Rare bank note heads to auction

BY STACI WILSON

A rare 1902 banknote, issued by the Grange National Bank of Susquehanna County at New Milford is expected to fetch far more than its $5 face value at auction later this month.

According to Manning Garrett of Manifest Auctions in Greenville, S.C., the bank note is expected to sell for over $10,000.

“It is in superb condition,” Garrett said, “and is one of only a few know to exist.”

Manifest Auctions specializes in rare banknotes. The find was

consigned to them to sell in a Feb. 28 auction. Garrett said the note came from an estate in New York.

“The most sought after notes are from community banks, like New Milford,” Garrett said.

In addition to its condition, a signed letter from a previous owner is also included and adds value to the collectable.

National banknotes could be issued by any bank in the country between 1863 and 1935, according to Garrett, as long as that bank had a charter with the federal government. The notes were printed in Washington, D.C., and then mailed to local banks where they were signed by the cashier and president of the bank.

“So if you walked into the local New Milford bank with a $20 check, you would very likely get four $5 bills back drawn off The Grange National Bank of Susquehanna County at New Milford,” Garrett explained.

The signature on the note going up for bid is that of William Henry Tingley, president of the New Milford Grange bank from its opening in 1907 until his death in the late 1830s. W.H. Tingley also served as a Susquehanna County Commissioner.

“New Milford only had one national bank. It is currently thought that only eight large size notes from it are still known to exist. The note in our auction is probably in the nicest condition of that group,” Garrett said.

Because the notes were common and generally circulated, few people thought to save the banknotes.

“Today many of them are extremely rare and worth thousands of dollars to the collectors who specialize in them,” Garrett said.

In 1928, paper money in the United States was changed to its current size. Before that, money was about 40 percent bigger than it is today. Garrett said, “People tried their best to get rid of the old over-sized money because they were worried it would be devalued. That never happened, in fact over-sized money is still legal at its face value. However, the collector value is of course much greater than the face value.”

Those interested in the Feb. 28 auction, or in rare coins and banknotes can visit: www.manifestauctions.com.