We’ve all been there: you pull a crumpled, torn, taped-up, or corner-missing banknote from your wallet. Maybe it was left in the washing machine or came out of an ATM. It’s completely normal to worry that your torn money is now worthless. But I have great news for you: that bill might still be valuable!
We’ve conducted extensive research to clear up all the confusion about exchanging damaged and torn money. We’ll answer questions like, “Will the bank accept a torn banknote?” and help you figure out what to do with a torn Dollar. We’re providing you with the most up-to-date information, sourced directly from official Central Bank of the Republic of Turkey (TCMB) regulations. After reading this article, you will know your rights and exactly what to do with your damaged Turkish Lira, Dollars, or Euros. If you’re ready, let’s start the mission to save your money!
What Should You Do with a Damaged or Torn Turkish Lira Banknote?
When it comes to damaged Turkish Lira, all the answers lie with a single institution: the Central Bank of the Republic of Turkey (TCMB). Fortunately, the TCMB has clearly defined the rules to prevent citizens from being left at a disadvantage. Let’s examine these rules together.
Will the Bank Accept a Torn Banknote?
Yes, banks are obligated to accept torn banknotes that meet certain conditions. The process is based on the “50% threshold,” a rule that determines how much of the original currency must be present. The official regulation from the TCMB serves as our guide.
If more than half (>50%) of the torn banknote’s surface is present: This is the best-case scenario. If you have a single piece of a banknote that is more than half of its original surface area, the bank must exchange it for its full face value. For example, if you have a visible 60% of a 200 TL banknote, you will receive a crisp new 200 TL in return.
If exactly half (50%) of the torn banknote’s surface is present: If the piece you have is precisely half of the original banknote, your money is not considered completely worthless. The bank will exchange this banknote for half of its nominal value. So, if you have exactly half of a 100 TL bill, you will receive 50 TL.
TCMB official rule: “Banknote pieces with a missing surface area of 50%, provided they are in one piece, will be exchanged for half of their face value.”
If less than half (<50%) of the torn banknote’s surface is present: Unfortunately, in this case, the banknote has no monetary value. If more than half of the banknote’s surface area is missing, it cannot be exchanged and is considered invalid.
Another important point is the integrity of the banknote. Even if it is torn or partially burned but the pieces are not completely separated (for example, they are still attached at one edge or taped together), it is considered a single piece for evaluation, and the same rules apply.
The Importance of the Banknote’s Serial Number
When banks evaluate a banknote, they don’t just look at the surface area. The money must be “verifiable.” It is essential to confirm its authenticity.
A banknote’s serial and sequence numbers are like its ID card. For an exchange, at least one of the serial numbers must be legible. This proves the authenticity of the money and allows the process to proceed smoothly. If the serial numbers are unreadable, the exchange may become difficult or even be refused.
Your money might have been washed in a washing machine, have paint spilled on it, or be partially burned. These conditions alone do not prevent an exchange. The key is that the value and authenticity of the money can be determined, and it meets the 50% rule.
What is a “Kabarit Ruler” and What is its Purpose?
You might wonder, “Does the bank clerk just eyeball the missing part?” The answer is no. This process is, contrary to popular belief, a completely objective and standardized method. This is where a tool used by experts comes into play: the Kabarit Ruler.
What it is: A Kabarit ruler is a transparent measurement template. It is the exact size of an original banknote and is divided into 100 equal squares.
How it’s used: The damaged banknote is placed on this transparent template. The clerk counts how many full squares the banknote covers. This count leaves no room for interpretation. If the piece covers 51 or more squares, you get the full value. If it covers exactly 50 squares, you get half the value. If it covers fewer than 50 squares, it is unfortunately not exchangeable.
This simple but effective tool ensures that a standardized evaluation is performed at all bank branches. Knowing this term shows your familiarity with the process and allows you to speak the same language as the bank clerk.
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Damaged and Torn Paper Money Exchange Application Process
You’ve learned the theory. Now it’s time to take action. The answers to “Where do I go with the money?” and “What exactly should I do when I get there?” are right here.
Where to Exchange Torn Money
The official channels you can apply to for exchanging damaged or worn-out Turkish Lira banknotes are:
- T.C. Merkez Bankası (TCMB): This is the ultimate authority. If the condition of the money is very complex—for example, it’s burned, rotted from being buried, or exposed to a chemical substance—the most appropriate place to go is a TCMB branch. The Central Bank has a “Banknote Examination Commission” specifically tasked with reviewing such special cases. This commission meticulously evaluates the authenticity and payability of the money. You can find the address of your nearest TCMB branch on the bank’s official website.
- T.C. Ziraat Bankası Branches: Ziraat Bankası is the TCMB’s most widespread partner across the country and has vast experience in exchanging damaged money. Almost all of its branches are authorized to exchange damaged banknotes that meet the rules and are often one of the banks where you can do this most smoothly.
