Collection: National Bank Notes

National Bank Notes (Large & Small)

Prior to the establishment of a centralized federal currency, private banks in the United States issued their own paper money, often leading to confusion and economic instability. To address this, the National Bank Act of 1863 was enacted, creating a system of federally chartered banks. These National Banks were authorized to issue standardized currency notes backed by government bonds.

• Key characteristics:
  • Issued by private banks under federal charter
  • Backed by government bonds
  • Standardized design, varying by bank name and location
  • Circulated from 1863 to 1935

Bureau of Engraving and Printing (BEP)

The BEP, a bureau of the U.S. Department of the Treasury, is responsible for designing and producing all paper currency, Treasury securities, Federal Reserve notes, and other official government documents.

• Key roles:
  • Design and creation of currency
  • Printing and distribution of currency
  • Security features development

Transition to Federal Reserve Notes

The Federal Reserve Act of 1913 established the Federal Reserve System, a central banking system. Over time, Federal Reserve Notes gradually replaced National Bank Notes as the primary currency of the United States.