Counterfeit Money Risk Management

While I was at a local convenience store recently, a clerk had a confrontation with a customer over a questionable $100 bill. The clerk was using a counterfeit detecting pen. While the bill appeared to be legitimate, the pen indicated it was a counterfeit. The customer made a scene and stormed out of the store. Who knows if the bill was legitimate or not.

It got me thinking about the proper steps to take if you suspect that a bill is counterfeit. The following is from the US Treasury Department's "Know Your Money" website (http://www.ustreas.gov/usss/know_your_money.shtml):

If You Receive a Counterfeit Bill:

• Do not return it to the passer.
• Delay the passer if possible.
• Observe the passer's description, as well as that of any companions, and the license plate numbers of any vehicles used.
• Contact your local police

department or United States Secret Service field office. These numbers can be found on the inside front page of your local telephone directory.

Write your initials and the date in the white border areas of the suspect note.

Limit the handling of the note. Carefully place it in a protective covering, such as an envelope.

Surrender the note or coin only to a properly identified police officer or a U.S. Secret Service special agent.

I'd add a comment or two about personal safety.

The clerk in my example returned the hundred dollar bill to the customer. Given the temperament of the customer, there was a better than good chance that the confrontation would have turned physical if the clerk had not return the bill. I doubt that the clerk had the proper level of training to really tell if the bill was real or not.

All things considered, I would have returned the bill too. I probably would have added a comment like, "I'm sorry I can't accept this bill. Perhaps this pen is defective. Sorry, I'll lose my job if I accept it."