Dealing in Counterfeit Obligations of The United States

Dealing in Counterfeit Money – Don’t Do It!

Making or passing counterfeit money, also called counterfeiting, is a serious crime that can land you in prison for many years. I know times are tough and making some extra cash might sound tempting, but trust me – it’s not worth the risk!

Let me break down the law on counterfeiting and explain why you should avoid it at all costs. I’m not here to judge, just want to make sure you have all the facts before making a decision you’ll regret.

It’s Illegal!

The main law that makes counterfeiting illegal is 18 U.S.C. § 472. This law says anyone who makes, passes, or keeps fake US currency with intent to defraud can be fined or imprisoned for up to 20 years, or both. And by currency, I mean coins, paper money, bonds, securities – anything with monetary value issued by the government.

So if you print up some fake $20 bills to spend at the mall, that’s counterfeiting. If you alter a $5 to look like a $50 and try to buy groceries, also counterfeiting. Even if you just make the fake money but don’t actually spend it yet, you can be charged if it looks like you planned to use it fraudulently.

Bottom line: don’t manufacture, possess, or pass counterfeit cash or other securities. You will be breaking federal law and can face very serious penalties if caught.

What Counts as Counterfeit

For money or obligations to be considered counterfeit, they have to closely resemble the real thing. They don’t have to be perfect replicas – just good enough to fool an average person handling money casually [1].

The technical term is having “similitude” – bearing a resemblance that is likely to deceive an honest person. So if you print fake $20s on plain paper without the right colors, symbols, etc., those might not qualify. But anything that can pass for real money in a quick transaction is definitely illegal.

How They Catch Counterfeiters

The Secret Service (yeah, the guys who protect the president) is the main agency that investigates counterfeiting. They have high-tech tools to analyze documents and can spot even subtle differences from real money.

They look for things like:

• Paper texture
• Embedded fibers
• Watermarks
• Magnetic ink
• Fine printing details

So even if you put a lot of effort into making convincing fakes, forensic analysis can prove the money is counterfeit. The Secret Service also investigates money laundering and other financial crimes related to counterfeiting.

How Prosecutors Build a Case

To convict you of counterfeiting, prosecutors need to prove a few key elements [1]:

• You possessed or passed counterfeit currency or obligations
• You knew they were counterfeit
• You intended to use them fraudulently

So if they catch you spending fake bills, that helps show you knew they were counterfeit. Having print supplies, half-finished fakes around, or search records about counterfeiting also build the case. Your intent to defraud can be proven if you try to hide what you’re doing.

Penalties for Counterfeiting

As mentioned earlier, counterfeiting US currency or other financial obligations can lead to:

• Up to 20 years in federal prison
• Fines up to $250,000
• Both prison time and fines

Judges determine sentences based on the unique circumstances of each case. Things that can increase your punishment include [2]:

• Making or possessing counterfeiting equipment
• Possessing firearms while counterfeiting
• Making counterfeits outside the US
• Having a leadership role in a counterfeiting ring
• Counterfeiting a very large quantity of money
• Having a past conviction for counterfeiting

As you can see, penalties rapidly escalate for more serious offenses. So tread very carefully here.

Don’t Pass Counterfeits to Others

Let’s say someone pays you with a counterfeit bill and you don’t realize it’s fake. Then you use that same bill to pay for something else. What happens then?

If it can be proven you knew the money was counterfeit, you could be charged with counterfeiting just like the original passer. But if you genuinely didn’t know, you would not face criminal charges (you’d just lose the money).

The lesson here is – be very careful about accepting cash payments from people you don’t know well. Always inspect bills closely first. If you suspect a bill might be fake, the Secret Service asks that you report it to local authorities or the nearest field office.

Use Caution with Collectibles Too

It’s not just US currency that’s illegal to counterfeit. The law also prohibits making or passing fake bonds, treasury notes, certificates, checks, stamps, money orders, and other financial instruments. Faking collectors items like baseball cards is also prosecuted in some cases.

Really anything that has inherent monetary value could land you in hot water if counterfeited. So do your homework before making replicas of rare coins, art, historical documents, etc. Know the laws and collect responsibly.

What If You Receive Counterfeit Money?

If you unknowingly accept a counterfeit bill as payment, you do have to surrender it if discovered. But you won’t face criminal charges as long as there’s no evidence you knew it was fake or intended to pass it along.

The Secret Service asks that recipients of suspected counterfeit money file a report and hand over the bills to local authorities. Don’t try to spend it or you could accidentally commit a crime!

You Could Also Face State Charges

So far we’ve focused on federal counterfeiting laws. But some states also have additional laws prohibiting counterfeiting currency and documents. In California for example, you could be convicted of:

• Forgery of bills, notes, certificates, etc.
• Possessing counterfeiting equipment
• Passing or receiving counterfeit bills

State penalties for counterfeiting vary, but often include hefty fines and years of jail time. So you could face both federal and state prosecution.

The Bottom Line

I know it’s tempting to think you can get away with passing some fake cash. But trust me, you’re playing with fire here. Get caught and you’ll have a felony conviction that will ruin your career options and follow you for life. Plus face years behind bars.

So do yourself a favor and avoid counterfeiting completely. Find a legal side hustle instead if you need extra income. Your future self will thank you!

Well I hope this overview gave you a better understanding of counterfeiting laws and penalties. Stay safe out there!