill (except for the new $5 bill) and tilt it back and forth, you can see that the numeral in the lower right-hand corner shifts from green to black or from gold to green.
2. Watermark
The watermark is a characteristic security feature of authentic banknotes. Many of the new bills use a watermark that is actually a replica of the face on the bill. On other banknotes, it is just an oval spot. Here are some things to keep in mind when looking at a bill’s watermark:
• The watermark should only be visible when you hold the bill up to the light.
• The watermark should be on the right side of the bill.
• If the watermark is a face, it should exactly match the face on the bill. Sometimes counterfeits bleach lower bills and reprint them with higher values, in which case the face wouldn’t match the watermark.
• If there is no watermark or the watermark is visible without being held up to the light, the bill is most likely a counterfeit.
3. Blurry Borders, Printing, or Text
An automatic red flag for counterfeit bills is noticeably blurry borders, printing, or text on the bill. Authentic bills are made using die-cut printing plates that create impressively fine lines, so they look extremely detailed. Counterfeit printers are usually not capable of the same level of detail. Take a close look, especially at the borders, to see if there are any blurred parts in the bill. Authentic banknotes also have microprinting, or finely printed text located in various places on the bill. If the microprinting is unreadable, even under a magnifying glass, it is probably counterfeit.
4. Raised Printing
All authentic banknotes have raised printing, which is difficult for counterfeiters to reproduce. To detect raised printing, run your fingernail carefully down the note. You should feel some vibration on your nail from the ridges of the raised printing. If you don’t feel this texture, then you should check the bill further.
5. Security Thread with Microprinting
The security thread is a thin imbedded strip running from top to bottom on the face of a banknote. In the $10 and $50 bills the security strip is located to the right of the portrait, and in the $5, $20, and $100 bills it is located just to the left.
Authentic bills have microprinting in the security thread as another layer of security. Below is a list of the microprinted phrases on authentic banknotes:
• $5 bill says “USA FIVE”
• $10 bill says “USA TEN”
• $20 bill says “USA TWENTY”
• $50 bill says “USA 50”
• $100 bill says “USA 100”
6. Ultraviolet Glow
Counterfeit detection tools and technology use ultraviolet light because this is a clear-cut way of telling if a bill is counterfeit. The security thread on authentic bills glow under ultraviolet light in the following colors:
• $5 bill glows blue
• $10 bill glows orange
• $20 bill glows green
• $50 bill glows yellow
• $100 bill glows red/pink
7. Red and Blue Threads
If you take a close look at an authentic banknote, you can see that there are very small red and blue threads woven into the fabric of the bill. Although counterfeit printers try to replicate this effect by printing a pattern of red and blue threads onto counterfeit bills, if you can see that this printing is merely surface level, then it is likely the bill is counterfeit.
8. Serial Numbers
The last thing to check on a bill is the serial number. The letter that starts a bill’s serial number corresponds to a specific year, so if the letter doesn’t match the year printed on the bill, it is counterfeit. Below is the list of letter-to-year correspondence:
• E = 2004
• G = 2004A
• I = 2006
• J = 2009
• L = 2009A
These security measures were designed not just to deter criminals from attempting to counterfeit money but to help people and businesses recognize counterfeit money when they see it. If you see even one error that could mean a bill is counterfeit, you should report it to the U.S. Currency Education Program to protect yourself from being held liable for any losses and to inform the Federal Reserve about counterfeit bills in circulation.
This article was originally published in July 2019 and update in August 2021.
FAQs
Look for a security thread (a plastic strip) running from top to bottom. Beginning in 1990, an embedded (not printed) security thread was added to all bills except the $1 and $2 bills. If you hold the bill up to the light, you will see the strip and printing on it.
How can you tell if a $100 dollar bill is real? ›
Hold the note to light to see an embedded thread running vertically to the left of the portrait. The thread is imprinted with the letters USA and the numeral 100 in an alternating pattern and is visible from both sides of the note. The thread glows pink when illuminated by ultraviolet light.
What color does fake money turn with the pen? ›
What color does a counterfeit pen turn? A counterfeit pen reacts to the starch found in most types of paper. Genuine U.S. currency is printed on paper that does not have starch. Therefore, if the bill is genuine, the ink will turn yellow and if it's fake, the ink will turn black or dark blue.
