Walk into a local gas station, slap a crisp bill on the counter, and try to buy a pack of gum. If that bill has William McKinley’s face on it, the clerk is going to think you’re either a billionaire or a very creative counterfeiter. But here’s the thing: you aren't actually crazy.
The question "is there a US 500 dollar bill?" has a surprisingly nuanced answer. Yes, they exist. No, the Bureau of Engraving and Printing isn't churning them out anymore. In fact, they haven't printed one since 1945. It’s a weird legal gray area where the money is technically "legal tender," but trying to use it at Walmart would be a logistical nightmare that likely ends with a call to the Secret Service.
Most people have never seen one. Honestly, most bankers under the age of 50 haven't seen one in person either. They feel like mythic relics from a time when a suitcase full of cash was the only way to move serious weight.
The McKinley High-Denomination Mystery
When we talk about the $500 bill, we are usually talking about the Series 1934 Federal Reserve Note. It features William McKinley, the 25th President of the United States. Why him? It’s kind of a random choice if you aren't a history buff, but at the time, the Treasury wanted to honor a variety of figures, and McKinley made the cut for the five-century mark.
These bills weren't meant for you or me to buy groceries. Back in the day, before wire transfers were a thing and before your iPhone could move ten grand with a thumbprint, banks had a problem. They needed to move massive amounts of capital between branches. Carrying 500 individual one-dollar bills is a literal weight on your shoulders. Carrying a single $500 bill? That’s efficiency.
The Fed officially stopped printing these high-denomination notes in 1945. However, they didn't actually "discontinue" them until July 14, 1969. That was the day the Department of the Treasury and the Federal Reserve System announced that currency notes in denominations of $500, $1,000, $5,000, and $10,000 would be stopped due to "lack of use."
That's the official reason. The real reason? It’s way too easy for criminals to hide money when a small stack of bills equals a million dollars.
Can You Actually Spend One?
Technically, yes. If you found a $500 bill in your grandfather’s attic, it is still worth $500 in the eyes of the US government. You could walk into a bank and deposit it.
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But please, don't do that.
If you deposit it, the bank is legally required to send it back to the Federal Reserve to be shredded. You would get $500 in your account, but you would be throwing away a piece of history that is almost certainly worth more than its face value. Collectors—numismatists, if you want to be fancy—will pay a premium for these. Depending on the condition, a standard 1934 McKinley note can easily fetch $600 to $1,500. If it’s in "uncirculated" condition, you’re looking at even more.
The rarity is the point. There are only a few hundred thousand of these left in private hands. The rest have been hunted down and destroyed by the government over the last fifty years. Every time one enters a bank, it dies.
Different Versions of the Five-Century Note
We usually think of the 1934 series, but the history goes back further. There were $500 "Large Size" notes printed in the late 1800s. These are beautiful, sprawling pieces of art that look more like a diploma than a dollar bill.
- 1882 Gold Certificates: These are the holy grail for some. They were literally backed by gold held in the Treasury.
- 1918 Federal Reserve Seal: These featured John Marshall, the fourth Chief Justice of the Supreme Court. They have a distinct blue seal that pops against the paper.
- 1928 and 1934 Small Size: These are the ones people occasionally find. They look like modern money, just with a different face and a lot more zeros.
The 1928 version is slightly rarer than the 1934. Why? Because the 1934 series was printed in much higher volumes to help move money during the recovery efforts of the Great Depression. If you see a "Star Note"—meaning there is a little star symbol next to the serial number—you’ve basically hit the collector’s jackpot. That means it was a replacement bill for a misprint, and they are incredibly scarce.
The War on Large Cash
Why doesn't the government just bring them back? Inflation has made the $100 bill feel like a $20 bill did in the 90s. It would make sense, right?
The Federal Reserve is staunchly against it. High-denomination bills are the best friend of money launderers and tax evaders. If you want to move $1 million in $100 bills, you need a heavy briefcase. It weighs about 22 pounds. If you could use $500 bills, that weight drops to less than 5 pounds. You could fit a fortune in a jacket pocket.
Larry Summers, the former Treasury Secretary, has actually argued for the elimination of the $100 bill for this very reason. The trend is moving toward digital tracking, not toward making it easier to carry physical cash secretly. So, if you’re waiting for a new $500 bill to drop with maybe FDR or Eisenhower on it, don't hold your breath. It isn't happening.
Identifying a Real $500 Bill vs. a Fake
Because these are so rare, the market is flooded with "novelty" notes. You’ll see them at gift shops or being sold as jokes. They usually have a picture of a cat or a funny politician on them.
A real $500 bill has specific security features that were top-tier for the 1930s. The paper isn't actually paper—it’s a cotton-linen blend. It should feel slightly raised if you run your fingernail over McKinley’s coat (this is called intaglio printing). The ink is high-quality and shouldn't bleed.
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The most common real version you'll see is the Series of 1934. It will have a green seal (Federal Reserve Note) or occasionally a gold seal if it’s an older certificate.
What to Do if You Find One
If you are lucky enough to inherit one or find one tucked inside an old book, follow these steps.
First, do not clean it. Don't use water, don't use soap, and for the love of all that is holy, do not iron it. Collectors want "original" paper. Even a tiny bit of cleaning can tank the value by 50%.
Second, put it in a PVC-free plastic sleeve. You want to protect it from the oils on your skin and the humidity in the air.
Third, get it appraised. Don't just take it to a pawn shop. They’ll offer you $550 and flip it for $1,200. Look for a reputable dealer certified by the Professional Numismatists Guild (PNG) or consider sending it to a grading service like PCGS or PMG. They will give it a numeric grade from 1 to 70. A bill graded "65" (Gem Uncirculated) is worth a small fortune compared to a "20" (Very Fine).
The Bottom Line
Is there a US 500 dollar bill? Absolutely. Is it a practical way to pay for your car's oil change? Absolutely not.
It exists as a ghost of the American financial system—a bridge between the era of physical gold and the era of digital digits. It represents a time when the government trusted its citizens (and its banks) to handle massive amounts of physical wealth in a single hand. Today, it’s a collector’s item, a conversation piece, and a reminder that the way we value money is always, always changing.
Your Next Steps
- Check the Serial Number: If you have a bill, look for that "Star" symbol. It’s the difference between a nice dinner and a down payment on a car.
- Verify the Seal: Ensure it's a green or blue seal. If it looks like it was printed on an inkjet printer, it probably was.
- Visit a Local Coin Show: These are the best places to see real high-denomination notes in person without having to buy one.
- Keep it Out of the Bank: Unless you are desperate for exactly $500, keep that bill out of the banking system to preserve its historical value.
If you're interested in the higher end of this spectrum, start looking into the $1,000 bill (Grover Cleveland) or the legendary $10,000 bill (Salmon P. Chase). They follow the same rules—rare, valuable, and technically legal to spend, though you really shouldn't.