How to Identify Counterfeit Money

Learn about currency printing., Observe standard features., Inspect the paper., Look at the bill’s portraits., Check the watermark., Watch the ink color shift or holograms., Find the security thread or ribbon., Read the serial numbers., Use central...

10 Steps 5 min read Advanced

Step-by-Step Guide

  1. Step 1: Learn about currency printing.

    If you want to examine or compare bills you receive for counterfeits, it’s a good idea to have a little knowledge about how currency is printed.

    From the fact that design and material can change over time, taking a few minutes to learn about currency could save you money or even legal hassles.Recognize that looking at the security features of a bill, such as watermarks or raised areas, is usually enough to detect fakes without the aid of a device.Be aware that most countries or regions, such as the European Union, have series of bills in circulation issued after specific dates.

    Notes are often taken out of circulation as counterfeiting gets more sophisticated, but also because the average life span of notes varies.Check out resources such as the US Currency Education Program (CEP) or the European Central Bank to learn more about the design, legal status, and life cycle of bills, as well as how you can spot fakes.
  2. Step 2: Observe standard features.

    Most currencies come with different features that help identify them such as colors, seals and watermarks.However, there are often a few standard features that can guide your examination including:
    Portraits or images Watermarks Colored or color-shifting ink Security thread or ribbon Serial numbers., Notes are often made of material other than paper.

    For example, US notes are made with a mixture of 25% linen and 75% cotton and European bills with cotton.

    In addition, bills may have randomly dispersed security fibers throughout the note.Be aware it may be difficult to detect some of these features with the naked eye and may require more in-depth analysis.

    Run your finger along the note’s surface.

    Many currencies, including the dollar and Euro, have raised printing, which gives them their special texture., Most countries or currency unions have some type of image on their notes as a security measure.Check any notes you have for images, which may also include special features such as holograms.Research central bank sites for specific portrait information.

    For example, Benjamin Franklin appears on the $100 note and is slightly off center.In India, you’ll find Mahatma Ghandi on most notes., Most notes in circulation in world currencies were printed at a specific time and have a watermark to help authenticate them.The watermark is often visible from either side when the note is held up to a source of light.Put each side of the bill up to a window that has access to sunlight and make sure you can see the watermark on both sides before using it.Consider using other sources of light such as a UV-light or a lamp and use the same procedure to check for the watermark. , Many bills used have colored or color-shifting ink and/ or holograms.

    Moving the bill back and forth can help verify that the note isn’t counterfeit.Look for the ink on the face of bills and recognize color-shifting ink and holograms by tilting the bill back and forth.If you can’t find this, the note may be counterfeit.

    Be aware that some smaller note denominations may not have the same security features as larger notes. , Many countries, such as the United States, Thailand, and India, use security threads to further authenticate their bills.Using either a UV-light source or your naked eye, look for this marker to ensure your bill isn’t counterfeit.Look for clear or colored threads that are embedded in notes.

    In some cases, this feature may only be visible when held to light.Check with the state’s central bank to see if there are further special features with security threads.

    For example, threads in US dollars glow with the number of the denomination under UV-light., In addition to other features, many countries have bills that contain serial numbers, which help identify when and where it was made.Check for serial numbers—which may be a combination of letters and numbers—to help ensure the money is not counterfeit.Check with the central bank of any country you’re visiting for information on serial numbers.

    For example, the United States provides data on the serial numbers of dollars.You can similarly get this information from countries like Thailand and India as well as the European Union., Most countries or customs unions have central banks that provide information on their currency.

    If you are looking for information about elements such as specific placement of face or back plate numbers or even want to see up close examples of how to review standard authentication features, you can draw upon the resources that central banks or currency issuers provide., You can easily check for fake money by comparing two bills of the same denomination.

    Use or obtain an authentic bill from the bank and compare the various aspects of the bill that looks suspicious.

    See if you can detect any differences between the notes by sight.

    Look at both sides of each bill.

    This may confirm your suspicion that you received counterfeit money.

    Place the authentic bill on top of the suspicious bill.

    Hold them up to the light, which may expose any differences between the notes.

    Make sure to report any counterfeit money and the person from who you received it to your local authorities.If you do not know the person who passed you the money, provide the authorities with any information you can that may help them apprehend the counterfeiter.
  3. Step 3: Inspect the paper.

