The U.S. two dollar bill ($2) is a denomination of U.S. currency. The two dollar banknote is still one of the least-common denominations of U.S. currency. Because of its rarity, many Americans remain remarkably superstitious about spending it, which further decreases its circulation. It is so rare that cash registers and other money-handling machinery (such as vending machines) do not accommodate it at all. Many Americans have never held or spent one. There are urban legends that claim some vendors have refused the bill, believing it to be counterfeit. [1] More recently (as of March 2005), a similar incident has been confirmed--a cashier at a Best Buy believed a fee paid in 57 $2 bills was counterfeit (supposedly due to ink smearing, which can happen with legal tender) and had the person paying with them arrested and held in custody until a Secret Service agent confirmed the bills were legal tender. [2][3]

While being handed a two-dollar bill at a store (as change, for example) is certainly uncommon, it is not unheard of. It is rumored that two-dollar bills are commonly found at horse-racing tracks, because their minimum bet is typically two dollars. There is a superstition that using an intact bill is unlucky, and to break the curse, the top right corner is ripped off to drain the bad luck from the bill. It is also rumored that some Gentlemen's Clubs in Las Vegas give change for larger denominations strictly in two dollar bills, probably in order to raise the average tip given to the dancers that work there. However, the surest way to obtain a two-dollar bill is to go to a bank and ask for one. Some people who are otherwise uninterested in currency nevertheless collect the bills.

Two dollar bills are delivered by Federal Reserve Banks in green straps.

History

The United States government first officially issued the $2 bill in July 1862 as an United States Note with a portrait of Alexander Hamilton. The next issue of the $2 United States Note in 1869 featured a portrait of Thomas Jefferson painted by American artist Gilbert Stuart. The large-sized (7.375" x 3.125") $2 bill was also issued as a Silver Certificate, Federal Reserve Bank Note, Treasury or Coin Note, and as a National Bank Note.

In 1929, when all U.S. currency was changed to its current size (6.125" x 2.625"), the $2 bill was kept as an United States Note. Notes were issued in series of 1928, 1953, and 1963. The front of the bill featured a cropped version of Thomas Jefferson's portrait that had been on previous $2 bills. The back of the bill featured Jefferson's home, the Monticello. These $2 bills were officially discontinued in August 1966.

In 1976, the Treasury Department reintroduced the bill as a cost-saving measure. As part of the United States Bicentennial celebration, the note was redesigned and issued as a Federal Reserve Note. The front featured the same portrait of Jefferson, a green instead of red seal and serial numbers, and the picture of Monticello on the back was replaced with an engraved rendition of John Trumbull's painting "The Signing of the Declaration of Independence". 590,720,000 notes from the 1976 series were printed. The bills proved extremely unpopular and printing was quickly stopped.

Many give as a reason for its failure that its value is redundant, being only twice the value of the $1. However, the fact that the $2 bill (and later coin) succeeded in Canada argues against this. Also, by that reasoning, the Dime (being two nickels) and the $10 (being two $5's) would likewise be failures.

Other, more colorful, stories about the reasons for its failure exist.

In 1996 and 1997, 153,600,000 bills were printed [4] as Series 1995 with the signatures of Robert Rubin and Mary Ellen Withrow. In 2004, 121,600,000 of the newest $2 bills, Series 2003, were printed bearing the signatures of John W. Snow and Rosario Marin. Both of these issues have the same design as the Series 1976 $2.

The Two-Dollar Bill in American Consciousness

Where Does a Three Hundred Pound Drunken Sailor Sit? An amusing and perhaps apocryphal story regarding two dollar bills being paid to military servicemen has circulated intermittently in American public consciousness over the years. Unfortunately, the story cannot be verified (and is quite probably false), but the fact that it is constantly retold reflects how Americans view the two dollar bill. And for this reason, it is being retold here.

The basic premise is as follows: a coastal town somewhere has a business district that, while successful financially, is plagued by uncouth Navy servicemen on shore leave. They come in, make a ruckus, get drunk, and generally upset the town's otherwise quiet atmosphere. The locals, who do not appreciate the intrusion, finally get together and lodge a formal complaint with the Navy.

The Navy, in response, decides to teach the arrogant town a lesson in economics and pays a substantial portion of its servicemen's following months' salary in two dollar bills. When the sailors subsequently descend on the town to spend their wages, the local businesses are inundated with two dollar bills; in fact, they realize that they have more two dollar bills than anything else, which certainly grabs their attention.

The message, of course, is that the Navy servicemen on shore leave might very well be boorish and intrusive, but the money they spend represents the livelihood of the store owners responsible for the letter of complaint. Needless to say, they were more patient with the sailors thenceforth.

The fact that this tactic worked, of course, is entirely a result of the two dollar bill's rarity. One dollar bills or five dollar bills would not have been so readily noticed. Two dollar bills drive the point home; there is no way they can be ignored, given that they are almost never seen.

No Comprendo, Dos Dineros A different story is documented on Snopes. In the story, a Taco Bell patron attempts to pay for a burrito with a two dollar bill. The cashier, another cashier, and the store manager all refuse to accept it as valid US currency. When the patron insists on paying with it, they call the cops, who, when they arrive, explain that $2 bills are valid US currency.

Worst Buy Just recently, the above story was replicated by a patron of Best Buy attempting to pay for an electronics installation fee he had originally been promised he wouldn't have to pay for, with $2 bills. The cashier refused to accept them and marked them as counterfeit. This time, when she called the police, even the police didn't recognise $2 bills as valid US currency, and arrested the customer, whereupon he spent a night in jail until a Secret Service Agent arrived and straightened things out. Now the customer is looking at a major lawsuit.

References

• The "History" portion of this article was adapted from an article at the website of the Bureau of Engraving and Printing.

Note that the National Speleological Society annual convention in South Dakota (about 15 years ago) did exactly as your story says the Navy did, so it is a true story. (The National Speleological Society can be contacted at caves.org)