Posted on 12/06/2010 3:16:06 PM PST by MamaDearest
A new headache may have been created for US and international currency use as it has been determined that a flaw was created in the printing of up to 30% of all new $100.00 bills scheduled for distribution in 2011.
In a new report by CNBC today, an official familiar with the problem reported that the new $100 bills are so complex that the printers at the mint have experienced massive problems in the creation of the notes.
A significant production problem with new high-tech $100 bills has caused government printers to shut down production of the new notes and to quarantine more than one billion of the bills in huge vaults in Fort Worth, Texas and Washington, DC, CNBC has learned.
An official familiar with the situation told CNBC that 1.1 billion of the new bills have been printed, but they are unusable because of a creasing problem in which paper folds over during production, revealing a blank unlinked portion of the bill face.
A second person familiar with the situation said that at the height of the problem, as many as 30 percent of the bills rolling off the printing press included the flaw, leading to the production shut down.
The total face value of the unusable bills, $110 billion, represents more than ten percent of the entire supply of US currency on the planet, which a government source said is $930 billion in banknotes. For now, the unusable bills are stored in the vaults in "cash packs" of four bundles of 4,000 each, with each pack containing 16,000 bills.
Every few years, the Treasury department spends billions of dollars ensuring against the counterfeiting measures criminals have at their disposal to debase our currency. This new bill for the $100 denomination is expected to be more like Europe in its composition and color scheme, and as such, the complexity for even the mint gets tested with the new model notes.
Assuredly, there is time to address the issue, and for the Treasury to have enough bills to satisfy the markets when 2011 rolls around. But even a slight error such as this one has the capacity to hinder our money supply, especially since the $100 denomination is the most used federal reserve note for national and international transactions.
New
My slumlord experience is the reverse. I’d go to the bank and get cash. Then I’d cash the tenants pay checks at no extra cost to them. They appreciated that over the fees at the currency exchange. Of course, I always got my rent money out of the arrangement as the first in line for the paycheck.
That said, I’ve never lost a dime off the working poor. But off the welfare poor, whose checks were exactly the same amount, I’ve lost big time. I don’t rent to many of them anymore ... just 1 in the past 8 years ... and that one is the only one to stiff me in 8 years.
Actually, he’s grown so fond of his nickname among conservatives and folks who remember a few words of the Constitution that he’s signed the new bills “Timmy Turbotax.”
Watch “PAWN STARS” on the History Channel
Pay their customers in cash with $100 bills.....
Why not just xerox some good $100s and fax them to everyone?
Everyone in my family carries a hundred dollar bill tucked away in a secret place separate from the wallet or purse. This is for use only in dire emergencies, and woe to my child who cannot produce his or her bill for my inspection when summoned.
This is a long-standing family tradition, although in days gone by it was a $5 or $10 bill. My grandma used to say, you can’t solve every problem with a sawbuck, but you sure can solve a lot of them.
A billion pieces of expesive, high tech paper wasted? Better order some more supplies. And I suppose the missing hard drives had fallen behind a photocopier too?
Ever been to the bank on the 1st or 15th of the month? Many people cash out payroll checks in cash.
I do. Even though they aren’t worth what they used to be, I use them as a way of budgeting myself. And I think the drug argument is a mainstream media ploy telling us we shouldn’t use cash. Cash is the greatest protector of our privacy and freedom. Imagine BO & Co could decide they didn’t like your conservative politics and could turn off your cards. DHS has already started painting us a right wing kooks. Cutting off our money is one way to stop us. And you can cut off cards, but you can’t cut off cash.
Also, I have absolutely no debt because I try and pay everything via cash or check. No way to get in trouble if you do that. Cash is freedom. And who is against freedom?
And now they're in the auto-building business.
Outsource to China. They’re masters at making knock off’s
Incompetency continues to reveal itself at nearly every level of the Federal Government.
Here in the DC area, every once in a while I go to an ATM and punch in “$100” expecting 5 crisp new $20 bills to shuffle out. Instead, one $100 bill is dispensed. It’s actually a bit of a letdown.
Bank of America ATMs, in particular, seem to be stocked with $100s.
You may find this of interest.
This government is getting to the point where they cannot execute the most basic responsibility without screw-ups.
Some of it has to be related to the push to appoint and hire people for reasons other than ability and competency.
Now they want to screw the military up even more with their “progressive” agenda.
That scares the heck out of me.
It’s one thing to mess up the printing of money or the security of State Department communications but another to mess up the defense of the nation.
Several years ago, I was in La Jolla, very nice place in town. The ATMs ONLY dispensed in $100 increments. I had never seen that before. Of course I once came across an ATM that dispensed in $5 increments but that was in Baltimore, in a not so nice part of town.
It was bound to happen when they crank up the presses as they have. Literally.
"There ought to be limits to freedom"
--George W. Bush, May 21, 1999
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