As of December 2024, major retailers like Walmart, Costco, and Target have implemented a policy rejecting “mutilated” bills. This includes currency with significant damage such as cuts, tears, stains, discoloration, or other severe wear. The goal is to preserve the integrity of U.S. currency and combat the rising threat of counterfeit bills.
These stores will no longer accept mutilated currency, forcing shoppers to be more aware of their cash’s condition. Consumers holding damaged bills can submit them to the Bureau of Engraving and Printing for evaluation. If the bills are deemed redeemable, they’ll receive a check for the full value.
In response to growing counterfeit concerns, the Federal Reserve plans to release redesigned bills with advanced security features between 2028 and 2038 to further protect the U.S. dollar.
This move highlights a broader shift toward stricter cash-handling practices, placing a new burden on consumers to ensure their currency is in acceptable condition. The full impact will be seen as retailers implement these policies and shoppers adjust.
Sources:
https://www.tododisca.com/en/goodbye-bills-target-walmart-dollars/
https://eladelantado.com/us/dollar-bills-wallmart-dollar-tree-target/
h/t CharlieFoxtrot