united-states currency
Is it legal to buy unfit currency for less then face value
<p>I currently have a business idea that I’m wondering is legal or not.</p>
<p>I live in the United States if I go to a foreign country and buy USD bills that have been buried and are presumed unfit.</p>
<p>BOA and Chase say in their rules that they take any bill as long as long 50% of the bill is there.Before it’s consider mutilated.</p>
<p>So basically I would fly to a foreign country and buy 100k dollars worth of bills for 90k and return to the US declaring I’m bringing in the money to the country legally. I deposit all 100k and keep the 10k as profit.</p>

<p>It is legal.
<a href="https://www.law.cornell.edu/uscode/text/18/part-I/chapter-17" rel="noreferrer">18 USC Chapter 17</a> contains laws regarding what you can/cannot do with US legal tender. It doesn't mention anything about buying, or selling US tender at or above the face value. And there are several businesses in the USA that do this (coin exchanges which purchase coins at less then face value and give you dollar bills in return, etc...).</p>
<p>However I would be concerned that your action might look like money laundering to the customs official on your way back home. Or on the way going to the foreign country for that matter. Which could be very bad for you.</p>
<p>I would talk to a lawyer about this.</p>

<blockquote>
<p>Is it legal to buy unfit currency for less then face value<br />
From a comment: I would be buying from private people and not banks</p>
</blockquote>
<p>This probably makes you a &quot;Currency dealer or exchanger. &quot; In this scenario, you'll need to follow a bunch of anti-laundering laws:</p>
<ul>
<li>Register as a &quot;Money Services Business&quot;</li>
<li>Follow any of the anti-laundering statutes regarding reporting and recording of financial transactions.</li>
</ul>
<p>I'm unsure if this would be sufficient to render such a business legal. Definitely not a business you should run without consulting a lawyer.</p>
