National Bank Notes (1863-1935)

The National Bank Notes era is one of the most fascinating and actively collected periods in American currency history. From 1863 to 1935, federally chartered banks issued their own currency designs, creating thousands of distinct varieties.

What Were National Bank Notes?

National Bank Notes were paper currency issued by individual national banks, backed by U.S. government bonds that the banks were required to deposit with the Treasury:

Each note prominently displayed the issuing bank's name and location
Notes showed the bank's charter number
Designs varied dramatically by bank, region, and print year
Denominations ranged from $1 to $10,000 (though most common notes were $1-$100)

The Numbers: 12,000+ Banks

During the National Bank Notes era:

Over 12,000 individual banks received charters to issue currency
Approximately 14,000 distinct notes (by bank, series, and denomination combination) are catalogued in major references such as Hickman & Oakes' Standard Catalog of National Bank Notes
Each chartered bank could issue notes in multiple denominations ($1, $2, $5, $10, $20, $50, $100) and across multiple series (Original Series, Series 1875, 1882, 1902, 1929)
This created an enormous number of distinct collectible types — a dedicated collector could spend a lifetime and still not complete a state set, let alone a national set
Many banks issued notes in only one denomination or one series before closing, making those particular notes quite scarce

Source: National Bank Notes Census (population data for known surviving examples by bank and series)

Design Characteristics

National Bank Notes from different banks and series varied in:

Titles and text – Each bank's official name, location, and charter number
Vignettes – Engraved portraits and historical scenes
Colors and printing methods – Different print shops used different techniques
Series dates and signatures – Different bank officials signed different series
Security features – As counterfeiting became more of a problem, increasingly sophisticated features were added

Collecting National Bank Notes

National Bank Notes are highly collectible for several reasons:

Extreme variety – With thousands of banks, regional variations, and series differences, collecting possibilities are endless
Local history connection – Collectors often seek notes from banks in their own towns or regions
Beautiful engravings – Many National Bank Note designs are considered among the most artistically attractive American currency ever printed
Historical significance – These notes represent the economic development of America from coast to coast

Types of National Bank Note Collectors

Type collectors – Seek one example of each major design type
State collectors – Collect all known notes from a specific state
City/town collectors – Collect notes from a specific geographic location
Bank collectors – Seek all series and denominations from a single bank
Series date collectors – Focus on specific print years (1863-1875, 1875-1891, etc.)

Availability and Valuation

National Bank Note values vary dramatically:

Common types – Widely issued notes from large banks trade for $50-$300
Scarce types – Notes from smaller banks or rarer series may be worth $300-$1,000
Very rare types – Notes from uncommon banks or extreme rarities can exceed $2,000-$5,000
Condition premium – Uncirculated examples command significant premiums over circulated notes

Why They're No Longer Issued

National Bank Notes ceased being issued in 1935. The Banking Act of 1935 reformed the Federal Reserve System and consolidated monetary policy. The Gold Reserve Act of 1934 had already removed the backing mechanism for National Bank Notes (U.S. government bonds redeemable in gold). By the late 1930s, most National Bank Notes had been withdrawn from circulation. Surviving examples in good condition are now actively collected.

Source: Federal Reserve History: The National Banking Era (1863-1913) · Bureau of Engraving and Printing: National Bank Notes History