National Bank Note

<p>National Bank Notes were <a href="/facts/United_States_currency/naEEDUhC">United States currency</a> <a href="/facts/Banknotes/mm6H2XI4">banknotes</a> issued by <a href="/facts/National_Bank_Act/kn95KHkh">national banks</a> chartered by the <a href="/facts/United_States_Government/VJCxUaf7">United States Government</a>. The notes were usually backed by <a href="/facts/United_States/P0sCdLe5">United States</a> <a href="/facts/Bond_(finance)/qlmpLj0k">bonds</a> the bank deposited with the <a href="/facts/United_States_Treasury/lDmua740">United States Treasury</a>. In addition, banks were required to maintain a redemption fund amounting to five percent of any outstanding note balance, in gold or "lawful money." The notes were not <a href="/facts/Legal_tender/VHLm0xnf">legal tender</a> in general, but were satisfactory for nearly all payments to and by the federal government.
</p><p>National Bank Notes were retired as a currency type by the U.S. government in the 1930s, when U.S. currency was consolidated into <a href="/facts/Federal_Reserve_Notes/aTz7bucb">Federal Reserve Notes</a>, <a href="/facts/United_States_Notes/GvoQva28">United States Notes</a>, and <a href="/facts/Silver_certificate_(United_States)/PhloY0wV">silver certificates</a>.
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National Bank Note open-in-new

National Bank Note