- Other Commercial Banks and Private Financial Institutions: Legally, all commercial banks (like İş Bankası, Garanti BBVA, Akbank, Yapı Kredi, etc.) and participation banks operating in Turkey are obligated to exchange damaged banknotes that meet the conditions specified in the TCMB regulation.
Note the “Special Day” Policy of Some Banks Some branches want to manage their workload. Because of this, they set specific days for torn money exchanges. This might be a particular day or time of the week. This is not a legal requirement but an internal policy of the branch. Calling the bank before you go will save you time.
What Should I Do When I Go to the Bank to Exchange Torn Money?
Once you arrive at the right place, the process is quite simple. Here are the steps you can expect:
- Before you go to the branch, make sure you have the damaged money and a valid form of identification (T.C. Identity Card, passport, driver’s license, etc.).
- Upon entering the bank branch, take a queue number for teller services. When it’s your turn, explain the situation to the teller and state that you want to do a “damaged money exchange.” Hand over the money along with your ID.
At this stage, you may encounter two different scenarios:
- If the damage to the money is minor, it is in one piece, and it clearly meets the basic conditions like the 50% rule, the teller will usually check the money and pay you the equivalent amount in cash or deposit it into your account immediately.
- If the money is seriously damaged (for example, burned, separated into multiple pieces, etc.), the teller may take the money from you against a receipt. In this case, the bank will send the money to the TCMB for examination. This process can take several weeks, depending on the condition of the money.
If your money is sent for examination, the bank will contact you when the process is complete. If it is deemed eligible for exchange, you can pick up your money from the branch or have it transferred to your account.
How to Exchange Damaged Dollars and Euros
This is where the biggest confusion happens. The rules are different when you encounter a damaged foreign currency. The rules that apply to Turkish Lira do not apply here.
Why is Exchanging Torn Dollars or Euros So Different from TL?
The most critical information on this topic is that the Central Bank of the Republic of Turkey (TCMB) DOES NOT exchange damaged foreign currency (Dollars, Euros, etc.). This is the most common misconception among citizens. The legal duty of the TCMB is to protect the integrity and stability of the Turkish Lira. The US Federal Reserve is responsible for the printing and management of the American Dollar, while the European Central Bank (ECB) is responsible for the Euro. Therefore, the TCMB does not have the obligation to exchange damaged money for which it is not responsible.
The TCMB’s official website’s Frequently Asked Questions section clearly states this: “The exchange of worn, burned, and similar types of foreign currency can be done through commercial banks or exchange offices.”
Exchanging Worn, Damaged, or Torn Foreign Currency
The places you should go for damaged Dollars, Euros, or other popular foreign currencies are private sector institutions:
- Commercial Banks: You can go to any bank branch that buys and sells foreign currency.
- Exchange Offices (Authorized Institutions): Exchange offices can also perform this transaction, but they tend to charge a higher commission than banks.
Why Do Banks Refuse Damaged Currency or Charge a Commission?
Understanding the answer to the question, “If they exchange TL, why don’t they accept Dollars or cut their value?” will help you manage the process. For a Turkish bank, accepting a damaged foreign currency represents an operational cost and a risk. The bank cannot keep that torn 100 Dollar bill in its vault or give it to another customer. It must collect these bills, insure them, and send them via international money transfer to a correspondent bank in the country of origin or directly to its central bank (e.g., the Federal Reserve for the USA).
The costs incurred during this process are:
- Logistics and Insurance Costs: Safely sending the money abroad.
- Transaction Costs: Fees that the correspondent bank will charge for this transaction.
- Risk of Rejection: The risk that the money sent might be rejected by the central bank of the destination country as “not suitable for exchange.”
To cover these costs and risks, banks usually choose one of three paths:
- Refusal: They do not accept the damaged currency to avoid any risk.
- Acceptance with Commission: They pass the risk and cost on to you, offering to take the money at a lower exchange rate than its nominal value (for example, 10% or 20% lower).
- Use Discretion: If the damage is very minor and the bank has a high foreign currency circulation, they might accept it without any deductions, especially if you are a good customer. However, this is entirely at the bank’s discretion.
Knowing this will prevent you from thinking that the bank is being arbitrary and will allow you to act more strategically.
Practical Tips for Damaged Dollars and Euros
- Don’t Settle for One Offer: Get quotes from a few different places to find the most advantageous offer.
- Start with Your Own Bank: Your bank might offer you better conditions.
- Try Large, Central Branches: These branches usually have a higher volume of foreign currency transactions.
- The Most Guaranteed Way: If you have travel plans to the country of origin of that currency, this is the best solution. You can easily exchange the money at a local bank there.
