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Owning Small Denonimations vs Large


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Is there any benefit to buying/having smaller denominations vs the 25,000 notes?

 

Wondering if there would be any advantage if and when we "cash in".

 

Thanks

Imho...No. 

 

I have only 25k notes .

  Let's say the Dinar revalues to 1-$1.

 

  A 25,000 note is worth $25,000. Where as a 1,000 note would be worth $1,000.

 

 If I went to cash in one of each note wouldn't the $25,000 transaction trigger the Tax Man,...while a small $1,000 transaction would stay below the Tax Mans' radar?

 

 Just wondering

That implies that there would be a 100,000% (or 1,000 fold) gain increase......Un-realistic imvho.

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I woke early this week and the TV was on. There was a story about the gentleman that invented beanie babies!! In an effort to avoid 5 million in taxes he moved some money off shore. When caught.... Tried.....and convicted he ended up owing our uncle 54 million in back taxes interest and penalties. My personal advice.... Don't play games....pay your taxes whatever they are and be thankful you had the money to pay!

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  Let's say the Dinar revalues to 1-$1.

 

  A 25,000 note is worth $25,000. Where as a 1,000 note would be worth $1,000.

 

 If I went to cash in one of each note wouldn't the $25,000 transaction trigger the Tax Man,...while a small $1,000 transaction would stay below the Tax Mans' radar?

 

 Just wondering

The good thing about holding the larger notes is that they take up less space. And when exchanging/depositing them into the bank the bulk will be smaller.

 

BUT..........

 

When just cashing out a small amount....YES....smaller notes will be better.   The USA banks have to report anything $10,000.00 or more to the IRS.   So therefor you should have smaller denominations so that you can cash out some discreetly without sending up any red flags.

 

Thats the only reason I see in holding smaller notes.  For that purpose.

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there was once a 100,000% decrease in its value correct?

True but that value was not the true market value ..... It was what Saddam said it was.

Hell he could have said it was worth $600 to 1 dinar ..... But alas $3.60 was all hr could get away with.

Since then the population and currency supply have exploded exponentially.

I'll hold out for $0.10 ..... Anything more than that would be nice but seems like a bit of a pipe dream at this stage.

Unlike a lot of people in the dinar community I never got into this expecting to be an overnight millionaire

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Obviously we all probably have differing opinions here on the value of smaller ntoes. If you take your notes to a bank they could care less what denoms still the same thing. To a private party or on ebay you can probably squeeze a few extra bucks out of the smaller notes however you also paid more for them upfront so it's really no gain to you unless a dealer is running some special where you getting smaller notes for the same price. As forthose of you wanting to dodge the taxman saying 25k notes will require a fincen form being filed because transaction is over 10k I think your overly optimistic that a 25k note will some day be over 10k, at least not in the near future

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there was once a 100,000% decrease in its value correct?

Yes, so we were told.......

 

Still  my personal opinion is that it's impossible  to get a 100,000% ( or 1,000 fold) gain revaluation of their currency...Sounds simply un-realistic.... Would love to be wrong.

 

 

 There's a lot in between  a plain zero and a 100,000% gain RV anyway...  10, 20, 40 fold.... Still wouldn't be bad....

 

 

Once again.. JMVHO.

Edited by umbertino
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I woke early this week and the TV was on. There was a story about the gentleman that invented beanie babies!! In an effort to avoid 5 million in taxes he moved some money off shore. When caught.... Tried.....and convicted he ended up owing our uncle 54 million in back taxes interest and penalties. My personal advice.... Don't play games....pay your taxes whatever they are and be thankful you had the money to pay!

 

Now you know when this baby pops, there are know-it-alls who think they can beat the system.

If you are an American I think it is shameful to even try!

I guess some think that it ain't stealing unless you are caught. :(

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Now you know when this baby pops, there are know-it-alls who think they can beat the system.

If you are an American I think it is shameful to even try!

I guess some think that it ain't stealing unless you are caught. :(

 

I believe it to be unAmerican to NOT try and get out of unfair taxes.

