(Pictured Above) All Iraqi Dinar Notes 50, 250, 500, 1000, 5000, 10000, 25000
There's a lot of talk about whether it's better to own the larger denomination notes or the smaller denomination notes. The small denomination notes tend to cost quite a bit more than the larger notes.
For example with the Iraqi Dinar at current prices you can pick up a million Iraqi Dinar in 25,000 denomination notes for about $980 to $1,000. On the other hand if you want the 50 notes and want a full million that will run you upwards of $6,000 if not more. That's almost six times the price for the same amount of DInar, just in smaller denominations. If you opt for notes a bit larger such as the 5,000 and 10,000 denomination Iraqi Dinar notes the price does go up but not by that much, maybe $20 to $50 more per million.
(Pictured Above) Smallest Iraqi Dinar Banknote 50 Denomination Note
So what is the reason people want smaller notes? Some people think that prior to a "revalue" or an "rv" happening Iraq would begin to take the larger notes out of circulated. This is purely speculation and theory on the part of those who believe this but we'll go ahead and explain the logic.
Prior to a revalue many people think Iraq will first take the larger notes out of circulation, so for example Iraq would say were doing away with the 25,000 notes. You have 6 months to switch over your 25,000 denomination notes to smaller notes, after that they will be invalid. If you're in Iraq that would probably be easy enough, just walk into a bank. On the other hand if you live in the US you're probably not going to hop a flight to Iraq to switch over your notes so either you would not be able to switch over your 25,000 denomination notes to smaller notes and lose your money, or, more likely what would happen, dealers would probably begin offering a service to swap out larger notes for smaller notes, for an additional fee of course.
Now like we said, this is pure speculation that scenario we just mentioned above, however some people do believe that's what would happen.
(Pictured Above) Largest Iraqi Dinar Banknote 25,000 Denomination Note
As for why smaller denomination notes cost more. Part of it is just logistical. A million Dinar in 25,000 denomination notes is only 40 notes. A million Dinar in 50 notes however is 20,000 notes. Not only does that cost more to print, it also costs more to ship so it's more costly for dealers to acquire smaller notes as well, although part of the price is also somewhat of a marketing gimmick playing on the fears that larger notes will be wiped out.
As for the Vietnam Dong, it's basically the same logic as to why someone would want 10,000 notes over 500,000 notes.
Well we've explained the different notes and why some people opt for smaller notes. I think alot of it has to do with dealers encouraging rumors that large notes will be taken out of circulation as it helps them sell smaller notes which have a higher markup.
That brings us to the question of whether it's really worth the money and the premium your going to pay for the smaller notes over the larger notes. I can only speculate and offer my opinion as nobody knows what the future holds and what will happen.
In my mind however, money is money, it doesn't matter the condition it's in or the denomination of the notes. I personally don't feel it's worth it to pay large premiums for smaller denomination notes. If you're able to get 5,000 or 10,000 denomination notes for $1000 per million while a million in 25,000 denomination notes is $980 in that case if you want the smaller notes I wouldn't discourage you from paying a $20 premium for them. That said I think it's pure insanity to pay upwards of $6,000 for small notes like 50, 250, or even 500 notes. Same goes for the Dong.
Were always interested in hearing from our readers. What Iraqi Dinar banknotes are you holding? When you purchase do you prefer larger notes or smaller notes? What is your favorite note? Do you believe it's worth paying the premiums to get smaller denomination notes over larger denomination notes? Please leave a comment below answering these questions.