  4. Step 4: Look at the bill’s portraits.

  5. Step 5: Check the watermark.

  6. Step 6: Watch the ink color shift or holograms.

  7. Step 7: Find the security thread or ribbon.

  8. Step 8: Read the serial numbers.

  9. Step 9: Use central bank resources.

  10. Step 10: Correlate two bills.

Detailed Guide

If you want to examine or compare bills you receive for counterfeits, it’s a good idea to have a little knowledge about how currency is printed.

From the fact that design and material can change over time, taking a few minutes to learn about currency could save you money or even legal hassles.Recognize that looking at the security features of a bill, such as watermarks or raised areas, is usually enough to detect fakes without the aid of a device.Be aware that most countries or regions, such as the European Union, have series of bills in circulation issued after specific dates.

Notes are often taken out of circulation as counterfeiting gets more sophisticated, but also because the average life span of notes varies.Check out resources such as the US Currency Education Program (CEP) or the European Central Bank to learn more about the design, legal status, and life cycle of bills, as well as how you can spot fakes.

Most currencies come with different features that help identify them such as colors, seals and watermarks.However, there are often a few standard features that can guide your examination including:
Portraits or images Watermarks Colored or color-shifting ink Security thread or ribbon Serial numbers., Notes are often made of material other than paper.

For example, US notes are made with a mixture of 25% linen and 75% cotton and European bills with cotton.

In addition, bills may have randomly dispersed security fibers throughout the note.Be aware it may be difficult to detect some of these features with the naked eye and may require more in-depth analysis.

Run your finger along the note’s surface.

Many currencies, including the dollar and Euro, have raised printing, which gives them their special texture., Most countries or currency unions have some type of image on their notes as a security measure.Check any notes you have for images, which may also include special features such as holograms.Research central bank sites for specific portrait information.

For example, Benjamin Franklin appears on the $100 note and is slightly off center.In India, you’ll find Mahatma Ghandi on most notes., Most notes in circulation in world currencies were printed at a specific time and have a watermark to help authenticate them.The watermark is often visible from either side when the note is held up to a source of light.Put each side of the bill up to a window that has access to sunlight and make sure you can see the watermark on both sides before using it.Consider using other sources of light such as a UV-light or a lamp and use the same procedure to check for the watermark. , Many bills used have colored or color-shifting ink and/ or holograms.

Moving the bill back and forth can help verify that the note isn’t counterfeit.Look for the ink on the face of bills and recognize color-shifting ink and holograms by tilting the bill back and forth.If you can’t find this, the note may be counterfeit.

Be aware that some smaller note denominations may not have the same security features as larger notes. , Many countries, such as the United States, Thailand, and India, use security threads to further authenticate their bills.Using either a UV-light source or your naked eye, look for this marker to ensure your bill isn’t counterfeit.Look for clear or colored threads that are embedded in notes.

In some cases, this feature may only be visible when held to light.Check with the state’s central bank to see if there are further special features with security threads.

For example, threads in US dollars glow with the number of the denomination under UV-light., In addition to other features, many countries have bills that contain serial numbers, which help identify when and where it was made.Check for serial numbers—which may be a combination of letters and numbers—to help ensure the money is not counterfeit.Check with the central bank of any country you’re visiting for information on serial numbers.

For example, the United States provides data on the serial numbers of dollars.You can similarly get this information from countries like Thailand and India as well as the European Union., Most countries or customs unions have central banks that provide information on their currency.

If you are looking for information about elements such as specific placement of face or back plate numbers or even want to see up close examples of how to review standard authentication features, you can draw upon the resources that central banks or currency issuers provide., You can easily check for fake money by comparing two bills of the same denomination.

Use or obtain an authentic bill from the bank and compare the various aspects of the bill that looks suspicious.

See if you can detect any differences between the notes by sight.

Look at both sides of each bill.

This may confirm your suspicion that you received counterfeit money.

Place the authentic bill on top of the suspicious bill.

Hold them up to the light, which may expose any differences between the notes.

Make sure to report any counterfeit money and the person from who you received it to your local authorities.If you do not know the person who passed you the money, provide the authorities with any information you can that may help them apprehend the counterfeiter.

About the Author

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Lisa Patel

Brings years of experience writing about home improvement and related subjects.

31 articles
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