How do tellers detect counterfeit bills? ›
Bank cashiers are trained to detect suspicious banknotes. They use their eyes and hands to look for signs of counterfeiting, such as printing smudges or blurriness, inconsistent serial numbers, uneven edges, and other irregularities.
How do you tell if a dollar is real? ›
The fine lines in the border of a genuine bill are clear and unbroken. On the counterfeit, the lines in the outer margin and scrollwork may be blurred and indistinct. Genuine serial numbers have a distinctive style and are evenly spaced. The serial numbers are printed in the same ink color as the Treasury Seal.
What is the number 1 way most people detect counterfeit dollar bills? ›
Inspect the printing quality.
Look for blurry areas, especially in fine details such as around the borders. Look for colored fibers in the paper. All U.S. bills have tiny red and blue fibers embedded in the paper. Counterfeiters sometimes try to reproduce these by printing or drawing these fibers onto the paper.
How do police mark money? ›
Marking bills is a technique used by police to trace and identify money used in illegal activities. The serial numbers of the bills are recorded, and sometimes markings are made on the bank notes themselves (such as with a highlighter or other writing).
What light detects fake money? ›
UV Properties: If you shine an ultraviolet light on a bill, the security thread will glow. Each denomination glows a different color. Magnetic & Color Shifting Inks: Some counterfeit detectors can sense the magnetic properties of inks to tell if bills are real.
What makes fake money pass a pen test? ›
When you make a mark on genuine money with the pen, the mark will remain pale yellow. Simply put, when you mark on real money, there is no chemical reaction, and the mark stays yellow. When you mark on a counterfeit bill, a chemical reaction occurs, and the mark turns dark.
Can a fake bill pass the pen test? ›
Basically, the only counterfeit bills which a counterfeit detector pen will detect are those printed on regular wood-based printer paper. And it does not even detect those 100 percent of the time, since there are easy chemical solutions to get around the pen detection test.
First, the ATM's validator determines the dimensions of the banknote and scans it in different spectrums: visible, magnetic, IR, UV. It allows to verify all major signs of authenticity. With the help of magnetic sensors, the validator checks the presence and correct location of magnetic ink.
Will ATM reject counterfeit money? ›
99% It will just spit it out, as those machines can check for counterfeit money. And if it doesn't, they will just take it off your account. If it's just one bill, for example, you had 5 real $20 and one fake one, they would just keep the fake bill, and let you know about it.
Do banks accidentally give out counterfeit money? ›
According to the US Federal Reserve, there is a 0.01 percent chance of accidentally getting a fake US currency note from a bank or ATM. But nothing is full-proof in this world, and bank security measures to detect fake currencies are no exception.
What is the hardest dollar to counterfeit? ›
The New Zealand dollar is made of polymer (a type of plastic), which is designed to be harder to forge. And the notes have several security features to make them harder to counterfeit.
How do you tell if the dollar is strong or weak? ›
A currency is classified as strong when it is worth more than another country's currency – in other words, if the American dollar was worth half a pound, the pound would be considerably stronger than the dollar. That means that the American dollar would be considerably weaker than the pound.
How do you know if a currency is valuable? ›
Summary. Currency value is determined by aggregate supply and demand. Supply and demand are influenced by a number of factors, including interest rates, inflation, capital flow, and money supply.
Which bills are easiest to counterfeit? ›
The $20 bill is the most commonly counterfeited banknote in the U.S., while overseas counterfeiters are more likely to make fake $100 bills.
What are the most faked U.S. bills? ›
Superdollar. Superdollars, very high quality counterfeit one hundred-dollar bills, were some of the most widely distributed counterfeit American dollar bills and were still being produced after 2007.
How do you bleach money? ›
The process of bleaching money is simple. Counterfeiters take low denomination bills like $1 or $5 bills, dip them in a bleaching solution until all of the markings come off until they are left with blank paper. The legitimate cash paper is then reprinted on using a household laser printer creating bleached bills.
What does fake money look like when marked? ›
The easiest way to find out whether or not the bill is fake is to buy a cheap and easy to use pen. If you mark the bill and it's real, the mark is yellow or clear. If the mark turns dark brown or black, then you know the bill is fake.
