A Rare Bill Makes Headlines
A 1934 $500 Federal Reserve Note recently sold for a jaw-dropping $1.2 million at a Heritage Auctions event in Texas. Featuring President William McKinley, this bill is one of the rarest in U.S. currency history. What’s even wilder? It’s still legal tender, meaning you could technically spend it for $500 at any store that accepts cash. But with its massive collector value, no one’s using this bill to buy groceries. This sale has collectors and everyday folks alike checking their old cash for hidden treasures.
Why This Bill Is Worth So Much
The 1934 $500 bill fetched such a high price because of its rarity and condition. It was graded “Gem Uncirculated” by PMG, meaning it’s in near-perfect shape, like it just came off the press. It also has a star symbol in its serial number, a rare feature that marks it as a replacement for a misprinted bill. Only a small number of these bills were issued by the Cleveland Federal Reserve Bank, making this one extra special. Collectors go crazy for these features, driving the price to $1.2 million.
A Glimpse into History
The U.S. Mint printed $500 bills from 1861 to 1945, but the 1934 series was one of the last. These small-size notes, measuring about 6.14 by 2.61 inches, were used mostly for big bank transactions, not everyday purchases. The 1934 version shows McKinley, the 25th U.S. president, on the front and a simple “Five Hundred Dollars” on the back. High-denomination bills like these stopped being printed in 1969 due to low demand and concerns about illegal activities like money laundering. Today, most are in the hands of collectors.
How to Spot a Valuable $500 Bill
If you’ve got old cash lying around, check for a $500 bill. Look for the 1934 series with McKinley’s portrait and a green seal. Check the serial number for a star symbol, which boosts value. The bill’s condition is key—crisp, uncirculated bills are worth the most. Also, look for a letter like “D” for Cleveland or other Federal Reserve Bank marks, as some branches printed fewer. Don’t fold or mark the bill; store it in a protective sleeve and get it graded by a service like PMG or PCGS.
| Feature | Why It’s Valuable | Potential Value |
|---|---|---|
| Star Serial Number | Marks a rare replacement bill | $10,000-$1.2M+ |
| Uncirculated Condition | Like new, no wear | $2,200-$1.2M+ |
| Cleveland Issue | Fewer printed by this bank | $5,000-$1.2M+ |
| 1934 Series | Last major issue of $500 bills | $1,200-$1.2M+ |
The Collector’s Craze
This $1.2 million sale has sparked a frenzy among currency collectors. High-denomination bills like the $500 note are rare because banks were required to send them for destruction after 1969. Those that survived are mostly with collectors or in museums. For example, a 1934 $500 bill in very fine condition typically sells for $1,200 to $2,200, but rare features like a star note or top condition can skyrocket the price. Auction houses like Heritage are the go-to for selling, but always get your bill authenticated first.
Check Your Old Cash
This massive sale proves that old money can be worth way more than its face value. While you can still spend a 1934 $500 bill as legal tender, its collector value makes it a treasure. Dig through old wallets, family safes, or inherited collections—you might find a gem. If you spot a $500 bill, handle it carefully and get it checked by a pro. Even if it’s not worth $1.2 million, it could still bring in thousands and a great story to tell.