Use Your Old Dollar Bills If You Still Have Them!
Any Canadians who have old paper bills in their wallets have until the end of the year to use them in day-to-day transactions before merchants no longer have to accept them.
The Bank of Canada (BoC) issued a reminder on Thursday that hundreds of millions of $1, $2, $25, $500, and $1,000 bank notes will have their legal tender status removed as of Jan. 1, 2021.
However, the bank says the decision to remove legal tender status from these bills will have little impact on the majority of Canadians.
“Most Canadians will not be affected because the bank notes targeted by this announcement have not been produced in decades and are rarely used in transactions,” the BoC said in a statement.
The BoC noted that stores can still accept these bills as payment if they so choose.
While these rare bills will be losing their status in the coming weeks, it does not mean that the banknotes are suddenly worthless.
Canadians with these outdated bank notes can take them to their financial institution or send them to the BoC to redeem for their face value. The bank added that people can also opt to keep their older banknotes as souvenirs.
However, there may be more money to be made by selling the rarer bills to collectors.
The $500 bill is one of the rarer bank notes, and with just over three dozen of the bills in existence, they are extremely hard to come by. The value of one bill can range from $20,000 to $60,000 depending on its condition,
The $1 and the $2 notes stopped being issued in 1989 and 1996, respectively, and were replaced with the loonie and toonie. Five versions were produced of these bills before they were taken out of circulation.