Tips to Avoid Counterfeit Currencies (2024)

FAQs

How can I avoid counterfeit money? ›

Watermarks, security threads, color-shifting ink, special paper, signatures, the US Seal, and unique numbering all help to determine the authenticity of a note. Despite all efforts to prevent counterfeiting, counterfeiters in the US and abroad produce currency and put it into circulation.

Only purchase items that have been tested and marked. Only use licensed, insured, and bonded contractors that will stand behind their work. Products and packaging with typos and misspellings have a high likelihood of being 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.

From watermarks to security threads, understanding these features can help you differentiate genuine bills from counterfeit ones. Watermarks and Security Threads: Legitimate currency notes often feature watermarks and security threads that are embedded during the printing process.

If you work in a shop or business and someone has tried to pay with counterfeit money, try and keep the note if doing so will not place anyone in danger. Then take the note or notes to your local police station or report this to us using our online reporting form.

US Dollars

It may not come as a surprise to learn that the US dollar is the most commonly counterfeited currency in the world according to the Federal Reserve Bank of Boston.

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.

Procuring directly from the Original Component or Equipment manufacturer (OCM/OEM) is the lowest risk. OCM Authorized Distributors are the next lowest risk. OCM Authorized distributors have documented sales agreements with manufacturers. ✓ Verify Authorized distributor status with the manufacturer.

What are the strategies for overcoming counterfeiting? ›

The practical measures for combating counterfeiting are fairly straight forward: (1) know your manufacturers, and work with manufacturers you trust; (2) control your distribution chain to the greatest extent possible; and (3) consider investing in anti-counterfeiting technologies.

Counterfeiting damages a company's reputation and consumer confidence in the global market. It affects businesses and consumers alike by sowing mistrust in genuine products made by reputable brands.

Examine the serial numbers.

Make sure that the serial numbers on a bill match, and look at them carefully. Fake bills may have serial numbers that are not evenly spaced or that are not perfectly aligned in a row. If you received multiple suspicious bills, see if the serial numbers are the same on both bills.

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.

Security Thread

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.

When iodine is applied to the unique blend used by genuine US cash, there is no discoloration due to the lack of starch. However, the same effect can be accomplished by using hairspray on commonly used papers since it will create an invisible barrier between the starch and iodine from the pen.

In the USA, however, fake banknotes will be removed from your account. You will have to get in contact with the police and explain how and where you got this counterfeit money. If they find out you tried to deposit fake notes willingly, you will face legal actions and can even be jailed.

If a Reserve Bank detects counterfeit or unlawfully altered currency or coin in DI deposits, the Reserve Bank forwards that currency or coin to the Secret Service, and the DI's Reserve account is charged for the difference.

According to the United States Department of Treasury, an estimated $70 million in counterfeit bills are in circulation, or approximately 1 note in counterfeits for every 10,000 in genuine currency, with an upper bound of $200 million counterfeit, or 1 counterfeit per 4,000 genuine notes.