Paper money has been around for thousands of years. In fact the first known use of paper money was in 812. At that time the Chinese emperor used bank notes as a temporary solution to the inability to produce metal coins due to a copper shortage. This new form of currency became incredibly popular, and by 970, paper money became the dominant monetary unit of China. Initially, these bank notes carried a guarantee for coin reimbursement at any time. The oldest existing bank note – also Chinese – is a Ming dynasty 1000 cash note from the Great War era, which was from 1368 to 1398.

Just as in China, European bank notes began as emergency stop gaps for shortages of coin money. The first emergency paper money was printed in 1483, and the first bank notes were printed in the 17th century.

Over centuries paper money and bank notes bounced in and out of popularity. Between metal shortages, coin devaluation, political posturing between kings and their merchants, and a host of other distresses; paper money and banknotes were irregularly in and out of circulation.

By the 1920s, paper money and bank notes were being used by significantly more countries around the world, and by the late 1960s almost all countries around the globe had converted to their use.

Around the 1950s, people began to collect paper money and bank notes in the same fashion as coin collectors. Until recently, collecting paper money and bank notes has not enjoyed the same popularity as coin collecting. Now with paper money and bank notes becoming more historically relevant, collecting these notes for beauty and value is becoming one of the fastest forms of numismatic collecting.

Getting Started

Here are some tips if you are interested in collecting paper money and bank notes.

Research – Learn everything you can about the subject. The types, styles, origin, and prices of paper money and bank notes are very important to collecting.

Quality Over Quantity – It may be tempting to go out and buy many low value or low quality notes. Do not do this. It is better to have fewer high quality notes than a mass amount of junk paper money.

Patience – Perhaps the most important tip of all. Patience is absolutely required to collect bank notes and paper money. A high quality collection does not come over night and a collection’s value appreciation is slow coming as well. Do not begin collecting unless you have the patience for it.

So, if the history and styling of paper money and bank notes intrigues you, and if you have the patience for it; go out and start looking for some interesting notes. The beauty of collecting is that you never know what you will find or the story behind it.