Edited by Xet
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A dinar is a dinar friend. Large notes take less space to store

Actually the smaller notes would take up less space. You could put more small notes on a pallet than large notes...You just wouldn't have as much value per pallet of smaller notes as the larger notes.

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Actually the smaller notes would take up less space. You could put more small notes on a pallet than large notes...You just wouldn't have as much value per pallet of smaller notes as the larger notes.

Ha ha ha ..... Right if we're talking about space saving i'd rather have one 25,000 bill than 500 x 50 iqd notes LOL

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Actually the smaller notes would take up less space. You could put more small notes on a pallet than large notes...You just wouldn't have as much value per pallet of smaller notes as the larger notes.

 

Snatcher, which weighs more a pound of feathers or a pound of rocks?

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  • 3 weeks later...
Question:
From doing a bit of preliminary research before speaking with you, I noticed on many Dinar websites the small notes sell for much much more than the larger notes. What is the reason for this?
Answer:
Well, I guess its two fold. Part of it is that even for us dealers and brokers, there’s a premium placed on the smaller notes. We pay more for them so we charge more for them.
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That said oftentimes certain denomination notes don’t really cost that much more than larger notes to us, but sell for a much larger premium. From that perspective it’s a marketing gimmick that people should pay more and buy smaller notes. It just means bigger profits for dealers.
The most popular Iraqi Dinar note by far is the 25,000 denomination note. That is also the cheapest note for me to get from my brokers. The 10,000 denomination notes, 5,000 denomination notes, and even 1,000 denomination notes aren’t that much more expensive than the 25,000 denomination notes.
Once you start getting down to the 50, 250, and 500 denomination notes the price does increase dramatically even for myself and other dealers.
I remember a while back reading on a message board a guy talking about how he bought a million uncirculated Iraqi Dinar in 50 denomination notes for $6,000. He talked about what a steal of a deal he got. I thought the guy was insane as a million Dinar in 25,000 denomination notes at the time was selling for around $1,000.
I was kind of curious, so inquired with my broker at the time who quoted me a price of $6500. Turns out the guy did get a deal in terms of what the notes were going for. Though in my opinion, it’s crazy to pay such high premiums for smaller denomination notes.
Why do the smaller notes go for a premium you may be wondering? Like I said part of it is there’s an added cost to acquiring these. More notes mean more shipping costs.
More notes also mean more printing costs in printing the notes in the first place.
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Lastly, another reason I would guess is because many countries don’t like their smaller notes leaving the country. For example in China, for a long time would not send anything smaller than 100 notes out of the country.
A 100 Chinese Yuan RMB note is worth about $16. They didn’t want the small notes leaving the country because they don’t come back into the country, and then they are strapped with the cost of printing new notes.
I imagine it’s somewhat similar to Iraq. If they are going to let the smaller notes out of the country they are going to charge a premium for them.
That with the added cost of printing the smaller notes, and added shipping cost because of more weight and more bulk this accounts partially for the higher cost.
The other part of the equation which adds to the cost is marketing gimmick and rumor, in my opinion. For years there have been rumors flying around about how before a revalue or rv happens, they will take larger notes out of circulation.
For example, Iraq will get rid of the 25,000 notes and maybe even 10,000 notes and only use denominations of 5,000 and smaller. People are worried this will happen and they will either be stuck with worthless notes, or maybe they would have to either travel to Iraq or pay a dealer to convert their larger notes into smaller notes.
I’m not aware of any other countries or currencies that have phased out smaller notes while still keeping the same currency. This is a rumor that was floating around and played into the dealer’s hands, allowing
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them to charge higher premiums for smaller denomination notes because of this fear.
Lastly before I wrap up on the topic of smaller notes I just wanted to add something about the Mexican Peso that I think somewhat relates to the Dinar in terms of swapping out old notes for new notes.
 

 

One of the amazon books discusses this issue in depth. If you have a amazon prime account you can read it for free. Its discussion with a dinar dealer or something like that. Sorry didnt convert the text in a very good format comming off my tablet but you get the jist of what the article says.

Edited by rulesforrebels
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