Yes, a bank will usually exchange a ripped bill, as long as the note is still clearly recognizable as genuine U.S. currency and enough of it is there to identify the denomination. A clean tear, a missing corner, a bill that went through the wash: these are routine swaps at the teller window. Badly burned, rotted, or shredded cash is a different story and has to go to the federal government instead.
What Counts as a Bill a Bank Will Take
Federal regulation splits damaged paper money into two categories, and the category decides where you go.
A bill that’s torn, dirty, limp, worn, or defaced but still whole enough to identify is called unfit currency. The regulation says unfit currency “may be exchanged at commercial banks.”1eCFR. 31 CFR 100.5 – Mutilated Paper Currency Most ripped bills fall here.
A bill is mutilated when half or less of the note remains, or the damage is severe enough that its value is questionable. Burns, chemical damage, water rot, and animal damage often push a note into this category. Mutilated currency has to be sent to the Bureau of Engraving and Printing for examination by trained specialists, not handed to a teller.1eCFR. 31 CFR 100.5 – Mutilated Paper Currency
A clean tear down the middle with both halves present is unfit. A charred fragment from a house fire is mutilated.
How the Exchange Works at the Teller Window
For a bill with a small tear, a missing corner, or heavy wear, walk into a branch and hand it to a teller. In most cases you get a fresh replacement on the spot. The teller is checking that the note is clearly identifiable as genuine, which means verifying features like the watermark, color-shifting ink, and the embedded security thread. A bill that picked up a rip along one edge almost always clears that bar.
A few things make the exchange smoother:
- If your bill tore into separate pieces, align the pieces carefully rather than burying the security features under layers of tape.
- Present the note flat and uncrumpled so the teller can inspect it quickly.
- For $50 or $100 notes, expect a supervisor review at some branches as an internal fraud-prevention step. It adds a couple of minutes.
Banks Are Not Required to Say Yes
This is where people get tripped up. No federal law forces a commercial bank to exchange your damaged bill. The regulation uses the word “may,” not “must.”1eCFR. 31 CFR 100.5 – Mutilated Paper Currency
In practice, most banks will accommodate account holders without much fuss. Non-customers face a tougher road. A branch may decline the exchange entirely, ask you to open an account first, or cap the swap at a low dollar amount. Bring a valid photo ID, because the bank needs to document who walked in with damaged cash.
If one branch turns you down, try another. Policies vary by institution and sometimes by location within the same bank. Your own bank, where you have an established account, is almost always the easiest path.
When the Bill Is Too Far Gone: Sending It to the BEP
When damage is severe enough that a bank won’t touch the bill, the Bureau of Engraving and Printing runs a free redemption program. You send in the damaged currency, examiners figure out what you had, and the government pays you back. It’s straightforward but slow.
What to Send
Every submission, whether mailed or dropped off in person, needs a completed and signed BEP Form 5283. You can fill it out online through the BEP website, which generates a Record Locating Number for tracking. The form asks for your estimate of the total value and how the currency was damaged.2Bureau of Engraving & Printing BEP. How to Submit a Request for Mutilated Currency Examination Claims of $500 or more require U.S. bank account and routing numbers, because larger redemptions are paid by electronic funds transfer rather than by check.3eCFR. 31 CFR Part 100 Subpart B – Request for Examination of Mutilated Currency for Possible Redemption
How to Pack It
Packaging matters more than most people realize. Disturbing charred or waterlogged fragments can destroy the evidence examiners need to identify the notes. The core instruction from the BEP: do not rearrange or handle fragments more than absolutely necessary. Wrap them in protective material and place them in a sturdy box. If the currency got wet, let it air-dry completely before shipping to prevent mold, but don’t try to peel stuck-together notes apart yourself.
Ship to:
Bureau of Engraving and Printing
Room 344A
14th and C Streets, SW
Washington, DC 202282Bureau of Engraving & Printing BEP. How to Submit a Request for Mutilated Currency Examination
In-person drop-offs are accepted at the same address, Monday through Friday, 8:00 a.m. to 11:30 a.m. and 12:30 p.m. to 2:00 p.m. Eastern Time, excluding federal holidays.
How Much You Get Back
The 50-percent line is the most important threshold. If clearly more than half of a note is present and enough security features survive to confirm it’s genuine, you receive full face value. That part is automatic.3eCFR. 31 CFR Part 100 Subpart B – Request for Examination of Mutilated Currency for Possible Redemption
When half or less of a note remains, redemption is still possible, but the burden shifts to you. You have to convince the BEP Director that the missing portion was totally destroyed. A house fire backed by a fire department report makes a much stronger case than an unexplained loss. If the explanation doesn’t satisfy the Director, redemption for that note is denied.4Bureau of Engraving & Printing BEP. Mutilated Currency Redemption
How Long It Takes
Standard requests take six months to three years, depending on the condition of the currency and the examiner’s caseload.5Bureau of Engraving & Printing BEP. Mutilated Currency FAQs The worst-damaged submissions, where examiners have to separate fused layers of charred paper, take the longest. The final amount may be more or less than your original estimate, because examiners sometimes identify more notes than the submitter expected and sometimes fewer.
If the Bill Is Completely Gone
One boundary worth knowing. If a bill has been totally destroyed with nothing left to examine, the government will not reimburse you. The regulation is blunt: no relief is granted for paper currency that has been totally destroyed.6GovInfo. 31 CFR 100.6 – Destroyed Paper Currency There’s no claim process for cash that no longer exists.