US Fractional currency, 25 cent, 1863

US Fractional Currency note for 25 cents dated 1863. Click detailed description.

This is a US Fractional Currency note with a twenty-five cent denomination. It measures 3 ¾” x 1 7/8” and is dated March 3, 1863 with a vignette of George Washington. United States Fractional Currency notes were issued by the U.S. Government during and after the U.S. Civil War due to the hoarding and shortage of coins in gold, silver and copper in denominations of 3, 5, 10, 15, 25 and 50 cents. They were redeemable by the U.S. Postal Office at face value in postage stamps. Fractional currency notes were issued from August 21, 1862 through February 15, 1876. U.S. Secretary of the Treasury Salmon P. Chase proposed to authorize postage stamps of some type as a new currency. Much of the public were using stamps in lieu of change due to a severe shortage of coins. The post office did not like selling stamps for currency and they did not provide refunds for soiled stamps. Congress and President Lincoln approved the Postage Currency Act on July 17, 1862, which authorized an issue of 5, 10, 25, and 50 cent notes. This note seen its share of use and is a little worn, but it is still a good representation from the era.