Bait money or bait bills are bills with known serial numbers, used by banks to aid the tracing of bank robbers. The serial numbers are recorded by the bank either by making a copy or by listing in a log book. During a bank robbery, if a robber has taken the bait money, details of this can be passed on to the police.
How do banks track stolen money? ›
How Do Banks Put Trackers in Money? Countless banks use bait money that is wired with a thin GPS transmitter allowing authorities to track the cash in real time, and hopefully retrieve it along with the thieves.
Can stolen cash be traced? ›
Marking is a technique used by police to identify and trace money back to individuals taking part in illegal activities, such as bank robbers. The markings placed on these dollar bills are not visible to the naked eye, such as with the use of UV ink technology.
Is there an app to check counterfeit money? ›
With the free Chkfake app, you can now check for common signs that help identify a fake currency note.
Is there a paper money detector? ›
Also known as validators or acceptors, paper currency detectors scan paper currency using optical and magnetic sensors.
What color is money detector? ›
Counterfeit money detection pen for marking money- yellow.
What does hairspray do to fake money? ›
On most fake cash, the pens leave an unsightly brown or purple mark that does not fade. But the hairspray barrier prevents the pens from touching the actual fabric of the note. The underworld source added: “It's simple but effective.
What makes money hard to counterfeit? ›
U.S. money is protected from counterfeiting its quality of paper, the existence of blue and red fibers that can be plucked from the bill, and the difficulty in reproducing seals and portraits. Other countries currency is also protected by such safety checks.
What happens if you accidentally pay with a fake bill? ›
So, what happens if you accidentally use a counterfeit bill? You could face state or federal fraud charges for using counterfeit bills—so you will need an aggressive defense team if that happens.
What happens if you pay with a fake bill? ›
So if you unwittingly hand a cashier a counterfeit bill, the cashier might call the police. The police could likely arrest you even if you deny knowing the cash was counterfeit. The issue of knowledge and intent might not come up until later, such as during plea negotiations or trial, if charges move forward.
To make an almost exact copy of money, first put a piece of 75% cotton and 25% linen paper in a color printer. Put a real dollar bill in your scanner and scan it to the computer. Repeat on the other side. Print your money double-sided and cut it out as neatly as you can.
What happens if you deposit a fake check in ATM? ›
In that case, you could face overdraft fees, which average about $30 per transaction. The bank can close or freeze your account. If you deposit a fake check, your bank can decide to freeze or even completely close your account.
Does counterfeit money work in vending machines? ›
No. The average bill reader in a slot machine will not accept the counterfeits that circulate today, unless you happen to have access to supernotes, and even those are becoming easier to catch.
How do ATMS detect counterfeit money? ›
First, the ATM's validator determines the dimensions of the banknote and scans it in different spectrums: visible, magnetic, IR, UV. It allows to verify all major signs of authenticity. With the help of magnetic sensors, the validator checks the presence and correct location of magnetic ink.
What reveals counterfeit money? ›
Examples of Counterfeit Money Detectors
Security threads, watermarks. It has UV light indicators in its base to show where security threads should be. You can check if the security thread lines up correctly and glows the correct color by placing bill on the base.
How does scamming ATM work? ›
It's fairly simple: The targeted victim will go into an ATM vestibule and insert their bank card. After entering their PIN, a stranger will come up behind them and place a couple of dollar bills on the ground. The scammer will then tap them on the shoulder, informing them that they seemingly dropped some cash.
How do I get rid of a fake $100 bill? ›
Write your initials and the date in the white border areas of the suspect note. Limit the handling of the note. Carefully place it in a protective covering, such as an envelope. Surrender the note or coin only to a properly identified police officer or a U.S. Secret Service special agent.
Can a bank tell if cash is counterfeit? ›
Second, banks use various technologies and tools to detect counterfeit notes, including money counters and fake currency detection technology. These technologies are reliable, and there is very little chance of a fake note passing the security measures.
How can you tell a fake $20 bill? ›
The $20 note includes an embedded security thread that glows green when illuminated by UV light. When held to light, a portrait watermark of President Jackson is visible from both sides of the note. In addition, the note includes a color-shifting numeral 20 in the lower right corner of the note.
How do you turn counterfeit money in? ›
Report suspected counterfeit currency to your local authorities. Law enforcement agencies, banks and cash processors will submit suspected counterfeit currency to the Secret Service through our USDollars website.
