If less than 20 per cent of the banknote is missing: Full face value is paid.
If between 20 and 80 per cent of the banknote is missing: Value is paid in proportion with the percentage remaining, e.g. $5 value for half of a $10 banknote.
If more than 80 per cent of the banknote is missing: No value is paid.
Can't say I've ever seen Australian currency ripped but good to know. Maybe next time I need to give change to someone, I can just cut the banknote in proportion.
So you can remove 10% from 10 $100 notes & tape the strips together. 1 free $100?
Just five even! Aren't there serial numbers and such though?
5 will get you 50% of the value ; you need at least 80% to get the full value.
5 x 20% = 100%
Make that 4..
4*20% =80%.. that's all you need.. :)
Oh Lord…RBA OzBargained???
The faster we remove cash out of circulation, the better.
It's already starting with stuff like paywave and payment via NFC.
"Starting"!? It "started" a few decades ago, yet most people still prefer cash.
Most people? Have there been surveys done on that? I certainly don't, and haven't for years.
cash is fast…
two queues to buy train tickets on monday mornings, the one that predominately has cash payers moves 4-5 times as fast
my grandma is scared of a cashless world, poor thing.
So what's the point of the title? If you rip it in half, you have exactly the same total value as you started with.
Couldn't think of what to put in the title but the point is if you rip your currency, they will replace it in full if you have most of the bill. While not recommended, if you needed to split a bill and didn't have change you could rip the bill to the amount you need. Both parties would simply need to go to a bank to get a fresh bill.
Just so you are aware
Deliberately damaging ccurrency is a federal crime.
Any portion of a note is not Just taken
The bank will replace any damaged note that is greater than half, can't turn in less than half of a note
I was curious about details of this offence.
http://banknotes.rba.gov.au/deliberatedamage.html
I wonder how people who make watches out of old pennies are treated. Also, those kids who put coins on train lines have yet another reason not to do it. ;)
But back on topic, I imagine if you walked in weekly with a Frankenstein $5 note, you'd need to factor the possibility of some $5000 fines into the bargain.
Hi all, this is the first time I've heard about % of monies being given due to a torn note. If the serial # is not damaged / missing your entitled to full amount. When did this so called law come in? Cheers all
A so called Google search reveals the following in terms of an official explanation of the RBA policy:
http://banknotes.rba.gov.au/damagedbanknotes.html
I could be wrong, but I don't think a law would be required to describe the day to day nitty gritty of such things. Responsibility for defining the detailed policies would be delegated to the RBA.
The OP already posted that link. And what's with the "so called" in describing the Google search?
It's grammatically correct, if a little redundant.
Maybe they don't like Google?
Yes, it sounds like they don't think it's worthy of being called a search tool. Or perhaps that it's not really Google's.
Once financial institutions get hold of them, the mute notes are sent to treasury for destruction.
I'm confident that the percentage account for whether the serial numbers are missing from the remainder or not, if one is missing, that would be >20% value loss, if both are missing, it would be worth zero. the serial numbers of the damaged notes would be logged before destruction (most likely in a database with your ID), and submitting a second banknote with the same serial number would then alert the bank of a fraudulent note.
@paulsterio
Not that cashless rubbish. You want the government to know exactly what you buy, when you buy, and in what quantity? Every. Single. Thing. Combined with the Opal card now, they know exactly where you travel + all those "rewards" cards. You have a detailed profile up on what you earn and what you spend for sale that would make Google blush. Then technically, its not going to happen. You won't have 100% uptime for a start. More like a future nightmare … .
Oh - it will happen, even though people prefer cash. When does government give us a choice? When they cause the next financial crash, that's probably when they'll force cashless on us.
It won't be forced, we'll lap it up - cheaper travel on opal card. ING 5% cash back??
There were Gen-Ys queueing up for RFID implants ten years ago.
Just for the convenience of "VIP" night club entry.
So convenience and security — they're the sweet carrots. There are also sticks…
Yeah, the banks have never seen this scam before. :)
I handle cash at work; quite often I see ripped or taped up notes.