Download the San Francisco Fed's Ten Questions About U.S. Currency
FEDERAL RESERVE BANK OF SAN FRANCISCO
Ten Questions about U.S. Currency
Does the Federal Reserve print 1 money? No. The Bureau of Engraving and Printing, What’s the lifespan of a located in Washington D.C., and Fort Worth, 3 Federal Reserve note? Texas, prints money. Reserve Banks distribute it to the banking system, store it for depository institutions, and ensure enough is in circulation. 15 years
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What’s the most 4 years 2 common Federal 31% Reserve note in your 5 years wallet? The $1 bill. Dollar bills represent more than 31% of the more than $1.1 6 years trillion Federal Reserve 3% 7% notes in circulation. The $20 bill is most often used for spending and represents about 23% How many notes did of the total currency in Reserve Banks process circulation. The $100 4 and shred in 2012? 5% 23% bill is used as a store of value, is mostly held Reserve Banks processed 31.7 overseas, and represents billion notes (worth $581.4 about 26% of the total. billion) and shredded 4.6 billion notes (worth $105.5 billion).
4% 26% What’s the highest denomination Federal Reserve 5 note in circulation? Are Federal Reserve notes the only legal tender? Today, the $100 bill is the highest note 8 in circulation. Following the passage of Federal Reserve notes comprise more the Federal Reserve Act in 1913, Federal than 99 percent of all U.S. currency Reserve Banks began issuing Federal in circulation; the remainder includes Reserve notes in 1914 in denominations United States notes, national bank notes, ranging from $1 to $10,000. In 1969, and silver certificates, all of which notes greater than $100 were retired due remain legal tender. to declining demand.
Why is U.S. currency green? 9 The term “greenback” was first What’s the highest denomination note given to 1861 Demand Notes 6 ever printed? because the backs of these notes The $100,000 Gold Certificate (Series 1934) is were printed with green ink. It the largest note printed (December 18, 1934 is believed that the green ink through January 9, 1935) by the Bureau of deterred counterfeiters who Engraving and Printing. Issued to Reserve Banks used photography as a means of only, against an equal amount of gold bullion reproduction. The early camera held by the U.S. Treasury, these notes were used saw everything in shades of black for transactions among Reserve Banks and not and white and, as a result, features printed in color lost their circulated publicly. individuality when reproduced photographically. With the introduction of Series 1928, the use of green was continued, most likely because of the strong tradition of using green color on U.S. currency, and the association has continued to the present day.
What happens to counterfeit notes? 7 On July 5, 1865, the U.S. Secret Service was created within the U.S. Treasury with the sole Do women appear on U.S. mission of supressing counterfeit currency. 10 currency? Reserve Banks’ high-speed processing Martha Washington’s portrait appears machines identify suspect counterfeits as they on the 1886 $1 Silver Certificate. count currency deposits received from banks. Pocahontas, the only other historical Counterfeits are turned over to the U.S. Secret female on American currency, appears Service for investigation. Less than 1/100th of in the engraving “Introduction of the one percent of the value of all U.S. currency in Old World to the New Word,” which is circulation is reported as counterfeit. featured on several pieces of currency.