Only about 1 percent of U.S. paper currency in circulation is counterfeit because the U.S. Secret Service thoroughly investigates all reported counterfeiting cases and there are harsh criminal penalties for counterfeiting or passing fake bills. See what you can do to notice these frauds.

Look at the money you receive. Compare a suspect note with a genuine note of the same denomination and series, paying attention to the quality of printing and paper characteristics. Look for differences, not similarities.

Portrait
The genuine portrait appears lifelike and stands out distinctly from the background. The counterfeit portrait is usually lifeless and flat. Details merge into the background which is often too dark or mottled.

Federal Reserve and Treasury Seals
On a genuine bill, the saw-tooth points of the Federal Reserve and Treasury seals are clear, distinct, and sharp. The counterfeit seals may have uneven, blunt, or broken points.

Border
The fine lines in the border of a genuine bill are clear and unbroken. On the counterfeit, the lines in the outer margin and scroll work may be blurred and indistinct.

Serial Numbers
Genuine serial numbers have a distinctive style and are evenly spaced. The serial numbers are printed in the same ink color as the Treasury Seal. On a counterfeit, the serial numbers may differ in color or shade of ink from the Treasury seal. The numbers may not be uniformly spaced or aligned.

Paper
Genuine currency paper has tiny red and blue fibers embedded throughout. Often counterfeiters try to simulate these fibers by printing tiny red and blue lines on their paper. Close inspection reveals, however, that on the counterfeit note the lines are printed on the surface, not embedded in the paper. It is illegal to reproduce the distinctive paper used in the manufacturing of United States currency.

Raised Notes
Genuine paper currency is sometimes altered in an attempt to increase its face value. One common method is to glue copied numerals from higher denomination notes to the corners of lower denomination notes.

These bills are also considered counterfeit, and those who produce them are subject to the same penalties as other counterfeiters. If you suspect you are in possession of a raised note: Compare the denomination numerals on each corner with the denomination written out at the bottom of the note (front and back) and through the Treasury seal.

Compare the suspect note to a genuine note of the same denomination and series year, paying particular attention to the portrait, vignette and denomination numerals.

Security Thread
Look for a security thread (a plastic strip) running from top to bottom. Beginning in 1990, an embedded (not printed) security thread was added to all bills except the $1 and $2 bills. If you hold the bill up to the light you easily see the strip and printing on it. The printing will say USA followed by the denomination of the bill, which is spelled out for $5, $10, and $20 bills but presented in numerals on the $50 and $100 bills. These threads are placed in different places on each denomination to prevent lower denomination bills being bleached and reprinted as higher denominations.

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