25,000 bills going to be extinct?

[RAINMAKER]

I have read on here in a few places that they may do away with the 25k and 10k bills? Do you guys really think this could happen and they go into the lower denoms only and we get stuck with the 25k bills?

[cbs71]

I don't know about totally doing away with the large denoms, but they do want them out of circulation. Listen, it is no different here in the US. Have you ever seen a 10 or 25K bill here? Or better yet, a 1k bill? They are scarce but they are still legal tender and its worth more than what its really worth.

IMO...that is just one of the reasons why I see a rate of $3.22 or higher because they want the larger denoms off the market..again, my opinion.

[hopefullbk]

I think its safe to say, we want them to start getting rid of the 25,000, 10,000, 5,000, etc... When those start to disappear or be "raised" from the currency that would mean that smaller denominations are moving into circulation. According to the experts, that would be an impending sign of the RV. Most confuse this with the word LOPP. LOPP and Raised are very different. I have no idea whats going to happen but the answer to your question could be really good news if they were to get rid of large notes.

[RAINMAKER]

You think they will take it out of circulation and render these things useless or be forced to sell short of the value because we have a short shelf life?

[aliveandcare]

I don't know about totally doing away with the large denoms, but they do want them out of circulation. Listen, it is no different here in the US. Have you ever seen a 10 or 25K bill here? Or better yet, a 1k bill? They are scarce but they are still legal tender and its worth more than what its really worth.

IMO...that is just one of the reasons why I see a rate of $3.22 or higher because they want the larger denoms off the market..again, my opinion.

Very true. You beat me to it. Although, US never had a 25k bill. Highest was 10,000.00. Discontinued with the 500, 1000, and 5000 dollar bills july 14, 1969.

They were discontinued. But still can be spent as legal tender today ( although you would be a complete jackass to spend them.. Idiotic).

The same would probably happen if Iraq did this.

[Mr. Mont]

I have read on here in a few places that they may do away with the 25k and 10k bills? Do you guys really think this could happen and they go into the lower denoms only and we get stuck with the 25k bills?

My personal opinion is that they are trying to get as many 25k bills out of circulation. Even if they decide to drop the zeros, I believe that will give us time to turn in our 25k notes. (30, 60, 90 days)

[truckdriver]

NO I THINK THEY NEED THE 25000 NOTES TO SALE AT AUCTION THRU CBI & WILL NEED THEM FOR A LONG TIME

[Vegas75]

For transportation purposes I've purchased all minus 1mill in 25k Notes, so I'm hoping by the time that comes around I can just walk into a bank and brake them down into smaller notes if I don't want to cash out at the small rate

[wingsofhope]

its all good. you didn't have to trade in your old 20's and 5 dollar bills when they were replaced. They are destroyed as they are collected but full credit will be given

[DeadGuy]

Please explain how my bank in Ohio will replace my 25K bill that they had to order?

That's where I'm getting lost. If the RV hasn't happened yet, but they call in all 25K notes would I have to sell back to the bank and rebuy?

OR..... would all of this happen AFTER the RV? And would be possible to do it unless the currency was revalued?

Thanks

[hopefullbk]

Please explain how my bank in Ohio will replace my 25K bill that they had to order?

That's where I'm getting lost. If the RV hasn't happened yet, but they call in all 25K notes would I have to sell back to the bank and rebuy?

OR..... would all of this happen AFTER the RV? And would be possible to do it unless the currency was revalued?

Thanks

They're not "calling in" notes. Raising of the zeros simply means as the large bills make their way to the banking system, they will not be put back into circulation. So, If an Iraqi goes into a store and submits one of his/her 25000 notes, that note gets collected from the vendor at point of sale. Than note then makes its way from the vendor to the vendors bank account. When that vendor goes to the bank in the future to withdraw 25000, they will not get a 25000 note, they would get a mixture of smaller denoms that will total 25000.

The above is an example of how the large notes make their way into the banking system as well as an example of how the large denoms will not be recycled or put back into circulation. They will not be calling in all large notes, just "raising" them from the system.. I hope that make sense.

[Captjohn]

I have read on here in a few places that they may do away with the 25k and 10k bills? Do you guys really think this could happen and they go into the lower denoms only and we get stuck with the 25k bills?

They have stated their intention to withdraw and retire the 'ooo's bills from circulation. You will still get RV value for them when you exchange.

[Uncle Barkie]

Makes you wonder if you should at least hold one note back as they will eventually be collectible as they get turned in and possibly destroyed ! NAAAHHH ! Show me the money ... .

[Networth]

The 25,000 note will still be of value....it is a currency and they just cant say it is worthless

Why? I think they can absolutely say it is worthless. It is their currency. They can do what they want. Don't get me wrong, I hope they don't. But it is certainly not outside the realm of possiblity. For example, our own gov't could declare the $50 as no longer legal tender. I don't think they would because in our case there would be signifcant political problems. The $50 bill is widely owned and circulated. But it is certainly within their authority. In Iraq's case, they may not have the same political ramifications. Remember, the purpose of the RV is not to benefit us. If we are the majority of the people that own 25K notes, there is very little political risk in simply declaring it invalid. We shouldn't dismiss the possibility.

