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A new fancy-smancy $100 bill will be coming out this Oct 8th... It is suppost to make counter fitting real hard in the future ...from what I have read and they even have a Video about this new bill, They state that all old $100 bills will be fine and stay in circulation (you don't have to swap them out for the new bills) Ok, that's what they say today....I have been having flash backs, I have a lot of family in Ireland and i keep thinking of when they got sucked into the Euro from the pound....they set a dead line to convert the pound, well people who scraped n saved on the side doin whatever got Nailed 50% when the walked into the bank with their cash stash...
Here i could even see 100% confiscation if one couldn't be proven where you got it, you have no paper trail, Sorry...
I mean this is a country that once outlawed private gold ownership-BOOM' .... I could see them pulling this down the road, I mean Banks and wall street are in control , they now make the laws...
There are enough problems in this country, without figuring something that isn't going to happen causing worry. There were changes to prevent twenty dollar bills being easily faked several years ago. No big problem. When you mention the old hundred dollar bills will remain in circulation, there's no need to explain what that means... just sayin..
What does transforming/exchanging a country's monetary system have to do with the same currency changing its appearance as is done around the world? Worst case scenario is the tin hat types have to dig up their coffee cans and exchange old for new. And how many people run around with loads of 100 dollar bills? If your plan was going to be put into effect it would have been done when the 20s were changed. Your average guy could care less if 100 dollar bills even existed.
When has the gooberment or banks not accepted legitimate US currency? I could take a 1923 gold double eagle into the store, and by law, they have to accept it as they would a twenty dollar bill. Of course, that would be very stupid to do on my part, but it IS legal US tender and it DOES say 20 dollars on it.
A few weeks ago, I went into a store to buy something. I never use dollar bills; instead, I us dollar coins because they are so much easier to deal with (and I like them). Well... the teller looked at the coins sort of suspiciously. And I'm used to that because some tellers have no idea what they are. I have to tell them that they are dollars. But this teller knew what they were and when I told her they were dollars, she said, "I know, but I read somewhere (on the internet, no doubt) that the government will no longer accept them."
What a silly load to swallow. She probably read that they weren't going to be minted anymore, and somehow got the idea that suddenly, these coins were no longer US currency. How silly. The ONLY way that would ever happen is if the entire US Dollar collapsed and a new monetary unit was used to replace it. Anything ever minted legally that says dollar on it, can be used as legal currency. I could take an 1857 US gold dollar coin to the story (as I said, that would be dumb, but I could) and they legally have to accept it as a dollar.
When has the gooberment or banks not accepted legitimate US currency? I could take a 1923 gold double eagle into the store, and by law, they have to accept it as they would a twenty dollar bill. Of course, that would be very stupid to do on my part, but it IS legal US tender and it DOES say 20 dollars on it.
A few weeks ago, I went into a store to buy something. I never use dollar bills; instead, I us dollar coins because they are so much easier to deal with (and I like them). Well... the teller looked at the coins sort of suspiciously. And I'm used to that because some tellers have no idea what they are. I have to tell them that they are dollars. But this teller knew what they were and when I told her they were dollars, she said, "I know, but I read somewhere (on the internet, no doubt) that the government will no longer accept them."
What a silly load to swallow. She probably read that they weren't going to be minted anymore, and somehow got the idea that suddenly, these coins were no longer US currency. How silly. The ONLY way that would ever happen is if the entire US Dollar collapsed and a new monetary unit was used to replace it. Anything ever minted legally that says dollar on it, can be used as legal currency. I could take an 1857 US gold dollar coin to the story (as I said, that would be dumb, but I could) and they legally have to accept it as a dollar.
I'd tell her that I read on the internet that Elvis is alive.
To the OP, if you are worried about this then take your cash and buy some silver or gold or buy something tangible like some land or machinery etc. When the new currency comes out then cash out.
And if you're worried about getting your savings confiscated or being nabbed for tax evasion etc... then don't convert all your buried Benjamin's at the same time or at the same banks... or convert them to another form of currency (precious metals, smaller denominations, gems) before the changeover.
Up North, we've been in the process of replacing all our paper bills with fancy new hard-to-counterfeit ones for the past several years. I can offer some reassurance regarding the process.
All money has remained legal tender (much as ChrisC noted is the case stateside). Basically, as notes circulate back to our central bank, they're destroyed and replaced with new ones. It follows the exact same process that is currently in place to deal with notes that are damaged or in otherwise poor condition.
I can personally attest to discontinued/limited/uncommon bills & coins still being accepted as legal tender or exchangeable in the US, Canada, UK, Ireland and Germany.
Example 1: I used a Susan B. Anthony dollar coin just the other day, although the $1 coin in the US is currently the Sacagewea coin (soon to be replaced with the US Presidential Dollar coin) and coins larger than the quarter are uncommon. I also still use $5 - $50 bills that were issued prior to the "big-face" and/or more colorful design changes.
Example 2: I often use $2 bills when I go to garage sales even though it is one of the rarest denominations with limited circulation.
On informational brochures and bank flyers, as well as their various websites, the US Treasury conspicuously calls out "All U.S. currency remains legal tender, regardless of when it was issued."
Example 3: I traveled through Canada eons ago in my youth and had a bunch of $1 & $2 bills that somehow got squirreled away in a piggy bank. When I recently traveled back through Canada on my way to Alaska, they were accepted as legal tender even though they have been discontinued and replaced by the Loonie ($1) and Moonie/Toonie ($2) coins.
