On This Day in 1929: Small-Size Currency

On July 10, 1929, the first small-sized and newly designed U.S. currency notes were placed into circulation.  The reduced size notes replaced paper notes issued since 1861. 

 Adopted in part to cut paper costs, the notes enabled the Bureau of Engraving and Printing to convert from 8 to 12 notes per sheet. However, before the small-currency could be issued, the Bureau of Engraving and Printing had to prepare for the new design by developing new procedures, engraving new plates and altering old or installing new equipment.

  Federal Reserve banks and branches were authorized to 
make available to commercial banking institutions of their respective districts limited amounts of the new small-size currency.  

Introducing the new currency required the development of a marketing plan.  The Treasury Department Circular 415, together with a statement fixing July 10, 1929, as the date for the initial issue of new small-size currency, Federal Reserve banks were authorized to offer exhibit sets of the new currency to banks in their districts, and Undersecretary Mills delivered a radio address describing the initiative

Bureau of Engraving and Printing images are from the Library of Congress' National Photo Company Collection.  Click here for additional images and descriptions.



Ernster, the Virtual Library Cat