[Shylmysten]

I have read on here in a few places that they may do away with the 25k and 10k bills? Do you guys really think this could happen and they go into the lower denoms only and we get stuck with the 25k bills?

No matter what happens, those notes will still be legal tender. Everyone says where is the money going to come from to pay all of this out...and IMHO, I think things will play out like this.

We are currently seeing, as reported by contractors, that they are no longer being paid in the large denominations, and as those large denomination come back to the bank, they are being destroyed, or kept in reserves for Government Transaction - which are mostly done in digital these days.

Secondly, we will see a very low-ball revalue of the dinar, just enough to make it a legitmately traded currency around the world - just enough to be recognized by the IMF - 10 - 50 cents to the dollar. This will bring in the first wave of people cashing out and thus the Central Bank of Iraq will buy back their Dinars at 10 - 50 cents on the dollars...and if you KNOW like everyone else they are going to revalue much higher, they just made a buttload of money of the first wave of suckers.

Then after that wave starts to ebb, we'll see another revalue, which will bring in another wave of people cashing in...this time maybe 60 - 80 cents on the dollar. This just made the Central bank another buttload of money, and knowing the potential value of their currency tells you that without a doubt.

Think about it....if they intend on RVing anywhere above $2 they just made $1.50-$1.90 per dinar they bought back from the first wave.

Then the second wave they made another $1.40-$1.20 on the second wave.

Lets just say they exchanged 1 billion dinar in the first two waves - well you do the math - they made a BUTTLOAD OF MONEY of the suckers, buying back their currency, far below what the REAL POTENTIAL exchange rate of the DInar will eventually be.

I think this is how we will see things played out...but that's just IMHO...

[SEB]

Why? I think they can absolutely say it is worthless. It is their currency. They can do what they want. Don't get me wrong, I hope they don't. But it is certainly not outside the realm of possiblity. For example, our own gov't could declare the $50 as no longer legal tender. I don't think they would because in our case there would be signifcant political problems. The $50 bill is widely owned and circulated. But it is certainly within their authority. In Iraq's case, they may not have the same political ramifications. Remember, the purpose of the RV is not to benefit us. If we are the majority of the people that own 25K notes, there is very little political risk in simply declaring it invalid. We shouldn't dismiss the possibility.

You make a great point, but think about all the US investors that would no longer want to do buisness with them if they did do that............IMO..

[DeadGuy]

I think you have hit it DEAD ON. That way speculators will also be BUYING Dinars as we are selling ours.

That way, there's no huge difference and people just cashing in and leaving. While we will be cashing in,

others will be buying in because they were on the fence about all of this.

We just happen to in on the ground floor. If it starts at .10 - .20 I'll hold mine for a couple of weeks to try and see a trend.

buds

[Hfeliu]

No matter what happens, those notes will still be legal tender. Everyone says where is the money going to come from to pay all of this out...and IMHO, I think things will play out like this.

We are currently seeing, as reported by contractors, that they are no longer being paid in the large denominations, and as those large denomination come back to the bank, they are being destroyed, or kept in reserves for Government Transaction - which are mostly done in digital these days.

Secondly, we will see a very low-ball revalue of the dinar, just enough to make it a legitmately traded currency around the world - just enough to be recognized by the IMF - 10 - 50 cents to the dollar. This will bring in the first wave of people cashing out and thus the Central Bank of Iraq will buy back their Dinars at 10 - 50 cents on the dollars...and if you KNOW like everyone else they are going to revalue much higher, they just made a buttload of money of the first wave of suckers.

Then after that wave starts to ebb, we'll see another revalue, which will bring in another wave of people cashing in...this time maybe 60 - 80 cents on the dollar. This just made the Central bank another buttload of money, and knowing the potential value of their currency tells you that without a doubt.

Think about it....if they intend on RVing anywhere above $2 they just made $1.50-$1.90 per dinar they bought back from the first wave.

Then the second wave they made another $1.40-$1.20 on the second wave.

Lets just say they exchanged 1 billion dinar in the first two waves - well you do the math - they made a BUTTLOAD OF MONEY of the suckers, buying back their currency, far below what the REAL POTENTIAL exchange rate of the DInar will eventually be.

I think this is how we will see things played out...but that's just IMHO...

I agree with you 100% Shylmysten, which is why i'm holding out until it reaches somewhere in the 3+ range, 3.22 or so.

[RAINMAKER]

Great points. This sight has been nothing but helpful. Even the negative people really stimulate and spark some valid points from both sides. Thank you all. You are A+

[gman51]

Very true. You beat me to it. Although, US never had a 25k bill. Highest was 10,000.00. Discontinued with the 500, 1000, and 5000 dollar bills july 14, 1969.

