1863 25 cents Fractional Currency Note - Third Issue

March 3, 1863Denomination: Twenty Five Cents

Signatures: Colby & SpinnerPortrait: William Pitt Fessenden

Front Text: Act Approved March 3d 1863 - United States Fractional Currency - Receivable For All United States Stamps - Twenty Five Cents - Furnished Only By The Assistant Treasurers And Designated Depositories of the United States - Treasury Department - Register - Treasurer

Back Text: This Note is Exchangeable for United States Notes By Assistant Treasurers And Designated Depositories Of The United States in the sums not less than Three Dollars. Receivable In Payment Of All Dues To The United States Less Than Five Dollars Except Customs.

Fractional or postage currency has a rich history. At the beginning of the Civil War people starting hoarding coins for their precious metal content. Coins became difficult to find because of the hoarding. People started to try to use stamps instead of coins as a means of commerce. The government decided to help ease the hoarding issue by issuing "paper coins" also known as postage currency or fractional currency. Fractional currency was first issued on August 21, 1862 and they were last issued on February 15, 1876. Three cents, five cents, ten cents, twenty-five cents, and fifty cents notes were all issued. Fractional currency is physically smaller than other United States money. It also does not have a serial number.

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