How to Sell Old Paper Money
You’ve got some antiquated paper money that you’d like to sell, but how much are those bills worth? Can you even sell them? Are there some that are not worth selling?
The answer really depends on the note itself. There are multiple factors that determine the value of collected paper money. A bill’s worth depends on the condition it is in, but certain notes are worth more than others because they are considered valuable, collectible currency.
Learning where to sell paper money starts with finding its value. Let’s take a deeper look at how value is defined, the factors that impact it, how you find values, how appraisals are doing, and what to know before you sell your money.
Defining Value
Value has four essential components when it comes to bills and coins:
- Book value
- Retail value
- Buy price
- Wholesale value
When we talk about book value, we mean the price the average dealer would sell the money for. This price can be located in catalogues and books. Retail value refers to the price a dealer will sell a bill for, and they typically offer lower buy prices instead of retail prices. The buy price is the price a dealer will pay you for the bill. The bill’s wholesale value is what a dealer will charge another dealer for the bill. Sometimes, this is a discounted price given to a buyer looking to buy the bills in mass quantities.
Factors Impacting a Bill’s Value
There are three main factors that play into the value of a bill:
- Condition
- Rarity
- Demand
Of course, the most obvious factor here is the condition the bill is in. A bill that is in “mint” condition is exponentially more valuable than one that is in “poor” condition. There is a set of standards set forth for grading by the International Bank Note Society, so be sure to check out their guide.
Rarity refers to the number of bills that were produced in their time and how many of them are still around today. Obviously, the fewer printed and the fewer remaining, the rarer they are.
Demand is how much people want the bill. Its demand can vary throughout the world and change over time. The law of supply-and-demand comes into play as, when more people want this bill, the price will go up. When they don’t want it, the price goes down.
How to Find a Bill’s Value
Before you sell old paper money, you need to know if it is commemorative or general issue, which country it was issued by, the year in which it was produced, and its condition. Those living in the United States can refer to the Guidebook of United States Coins, commonly called the ‘Red Book.’
Of course, you can also hire an appraiser to tell you your bill’s value.
Selling Your Bill
Before you sell antique paper money, know who you’re selling it to. There are numerous online businesses that say they will buy your bill. Since social media has risen to power, so have those posing as buyers of old bills and coins. They’re really just trying to steal your money.
A lot of sellers have taken to sites like eBay to auction or do a ‘buy now’ on their antique bills. If your bill is halfway intact, the U.S. Treasury will take it, so banks will take some old bills. You can also find legit paper money buyers who run currency auctions and will take valuable old bills.
Play it safe – do your research and consider hiring an appraiser before selling your old bills. Collectibles Investment Group is happy to appraise your collection for free. Contact us today to learn more!
