What to Do With Old Foreign Currency: Don't Just Let It Sit in a Drawer

We all have one. That desk drawer, that old suitcase, or maybe an envelope stuffed in a biscuit tin you inherited. You start an "archaeological dig" and find the artifacts: a handful of heavy, strange coins and a crumpled envelope of paper money.

You’ll see the usual suspects: colorful Italian Lira , crisp German Deutsche Marks , elegant French Francs , Spanish Pesetas , and maybe even some "old" Mexican Pesos with an alarming number of zeros.   

Your first thought is predictable: "This is all 'dead money.' It's not worth the hassle to exchange, and it's probably all worthless. I should just throw it out... but for some reason, I can't."

What if I told you that you're right? It is worthless... just sitting there!

But in ceasing to be money, it became something far more interesting. You haven't been hoarding junk; you've been accidentally curating a time capsule. That drawer isn't a mess; it's a museum.

Think about it: for most of that European money, its "junk" status is the direct result of one of the biggest geopolitical projects of the 20th century. The introduction of the Euro was called the "biggest cash changeover in history". It simultaneously turned twelve national currencies into hyperinflated artifacts overnight. Your drawer is physical proof that you traveled during this unique historical moment.   

So before you throw anything away, let's sort through your new collection.

The First Sort: Is Your Money 'Spendable' or 'Historic'?

First, dump that pile onto a table and let's divide it into two.

The 'Spendable' Pile (Let's Get This Out of the Way)

This is currency that is still in active circulation. The common culprits are leftover Euros, British Pounds, Canadian Dollars, or Japanese Yen. You can’t spend them at your local grocery store, but they are still "living" money.   

You have three options:

1. Save It: If you plan to go back, this is your "coffee money" for when you land.   

2. Exchange It: You can try, but be warned. Airport exchange kiosks and banks offer notoriously bad rates for small amounts, and most will flat-out refuse to exchange coins.   

3. Donate It (The Best Option): This is the most practical and feel-good solution. You've probably seen those envelopes in the seat-back pocket on international flights. That's for programs like UNICEF's "Change for Good". This amazing program partners with airlines like American Airlines , Air Canada , Qantas, Japan Airlines, and others  to collect that spare change. It's raised over $185 million to date to provide life-saving services for vulnerable children worldwide. Look for airport donation bins  or simply hand your envelope of change to a flight attendant. That "worthless" handful of coins can make a real difference.   

The 'Historic' Pile (The Real Treasure)

This is the pile we're really interested in. This is "hyperinflated currency," also known as "defunct" or "discontinued" currency.   

This happens for two main reasons:

1. Currency Replacement: When a country adopts a new currency. The most famous example, as we mentioned, is the Euro, which replaced the Lira, Mark, Franc, Peseta, and others.   

2. Currency Revaluation: This is when a country's economy experiences hyperinflation, and they have to "reboot" their money by lopping off zeros. A perfect example is the "Old" Mexican Peso (MXP). On January 1, 1993, it was replaced by the "Nuevo Peso" (MXN) at a rate of 1,000 to 1. That 50,000-peso note in your drawer? It instantly became 50 new pesos.   

This is the most important lesson I can teach you: Once a currency is hyperinflated, it stops being money and becomes an artifact.

Governments set a deadline for exchanging the old notes. If you missed that deadline, you didn't lose money; you gained a historical document. Its "face value" is now zero, but its "story value" is just beginning.   

From 'Dead Money' to 'Historical Document': Why Your Old Notes Tell a Story

This is the part of the funnel where we turn your "junk" into treasure. The value of these notes is no longer financial; it's historical and personal. They are tangible snapshots of your life and of world history.

The 'Nostalgia' Notes (The Pre-Euro Era)

• The Italian Lira: Take that 10,000 Lira note. You remember it as the cost of a gelato and an espresso in Piazza Navona in 1995. But here's the secret: you're holding a piece of unified Italian history. The Lira was introduced in 1861 , the exact same year Italy became a unified kingdom. It survived two World Wars, post-war inflation , and 140 years of a nation's turbulent story, right up until it was replaced by the Euro.   

• The German Deutsche Mark: Or that crisp 20 Deutsche Mark note. Maybe it was your train ticket to see where the Berlin Wall used to be. This is one of the most symbolic currencies of the 20th century. After WWII, the old Reichsmark was worthless. Germans resorted to bartering with cigarettes, a time known as the Zigarettenwährung (cigarette currency). The 1948 introduction of the Deutsche Mark was the spark that ignited the Wirtschaftswunder—the "Miracle on the Rhine". Germans had a special, deeply personal relationship with the DM; it was a potent symbol of stability, prosperity, and their nation's rebirth. It wasn't "replaced" because it failed; it was "retired" because it succeeded in bringing Germany to the heart of a unified Europe.   

• The Spanish Peseta: That pocketful of 100-peseta coins from Barcelona? You're holding 134 years of Spanish history in your hand. The very first peseta in 1869 featured a personification of Hispania, directly inspired by coins of the Roman Emperor Hadrian. And here's a fun bit of trivia: those coins had famous nicknames. The 5-centime coin was the 'perra chica' (little dog) and the 10-centime was the 'perra gorda' (fat dog) because the lion on the back was so poorly drawn, people swore it was a dog. That's a story you can't spend.   

