1905 $20 Dollar Bill Gold Certificate Technicolor
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Currency Appraisal and Old Paper Money Dealer
Greg Davis

Refunding Certificate - Series 1879

Due to an act of Congress in 1879 the Refunding Certificate was issued.
The goal was to make government securities accessible to the public.
The denomination was smallish at $10.00, putting the certificate within reach of most anyone.
Refunding Certificates were to accrue interest at 4% per year indefinitely.
In 1907 Congress passed a bill halting the interest on the refunding certificate.
This 1907 act rendered them redeemable for $21.30, the amount of accrued interest + Principal from 1879 to 1907.
Refunding certificates paid simple interest so present value would have been $63.20 without the 1907 Act.
Refunding certificates are not really collected as a set because there are only two types and one is very rare.
The earlier design had a simple back with a form for the conversion of the note in to a bond.
This version of the note is extremely rare. If you own one, contact me for values.
The second version of the certificate had a more ornate back and is the one commonly collected today.
There are only two known examples of the first type, one is locked away in a Federal collection.
The other Refunding certificate is ensconced in the Bass estate waiting to be freed.
There are slightly over 150 examples of the second type and it's not a hard note to buy.
A mid grade example can cost from $1500 to $2000. A range of values would be from $600 to $14,000 for a Gem.

Refunding Certificate Series 1879 Refunding Certificate Series 1879