When are US Banknotes declared "Genuine"?

FolsomMike62

Hello, I am working to liquidate an estate coin and currency collection. We have 15 Large Banknotes including some National Banknotes. They appear to be in decent shape but most have visual fold marks on them. I am considering getting some of them graded by PCGS.

My question is, when is currency declared "Genuine" or cleaned when it comes to currency? I have read that coins shops would put books or heavy, flat items on bills to get wrinkles or folds out of the bills. Would this practice deem a bill as "Genuine"? Were cleaning solutions ever used on currency to try and make them look more pristine?

I'm trying to determine if it is worth paying the $40 per bill to get graded. Thank you, in advance, for any input or advice you may have.

Greenstang

You don’t supply much information. Perhaps you could supply a photo of both sides of a couple of them and supply a list of the others so we know what we are looking at.

Steve_in_Tampa

I believe that you’re asking about “original paper quality”. The hallmark of an unmolested circulated banknote.

In the old days it was almost commonplace for dealers to “improve” notes by washing and pressing banknotes. Nowadays that’s a big no-no. Most experienced currency dealers can detect this if they have the note in hand. You could take them to your local coin shop and have them evaluated for you.

golden

Do not try to improve the notes!

Serial_no_8

@Greenstang said:
You don’t supply much information. Perhaps you could supply a photo of both sides of a couple of them and supply a list of the others so we know what we are looking at.

+1
You would get much more from your enquiry if you were to post pics. Some here might feel more inclined to guide you in a more prudent direction once they know how significant your notes are.

I believe that you’re asking about “original paper quality”. The hallmark of an unmolested circulated banknote.

+1
The certifiers can easily tell whether a note has been pressed, washed or altered (processed in some way). PCGS will award the note a PPQ (for Perfect Paper Quality I believe) which is code for "original paper." PMG awards EPQ (Exceptional Paper Quality) & so on for all the certifiers (who may have different acronyms for original). I think it would be prudent to take some of the notes you intend to grade to a LCS (as @Steve_in_Tampa suggests) & they can tell whether your note has been processed to look better. If you're lucky, they might even show you how they can tell (like hold the note up to a lightbox, show where its been lightened, washed, etc).

TennisCoach

You're confusing the terms genuine with originality. A note is genuine if it is real and not counterfeit or a reproduction. An original note is one that has not been washed or pressed. Flattening a note with a book can result in a loss of originality and prevent a note from earning a Exceptional or Premium Paper Quality designation. If you flatten a note with a book, you may remove bends but most folds will still be there. These folds are easy to detect by an experienced grader. So most likely all you will be doing is removing any chance it has at being an original note. Knowing if a note should be graded comes with experience. Value, grade, rarity, all play a part in making that determination. Most likely one would have to see the note to advise someone if it is worth grading.

sellitstore

I believe that some may be misunderstanding the question a bit.

I think that the O/P is concerned that his notes might come back without a grade and only with a designation of "genuine" due to cleaning or processing. This isn't as big a concern with currency as with coins. Currency that has been processed or cleaned is often holdered and graded. If the cleaning or processing is significant, the note is usually graded with a note as to the impairment.

Coins that come back from certification as "genuine" without a grade are significantly impaired coins. Cleaned or damaged notes are usually graded but with the impairment noted, if significant.

Perhaps the most important factor in deciding whether to certify or not is value. Photos or even a list would help us greatly to advise yay or nay on certification. Second most important factor is type of note. Nationals may not make as much sense to certify as large size type, but value is the major factor.

Ted 1

My McFarland CA note is a good example of the grade of "Genuine". Not a thing of beauty, and if it was ever sent to PCGS-B, it would be solely for preservation and to be marked genuine. Note is so rare, but in the condition it's in, it will remain unsold.

Repairs, missing pieces, tape, modge podge, pieces added. Aside from the damage, It's too hard to decipher what the rest of the notes grade is, due to environmental damage and rat 🐁 damage, but it's genuine. Poli Restoration quoted 4000 to restore, and it will never happen, as the highest this will ever see restored is a VG 8.

See the scans in the next comment for another example. The $20 large sized note shown has been heavily damaged to the point you cant notice the detail on the back. PMG slabbed as genuine.

Ted 1

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sellitstore

I like the back on that Indiana national.

The PMG holder signifies a determination in itself that the note is genuine-the word "Genuine" does not appear anywhere on this PMG holder.

When "Genuine" appears on a coin holder it's a bad thing- a damaged coin that didn't get assigned a grade because the impairment is too great.

Ted 1

@sellitstore said:
I like the back on that Indiana national.

The PMG holder signifies a determination in itself that the note is genuine-the word "Genuine" does not appear anywhere on this PMG holder.

When "Genuine" appears on a coin holder it's a bad thing- a damaged coin that didn't get assigned a grade because the impairment is too great.

Very true. I'm still stuck on how PCGS can determine if a coin (or note) has been "artificially worn" in the case of a lowball submission. I've only seen that comment a handful of times through the years. How in the heck would they know?

sellitstore

Notes that have been processed to improve their appearance are often washed. Remember the paper is really linen and responds fairly well to washing. This process often removes some ink along with dirt and grime giving the note a faded or "washed out" look.

The BEP experimented with washing large size notes and returning them to circulation for a few years during the early 20th century. I've never seen the grading services distinguish between BEP washed and later (collector or dealer) washed notes and have my doubts as to ability to distinguish between the two.

It's almost as if the government washed it's notes, perhaps it's not an impairment, as far as the TPGs are concerned. Unless the impairment from washing is significant, it usually isn't noted on large size certified holders. And I've never seen a note "Reprocessed at the B.E.P." although many were.