These notes feel special because they were special. They were the daily, tangible symbols of national identity, sovereignty, and history. The Euro is practical and neutral; these notes are fiercely, proudly national.

How to Be an 'Accidental Appraiser': Three Signs Your Old Money is Interesting

Now that you see them as artifacts, let's learn how to "read" them. This is the art of numismatics (the study of currency) , and you already have the beginner's kit right in your drawer.   

1. Look at the Condition (But Don't Be Discouraged!)

Collectors use simple terms to describe a note's condition. "Uncirculated" (UNC) is a perfect, crisp note with no folds, just like it came from the printer. "Circulated" means it's been in pockets and cash registers—it has folds, creases, or "wear and tear". These grades go from Gem Uncirculated down to Very Fine, Fine, and lower.   

But here's the expert's secret: a beginner thinks a crumpled note is worthless. An expert knows that's not always true.

First, for an extremely rare note, even a torn or damaged one can be valuable—rare is rare. Second, in some specific collecting areas, like "hyperinflated" or "Broken Bank Notes" from 19th-century America, a pristine, uncirculated note can actually be less valuable than a used one. Why? Because the circulation—the folds, the bank stamps, the dirt—is proof that it was part of history. That fold in your Lira note? That's not damage; that's provenance.   

2. Look at the Country (Does it Still Exist?)

These are the real time capsules. You may have notes from "ghost countries" that have literally been wiped off the map.

• The Yugoslavian Dinar: Find a note that says "Jugoslavija"? You're holding a piece of a nation that no longer exists. It's a relic from a socialist federal republic that dissolved, often violently, in the 1990s. The notes themselves changed rapidly during this chaotic period, becoming a canvas for shifting political identities.   

• The East German Mark (GDR): See a bill with "Mark der DDR"? That's an "Ostmark" , a true piece of the Cold War. It was strictly illegal to import or export. When the Wall fell, these notes became hyperinflated. But here's the incredible part: The new German government had to dispose of the old currency. They took 3,000 tons of these banknotes and buried them in secret underground tunnels near Halberstadt. But the notes were resilient and didn't rot. In 2001, people started breaking in to the tunnels to steal these "worthless" notes as collectibles. The government had to dig up all 3,000 tons and finally incinerate them. If you have one, you might be holding a note that escaped the fire.   

• The Soviet Ruble: That note with Lenin's face? It's not just money; it's a relic of a superpower. The Soviet Ruble  was the currency of a "workers' and peasants' state" that dissolved in 1991.   

3. Look for the Story (Was the Economy on Fire?)

These are often the most shocking and visually impressive notes. They are "economic fossils" of a society in total crisis.

• The Zimbabwe 100 Trillion Dollar Note: This is the king of them all. Yes, Trillion. That's 14 zeros. At the peak of hyperinflation in 2009 (when inflation hit an astronomical 79.6 billion percent per month), this note "would not even cover a bus fare". It was a symbol of total financial collapse. And the ultimate irony? It's now one of the most sought-after collector's items in the world. A note that was literally worthless became a "best-performing asset," appreciating 1,500% or more as a collectible. This is the ultimate "junk to treasure" story.   

• The Brazilian Cruzado & Cruzeiro: Find a note for "Cruzados" or "Cruzeiros"? Brazil went through six failed economic plans to fight hyperinflation. You're holding the evidence of a decade-long economic war. This was only solved by the brilliant "Plano Real"—a form of "social engineering" that introduced a fake "ghost" currency, the URV (Real Unit of Value), to trick the economy into stability.   

• The Argentine Austral: See a note for 500,000 "Australes"? This was a currency invented in 1985 to replace the old peso (at 1,000 to 1) to stop hyperinflation. It didn't work. The Austral itself collapsed into hyperinflation , and was replaced again in 1991. Your note is a relic of a failed solution to a failed currency.   

One last tip: while you're looking, check the serial number. On many currencies (especially U.S. notes), if you see a "star" at the end of the number, it's a "star note". This was a replacement bill printed for a misprinted or damaged one, making it rarer and more collectible. This concept exists in other currencies, too!   

Conclusion: You're Not a Hoarder, You're a Curator

So, let's go back to that drawer. It's not a drawer of "dead money" anymore. It's a drawer of stories.

You have a piece of Italy's birth. You have a symbol of Germany's miraculous rebirth. You might have a note that literally escaped a fire-pit in a secret German tunnel. You have a physical, 100-trillion-dollar warning about economic collapse.   

These notes are not a mess to be cleaned up; they are a collection to be organized. You haven't been hoarding; you've been curating. And this, right here, is how all the great collectors start. Not with a plan, but with a "junk drawer" and a spark of curiosity.

What's In Your Drawer?

Found an interesting note in your drawer? That 500,000 Australes note? That bill from Yugoslavia? Share a picture with our 'All About Numismatics' Community on Telegram. We'd love to see what hidden history you've uncovered!

Ready to turn your accidental collection into an intentional one? Maybe find that 100 Trillion Dollar note to add to your story? Browse our collection of European and World Banknotes to find the next piece of your collection.