Example 4: The discontinued German Deutsche Mark (DM) can be exchanged for Euros indefinitely at the rate fixed in 1998, but it is no longer considered legal tender.
Example 5: The British Pound Sterling (GB£) and coins are still the only officially accepted legal tender in the UK, even though they are part of the European Union they are not part of the European Monetary System. Many places also accept the Euro (€) as a convenience much like you can use the US dollar in Canada and Mexico at the discretion of the proprietor, but they have not and will not convert to the Euro.
Note: Northern Ireland is part of the UK and still uses the British Pound Sterling (GB£). Southern Ireland (the Republic of Ireland) is an independent country not part of the UK and used the Punt (Irish Pound IR£) until 2002 when it converted to the Euro. The discontinued Punt and all decimal and pre-decimal coins can be exchanged for Euros indefinitely at the rate fixed in 1998. (The GB£ is still accepted a many places in Southern Ireland at proprietor discretion, however the Punt is no longer accepted as legal tender anywhere except as exchange at the bank).
Last edited by MissingAll4Seasons; 05-30-2013 at 02:15 PM..
When has the gooberment or banks not accepted legitimate US currency? I could take a 1923 gold double eagle into the store, and by law, they have to accept it as they would a twenty dollar bill. Of course, that would be very stupid to do on my part, but it IS legal US tender and it DOES say 20 dollars on it.
A few weeks ago, I went into a store to buy something. I never use dollar bills; instead, I us dollar coins because they are so much easier to deal with (and I like them). Well... the teller looked at the coins sort of suspiciously. And I'm used to that because some tellers have no idea what they are. I have to tell them that they are dollars. But this teller knew what they were and when I told her they were dollars, she said, "I know, but I read somewhere (on the internet, no doubt) that the government will no longer accept them."
What a silly load to swallow. She probably read that they weren't going to be minted anymore, and somehow got the idea that suddenly, these coins were no longer US currency. How silly. The ONLY way that would ever happen is if the entire US Dollar collapsed and a new monetary unit was used to replace it. Anything ever minted legally that says dollar on it, can be used as legal currency. I could take an 1857 US gold dollar coin to the story (as I said, that would be dumb, but I could) and they legally have to accept it as a dollar.
Yes, some people get very confused with fiat currency -- the design and issue date of the bills and coins makes absolutely no difference whether they are still accepted as legal tender as long as we are still on the same currency system (Federal Reserve Notes).
...well people who scraped n saved on the side doin whatever got Nailed 50% when the walked into the bank with their cash stash...
Here i could even see 100% confiscation if one couldn't be proven where you got it, you have no paper trail, Sorry...
Unfortunately if someone is doing side work for cash, they may be considered a "self-employed part-time business" and are legally required to claim net earnings in excess of $400. Doing work "under the table", including BARTER, is considered tax evasion... plain and simple. More info.
The Fed probably won't confiscate your entire stash (unless it was obtain through illegal means), but you could be red flagged, audited and any monies not accounted for could be subject to taxation with the appropriate fines and penalties. Yes, it's rather draconian... and really really close to confiscatory.
To avoid this predicament during a currency change-out (NOT a monetary system change), either claim your earnings and pay your taxes, or continue to illegally evade taxation and just exchange small amounts at different locations.
Banks are required to report Currency Transaction Reports for withdrawal, deposits or exchanges of $10k or more; and required to report Suspicious Activity Reports for cash transactions over $5k if the teller has reason to believe the money is derived through illegal activity (including tax evasion). So, you may want to consider breaking the old $100 with small, untraceable cash purchases or exchanging them slowly for another denominations beforehand... even if you didn't derive the money illegally, this will keep you from triggering a red-flag CTR or SAR at the bank. Also note that large foreign currency exchanges can also trigger a CTR... so if you travel a lot or have family in other countries who send you monetary gifts, keep that in mind. And you're also required to report monetary gifts over $13k (cumulative).
ETA: Business are also required to submit a CTR for any cash purchase of $10k or more.
$100 bills are a bad denomination to squirrel away anyway, since you'd have to break them for many purchases and larger denominations are often rejected when the seller can't make change or they have a risk mitigation policy to only deal in small bills.
Yes, a $100 bill takes up less storage space and the stacks are easier to count and carry; but decimal coins and $1 - $20 bills are MUCH more useful in the long run. You certainly don't want to pull out a Benny for a $12 transaction... it lets the seller (and any unsavory witnesses) know you have "free money" to burn in hand. (The old garage sale rule).
Oh, and speaking of garage sales and taxes... if you originally purchased the items with post-tax dollars and you are not selling them at a profit, you don't have to claim your garage sale money as earnings. BUT if you salvaged free/low-cost items and then resell them at a profit, or produce an item and sell or trade it for a fair market profit over the cost of materials/inputs (on Craigslist, or eBay, or Etsy, or a flea market, or a garage sale whatever) then you have to claim the net earnings over $400.
In most situations, unless you're doing something really suspicious to draw attention to yourself, the Banksters and Taxmen aren't going to notice or care that you have a little bit more than you can properly account for... so don't go all crazy paranoid, just don't be stupid and trigger a red-flag. I don't think anyone's been audited and fined for a minor discrepancy, just don't be living high on the hog and flashing fat stacks all over the place when you're only reporting a minimum wage income.
Last edited by MissingAll4Seasons; 05-30-2013 at 05:45 PM..
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