They were discontinued. But still can be spent as legal tender today ( although you would be a complete jackass to spend them.. Idiotic).

The same would probably happen if Iraq did this.

Actually there was a $100,000.00 note at one time. They were "Bank Transfer Notes" but legal tender. There used to be a display of ten of them in a window at the Horseshoe Casino in downtown Las Vegas. I saw them with my own eyes.

[gman51]

No matter what happens, those notes will still be legal tender. Everyone says where is the money going to come from to pay all of this out...and IMHO, I think things will play out like this.

We are currently seeing, as reported by contractors, that they are no longer being paid in the large denominations, and as those large denomination come back to the bank, they are being destroyed, or kept in reserves for Government Transaction - which are mostly done in digital these days.

Secondly, we will see a very low-ball revalue of the dinar, just enough to make it a legitmately traded currency around the world - just enough to be recognized by the IMF - 10 - 50 cents to the dollar. This will bring in the first wave of people cashing out and thus the Central Bank of Iraq will buy back their Dinars at 10 - 50 cents on the dollars...and if you KNOW like everyone else they are going to revalue much higher, they just made a buttload of money of the first wave of suckers.

Then after that wave starts to ebb, we'll see another revalue, which will bring in another wave of people cashing in...this time maybe 60 - 80 cents on the dollar. This just made the Central bank another buttload of money, and knowing the potential value of their currency tells you that without a doubt.

Think about it....if they intend on RVing anywhere above $2 they just made $1.50-$1.90 per dinar they bought back from the first wave.

Then the second wave they made another $1.40-$1.20 on the second wave.

Lets just say they exchanged 1 billion dinar in the first two waves - well you do the math - they made a BUTTLOAD OF MONEY of the suckers, buying back their currency, far below what the REAL POTENTIAL exchange rate of the DInar will eventually be.

I think this is how we will see things played out...but that's just IMHO...

This is a good scenario, but think of this: let's say that 1 billion is turned in, in the first round, and speculators then buy 10 billion, knowing what the GOI is trying to do. The GOI would LOSE A BUTTLOAD of money in this scenario. I am sure that the professionals are watching and waiting for something just like this to happen. That is why an RV at a higher rate seems more feasible and less risky to the GOI.

[Dr Hubby]

This is a very interesting exchange, I can't help but think the smart thing to do as others have suggested here, is to hang on to a large amount if the rate comes out low ball, and see where it goes. It seems to me, to be inevitable for a higher rate to come along after the dust clears.

[Darin]

This is a good scenario, but think of this: let's say that 1 billion is turned in, in the first round, and speculators then buy 10 billion, knowing what the GOI is trying to do. The GOI would LOSE A BUTTLOAD of money in this scenario. I am sure that the professionals are watching and waiting for something just like this to happen. That is why an RV at a higher rate seems more feasible and less risky to the GOI.

Good points!

I am sure Governments & larger corporations would be sitting on a large portion and would likely not exchange immediately.

If they did the RV in steps, other people would hope the gravy trains from small individuals to Governments or Corps.

I believe that we as individuals are only a very small portion (%) of Dinar holders...

Governments & big corporations are the ones that hold a larger % of Dinar outside of Iraq.

Above is opinionated and not fact, btw...

[hopefullbk]

What is interesting is that dinar trade no longer offers (or at least at this time) anything smaller than a 25k note for purchase.

I guess that could mean 1 of 2 things:

1) Iraq is truley using more of those smaller notes for daily transactions. (and by smaller I dont mean the ones we are interested in seeing, more like the 250 note.)

2) Iraq could be planning something funny to do to speculators that hold the 25k notes. ugh!

Again, if its true that countries hold tons of dinars, I would bet ya they hold them electronically, not phyically. That would leave just us speculators at risk if thats true. No matter what they decide to do, no BIG holders would lose, just the speculators.

Enough bad thoughts for me for today. Just thowing that out there to make sure we're all thinking about every option is all.

[Dr Hubby]

What is interesting is that dinar trade no longer offers (or at least at this time) anything smaller than a 25k note for purchase.

I guess that could mean 1 of 2 things:

1) Iraq is truley using more of those smaller notes for daily transactions. (and by smaller I dont mean the ones we are interested in seeing, more like the 250 note.)

2) Iraq could be planning something funny to do to speculators that hold the 25k notes. ugh!

Again, if its true that countries hold tons of dinars, I would bet ya they hold them electronically, not phyically. That would leave just us speculators at risk if thats true. No matter what they decide to do, no BIG holders would lose, just the speculators.

Enough bad thoughts for me for today. Just thowing that out there to make sure we're all thinking about every option is all.

Thats really a depressing thought hopefullbk, I never actually pondered this. Well thanks for that one....... I guess it's best to consider all scenarios.