Comparison of TL and Foreign Currency Exchange Processes
The table below will help you understand the key differences between the Turkish Lira and foreign currency exchange processes at a glance.
| Feature | Turkish Lira (TL) | Foreign Currency (Dollar, Euro, etc.) |
| Authorized Institutions | T.C. Central Bank and all banks | Only commercial banks and exchange offices |
| Exchange Guarantee | Legal obligation (by regulation) | No legal obligation (at the institution’s discretion) |
| Evaluation Criteria | Objective TCMB rules (50% threshold, Kabarit ruler) | Subjective (the bank’s/office’s own risk and cost assessment) |
| Possible Outcomes | Full Value / Half Value / Worthless | Accepted / Rejected / Accepted with Commission (Lower Value) |
The Fate of Damaged Coins
While we usually focus on paper money, the bent, rusty, or tarnished coins in our pockets also have a fate. This topic is often overlooked, but for our guide to be complete, we need to address it.
Are Bent or Rusty Coins Exchangeable?
Yes, damaged coins can also be exchanged. However, the process and the responsible institutions are slightly different from banknotes.
- Authorized Institutions: The General Directorate of the Mint and Stamp Printing House is responsible for minting coins. The general rules regarding the issuance, withdrawal from circulation, and exchange of coins are determined by the Ministry of Treasury and Finance.
- Where to Apply?: The most practical places to apply for the exchange of damaged coins are again the T.C. Ziraat Bankası and TCMB branches. These institutions collect damaged coins from citizens and periodically send them to the Mint for destruction and replacement. Additionally, PTT branches also offer coin collection and exchange services, which is another practical option.
As you can see, that damaged money in your hand is not a helpless piece of paper. Whether it’s a Turkish Lira, a Dollar, or a Euro, you now know the rules, the application points, and most importantly, your rights.
You now have all the critical information, from the 50% rule to the purpose of the Kabarit ruler, the procedures to follow when a torn bill comes out of an ATM, and the reasons behind foreign currency exchange policies. This knowledge is your greatest power. Now, instead of worrying about what to do, you can act with confidence. Remember, you are now in control of that money’s fate!
Frequently Asked Questions
Q1: A torn bill came out of an ATM, what should I do immediately? This is perhaps one of the most frustrating situations, and it happens quite often. Stay calm and don’t panic. Here is the step-by-step path you should follow:
- Don’t Leave Immediately: Do not leave the ATM.
- Gather Evidence: Use your cell phone to take a clear photo of the ATM screen (showing the date and time), the transaction receipt, and the torn money you received. Do not throw away the receipt; it is your most important piece of evidence.
- Call Instantly: Call the customer service number of the bank the ATM belongs to. Explain the situation, the exact location of the ATM, the date, and the time of the transaction. They will give you a complaint or case number, which you must note down. Calling immediately proves that you reported the situation right after it happened.
- Go to a Branch: If the ATM is in front of a bank branch, go inside immediately and explain the situation to a teller. If it is a standalone ATM, go to any branch of that bank as soon as possible with your evidence (photos, receipt) and complaint number.
Following these steps is crucial. This is because in some cases, banks might claim that you cannot prove the torn money came from that ATM. The evidence you have and the instant phone record you created will be your biggest assurance.
Q2: Does taping a torn bill work? Does it affect the exchange?
Yes, carefully taping it with transparent tape is a good idea. It prevents the money from getting more damaged and keeps the pieces together. This will not negatively affect the exchange.
Q3: More than half of my money is missing, how much can I get back?
The TCMB rules are very clear on this. If the piece you have is less than 50% of the original banknote’s surface area, unfortunately, this money has no legal monetary value and cannot be exchanged.
Q4: Can very old banknotes (from my grandfather) be exchanged?
The money you have may have been taken out of circulation. There is a 10-year statute of limitations for these banknotes. Within this period, you can exchange your money at the TCMB or Ziraat Bankası. However, if the 10-year period has passed, you cannot exchange your money. For example, old banknotes with millions of Liras (like before YTL). These banknotes may now only have numismatic (collector’s) value. You can consult organizations like the Turkish Numismatic Society to learn their value.
Q5: What is the cost of printing money, and what factors affect it?
You might be curious about the cost of printing money. This cost has increased significantly in recent years due to foreign exchange rates and raw material prices. So, what increases the cost? Banknote paper and inks are imported, meaning they are directly affected by the foreign exchange rate. Security features to prevent counterfeiting are also costly. Holograms and special strips increase the cost. Remember, higher-value banknotes cost more because they are larger and have more security features. The situation is even more critical for coins. You should know that the production cost of a 1 TL coin has exceeded 3 TL.
A detailed breakdown of banknote costs for 2024 has not been shared with the public by official institutions. According to 2022 data, the cost of a banknote was seen to be close to, and in some cases, exceeding its nominal value. For example, estimates at that time suggested that the cost of a 200 TL banknote was around 12.54 TL. Given the current exchange rates and raw material prices, these costs are estimated to have increased even more. The increase in the Central Bank of the Republic of Turkey’s (TCMB) “banknote paper and ink expenses” item also confirms this situation. It has been reported that these expenses have increased by 446 percent in the last five years