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The Changing Face of Money in America
By Krista Carlson
Every seven to 10 years the United States' paper currency gets a makeover. The latest update was to the $5 bill, in March of 2008. Prior to that, changes were made in 2004 when the $10, $20 and $50 bills all got a new look and again when they were modified in 2006.
When making changes to paper money, the notes are all redesigned to retain the basic look, feel and size that Americans are familiar with. And despite the new added purple and pink coloration, the overall green coloring is also retained. Americans have long associated the color green with money, and thus it is seen as an unchangeable tradition. (In 1861 paper money acquired the nickname "greenbacks.")
The changes in the latest new bill, the $5 bill, included two new watermarks as security features. The watermarks are a large number '5' located to the right of President Lincoln's portrait (replacing the previous watermark portrait), and a column of three smaller '5's that appear on the left of the portrait.
Also added was an embedded security thread that runs vertically across the bill, also to the right of President Lincoln's portrait. The text in the security thread reads "USA" and "5" in an alternating pattern. Under ultraviolet light the thread will glow blue.
The portraits and historical images (the Lincoln Memorial on the $5) have also been enhanced. The number denominations have been improved to help people tell the bills apart, especially the visually impaired. The additional colors added to all updated bills, although duplicatable, increases complexity - Another way to deter counterfeiting.
The new bills also feature new symbols of freedom. They differ from bill to bill. The $5 bill has the Great Seal of the United States - The eagle and shield surrounded by an arc of purple stars. Added to the $10 bill were two images of the Statue of Liberty's torch. The $20 bill has two eagles, and the $50 bill features the stars and stripes of the American flag.
New designs for currency are typically determined by the Secretary of the Treasury, who is also responsible for new coin designs. The secretary is advised by officials at the Bureau of Engraving and Printing and the designs are reviewed by the Commission on Fine Arts. The secretary has final approval, unless there is a specific act of congress that circumvents that route.
The basic designs of all bills were selected in 1928, though they have all been modified to thwart counterfeiting. There is no record of why each person was chosen for each bill, except that presidents were chosen for being recognizable by the American public. Living persons are prohibited from appearing on government securities.
The U.S. Treasury updates paper currency regularly to prevent counterfeiting. The changes are aimed at achieving a design that is smarter, safer, and more secure. The treasury department cites the regular changes in currency as a significant factor in the low levels of counterfeiting in the U.S.
The safety is improved because the new bills are easier to verify. The new safety features ensure more security for U.S. currency because the new features are harder to reproduce, which discourages counterfeiting efforts.
The practice of printing paper currency in the U.S. began in 1690, in the Massachusetts Bay Colony, which was one of the Thirteen Original Colonies. The paper money was originally printed to cover the costs of military expeditions. Over time, the practice spread to the other colonies. Almost 100 years later the first national bank was established in Philadelphia in 1781, and in 1785 Congress adopted the dollar as a monetary unit in the U.S.
The treasury department is planning their next release which is a new $100 bill. The release date in not known. The treasury has not disclosed whether there is any difference in cost to print the new currency.
For more information about the features of U.S. currency go to www.moneyfactory.gov.