Every year the U.S. Treasury redeems over $30 million worth of mutilated currency. Do you know how to get damaged US money replaced? 

The correct procedure for replacing US currency depends on how and how badly the money has been damaged.

According to the Bureau of Engraving and Printing, currency that has not been mutilated can be redeemed at a bank, while truly mutilated bills require special handling.

These bills should be exchanged through your local bank and processed by the Federal Reserve Bank.

Mutilated Currency is considered to be any bill NOT CLEARLY more than one-half of the original bill and/or requires special examination to determine its value. Most mutilated currency has been damaged by fire, flooding, chemicals, explosions, animals or insects. Another very common source of damage to currency is petrification or deterioration by burying.

Mutilated currency must be mailed or personally delivered to the Bureau of Engraving and Printing. Here is how to do it: (Source: US Treasury)

SHIPMENT OF MUTILATED CURRENCY Mutilated currency may be mailed or personally delivered to the Bureau of Engraving and Printing. When mutilated currency is submitted, a letter should be included stating the estimated value of the currency and an explanation of how the currency became mutilated. Each case is carefully examined by an experienced mutilated currency examiner. The amount of time needed to process each case varies with its complexity and the case workload of the examiner.

The Director of the Bureau of Engraving and Printing has the final authority for the settlement of mutilated currency claims.

Although Treasury examiners are usually able to determine the amount and value of mutilated currency, careful packaging is essential to prevent additional damage.

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