Rare $5 bills can fetch thousands.

The $5 bill, as we would come to know it, with Abraham Lincoln on the front, originated in 1914. U.S. $5 banknotes had been in circulation previously, all the way back to $5 “demand notes” issued in 1861. Since then, many different variations of $5 bills and notes have gone into circulation, and some of the more rare varieties can fetch thousands of dollars on the collectibles market.

Very similar to most other coln and currency collectibles, the two main determining factors for a $5 bill are its rarity and its condition. To fetch top dollar, both of these elements need to be realized in conjection of each other: that is to say, they have to be both rare and in top-graded condition.

Because $5 bills and banknotes have a long history, bills from the earliest years will represent the most value for collectors and dealers. But even $5 bills dating back to the 20th century sell for big money. Here’s a look at a few different five-dollar bills that can fetch hundreds of dollars or more.

Rare $5 bills can fetch thousands.
Rare $5 bills can fetch thousands.

1861 $5 Demand Notes

According to Stacks Bowers Galleries, the demand notes issued starting in 1861 were the first Federally issued, widely circulated notes since the Continental Currency notes of the late 18th century. One of the most valuable $5 bills was one of the 1861 $5 Demand Note, and it sold for $38,400, produced by American Bank Note Company, using a patented steel plate process. The front displays the statue representing liberty as well as a portrait of Alexander Hamilton.

1869 Legal Tender $5 Bill

In 1869, $5 legal notes were redesigned with a portrait of Andrew Jackson on the front (or obverse) and a “vignette representing the Pioneer Family,” according to Startup.info. Also called “Rainbow Notes,” notes from the 1869 issue are relatively scarce. The average 1869 $5 Legal Tender banknote sells for around $400, according to OldMoneyPrices.com, though uncirculated examples can sell for up to $1,400.

Rare $5 bills can fetch thousands.
Rare $5 bills can fetch thousands.

1914 $5 Large-Size Federal Reserve Note

These bills were popularly known as “horseblankets” due to their size. Littleton Coin Company calls the 1914 $5 Large-Size Federal Reserve Note “one of the hottest collectible areas in the hobby,” and it recently listed one for sale in Very Good condition at $196.

1934 $5 Silver Certificate and Federal Reserve Notes

CoinValueFinder also reported that this is the first year $5 silver certificates were issued in a reduced dimension similar to those of $1 and $10 bills. It is also the first year the U.S. Treasury seal moved to right side of the notes. Four different seals were used for this note, printed in five different series. Presented below are some of the more valuable bills in the series. Highest values are for “star” notes – these are replacement notes that are produced to replace misprinted or damaged currency before it gets into circulation.

FAQs

1. What makes a $5 bill rare and valuable?

  • Answer: Several factors can make a $5 bill rare and valuable, including its age, condition, unique serial numbers, misprints, and historical significance. Bills from specific series, those with star notes, low serial numbers, or error notes can also be highly sought after by collectors.

2. What are some examples of rare $5 bills that are valuable?

  • Answer: Some examples include:
    • Series 1923 $5 Silver Certificate: Known for its large size and blue seal, these notes are highly collectible.
    • Series 1899 $5 Indian Chief Note: Features a portrait of a Native American chief and is prized for its historical significance.

3. What are star notes, and why are they valuable?

  • Answer: Star notes are replacement notes that are issued when a bill is damaged during the printing process. They have a star symbol at the end of the serial number instead of a letter.

4. What is the significance of low or unique serial numbers on $5 bills?

  • Answer: Serial numbers that are particularly low (like 00000001) or have unique patterns (like 12345678 or palindromic numbers) can significantly increase a bill’s value. Collectors are often willing to pay a premium for bills with these special serial numbers.

5. How can you identify if a $5 bill is a misprint or error note?

  • Answer: Misprints or error notes can include a variety of mistakes, such as:
    • Misaligned printing: Where the design elements are not properly aligned.
    • Ink smears: Visible ink smudges or smears on the note.

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