The value of a U.S. Treasury issued dollar bill is supposed to be worth the number on it. If you see a $20 bill, most people are not willing to hand over $25 or $30 in other denominations. That’s not the case when it comes to larger denominations above the current $100 bill.

The United States used to issue a $1,000 bill. Collectors Dashboard evaluates many facets of collectibles as an alternative asset class, and numismatics, which also includes paper money on top of coins, fits right into focus here.

Understand one thing here. A U.S. issued $1,000 bill is worth much more than the $1,000 printed on its front and back.

Series 1928, 1934, and 1934A $1,000 notes are unique in the currency-collecting realm. No bill of the size was printed after 1945. The Nixon administration put a halt on circulation of the $1,000 bill in 1969, citing its popularity with organized crime.

The $1,000 bills did not fade away instantly. They continued to be found in circulation into the 1980s. At that time, $1,000 bills would pop up at banks and they really did not command much over face value. The physical size of the $1,000 bill is equal to any other denominated bill in your billfold.

Collectors Dashboard is not alone in noting that the purchasing power of all current notes in circulation diminishes in time due to inflation. The $1,000 bill is something else entirely.

The Currency Dealer Newsletter’s volume 1 number 1 from September 1980 listed average circulated series 1928, 1934, and 1934A as something a dealer would only bid $1,020 dollars on. The asking (for sale) price would be $1,075 in a shop at the time, but the same series began to be noticed by collectors.

Examples that were uncirculated started to be valued $300 to $400 dollars above face value, as listed in the grey sheets as the publication is nicknamed. As grading has helped clear up the transparency of many aspects within collectibles, about uncirculated roughly translates to a PCGS 50 grade.

Zoom forward in time and a 1934A note in the same condition sold for $4,499 dollars on March 7, 2021.

Low serial numbers and star notes command premiums today above notes that are certified by PMG. Otherwise the three series are affordable consistent value. What must be understood by collectors and investors alike is the contrast in value by circulated and worn bills that did not command much value over face in the 1990s has risen handily.

eBay has become a top selling destination for buyers and sellers alike within numismatics. With ample supply and a look that commands attention from all currency collectors, eBay will continue to be a destination for sales.

On April 11, 2021 a 1934 series PMG graded note in Very Good condition sold for $2,395. The New York issued note is unremarkable and well worn in appearance but supported visually in its protective certified PMG case.

On March 12, 2021 a visually nicer and by all appearances a higher graded note issued by the same federal bank sold without PMG certification for just $1,800.

On February 17, 2021 a 1934 series Very Fine condition $1,000 dollar bill with a low serial number, which is a key feature of higher premiums, sold for $5,998.95.

Collectors Dashboard would warn all buyers (and sellers) that certification is a necessary process to maintain the value and to certify authenticity of most valuable collectibles. That said, ungraded samples of these bills still do command a premium to the stated value.

A copy of the 6th edition (2014) of Warman’s Coins and Paper Money Identification and Price Guide listed the prices as low as $2,000 in XF condition for the 1934 notes and a range of $2,500 and $3,000 in CU condition.

A U.S. $1 bill states “THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE.” A sample of the $1,000 says the exact same but it further adds “AND IS REDEEMABLE IN LAWFUL MONEY AT THE UNITED STATES TREASURY, OR AT ANY FEDERAL RESERVE BANK.”

If you happen to find a $1,000 bill hiding when you are cleaning out an old relative’s house, do not dare redeem it at face value.

There are also U.S. denominated bills at the $5,000 and even the $10,000 mark from the same period. Those command even higher premiums, but that is another story entirely.