The $500 Note was a commemorative note that was released only once in 1935, the Bank of Canada says there were only 40 left in circulation at the end of 2019. The $25 note was also a commemorative note issued in 1935 and discontinued shortly thereafter. Of these, there are 1,840 in circulation. Bank of Canada data also shows there are about 632,000 $1,000 notes still in circulation, which the Bank of Canada stopped issuing in 2000.
Meanwhile, there are well over 100 million of both the $1 and $2 notes left, which were replaced with coins in 1987 and 1996, respectively. The $25 issue was a commemorative note and was discontinued along with the $500 note shortly after they were issued in 1935.
As for why they are losing their legal status, the Bank of Canada says they are simply not very common and are not being used in transactions. And, when was the last time you saw one in circulation?
“Withdrawing legal tender status from these notes is the final step in fully removing them as transaction notes in Canada,” a Bank of Canada spokesperson writes. “It is important for Canadians to understand that these notes will not lose their value; the Bank of Canada will continue to honour them.” Wherever they are, old banknotes ranging from $1 and $2, $25 to $500 and $1,000, as of Jan. 1, 2021, those notes will no longer have legal tender status, according to a release from the Bank of Canada, the decision was made and approved by Parliament in 2018, in accordance with the Bank of Canada Act and Currency Act.
“Most Canadians will not be affected because the bank notes targeted in the announcement have not been produced in decades and are rarely used in transactions,” the release notes. “More importantly, these banknotes will not lose their value. Canadians can redeem them at face value or decide to keep them.”
It is worth noting, however, that some of the rarer bills may be worth significantly more to collectors and dealers.
The thing you should not do, is to take them to the bank and get only the face value. Take them to a trusted Coin / Paper Money Dealer, you may well end up receiving more than Face Value for them, if not, then you can still bank them.
Should you have any questions, please contact us by email at: firstname.lastname@example.org or call 647.222.9995, we will gladly try to answer your questions.
Excerpts copied from B of C quotes and Press releases, CTV News, Public Domain and other notations, and articles as found on the Internet. Thank you to all that have contributed to this very important release of information.
E & O E