Expert: Ronald Fern - 6/28/2011

Question
Hi Mr. Fern, I have a question about a $20 error note. The bill is a 1981 series A. The obverse side of the bill is off center; about 1/16 of an inch towards the top. The obverse border at the top of the bill is completely cut off at the left corner, but narrowly increases across towards the right to a 1/16 of an inch at the top right corner. At the bottom, the border width goes from approximately 7/32 (just under 1/4) of an inch at the left, to 3/16 at the right corner. The face of the bill looks not only to have been printed to high, but also slightly askew clockwise.
    The reverse side of the bill has a similar problem. It appears that just as on the obverse, the bill is printed off center towards the top. The bottom border seems larger than normal (although not to the extent of the obverse. The border at the top seems to be only slightly smaller. Under close observation, I also noticed the reverse left border seems to be slightly smaller than the right. There is no error or skew in the alignment, so there is no change in border size across the bill.
    The last feature that makes this bill unique is the serial number. The suffix letter has been replaced with a green star. As I am told, that means it was a replacement to another error bill. I'm hoping that characteristic will make it even more valuable. The complete serial number is:
D 00925017 ( green star).
    The overall condition of the bill is very good. There is some creasing, but there are no tears and all four corners are in tact. Thank you for your time. I hope the images help your evaluation.

Answer
Hi Paul:


Thanks for the opportunity to answer your question.

A star note is a United States bank note that has an asterisk (*), or star, after the serial number. The Bureau of Engraving and Printing inspects currency for printing errors prior to releasing notes into general circulation. When notes are discovered that have been printed incorrectly (such as having the serial numbers upside down, etc.) the misprinted "error notes" are replaced with star notes because no two bills within a certain series can be produced with the same serial number. They are used to maintain a correct count of notes in a serial number run. By their nature, star notes are more scarce than notes with standard serial numbers and as such are widely collected by hobbyists.

Your serial number is not special or unique enough to add to the value. It is difficult to give you an exact answer without a photo (none came with the question), or the condition of the note, but your 1981A $1 FRN star (*) note would likely have an approximate retail value of between $5 in EF condition to $15 UNC condition to an interested collector. A creased bill would likely be worth less.

The error you speak of is not severe enough to add any value to your note. It would have to be off centered where part of the next bill was showing. Bills are printed in sheets of 32 notes and in three phases. Obverse print, reverse print, and serial numbers with seals print. It is likely your sheet was partially mis-fed and creased during the printing, causing some of the printing to be missing. Your sheet, with the error, went unnoticed during the cutting and final inspection phase. There are likely several others in your group that may have been printed with a similar error.

Link for history of the $1 bill: http://en.wikipedia.org/wiki/United_States_one_dollar_bill

Here's link for you to view different types of error currency and their values.
Link: http://www.coinsite.com/html/uscurrencyerrors.asp

You may want to check US currency listings under errors on eBay from time to time to see what this type of error brings.

If you live close to a local shop, they should offer an opinion as to it's value and if it is authentic at no charge. Remember, should you choose to sell your note, get at least two estimates from professional coin dealers (PNG). I've listed a link for you to find them in your area. Link: http://www.pngdealers.com/dealersearch.php

Dealers normally pay between 50% to 60% of retail for items they want.

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Thank You and Good Luck in your collecting.