Big Money Check

I picked this one up recently for less than $10, entirely for its amount -- half a million dollars in 1882! I believe a conservative present day value conversion would be roughly $16 million. And yet, still just a typical 2¢ revenue.

nice acquisition

Even $5 was a huge sum in 1882.


-MV

This explains the check:

An amazing historical connection.

That is awesome - to know what the check was for makes it even more awesome - great pickup!

The tax was 2 cents regardless of the amount of the check. Also the tax on receipts and promissory notes that were "on demand" or "at sight" were also 2 cents, although other types of promissory notes had higher taxes. These pennies added up, the financial paper taxes brought in the highest amount of revenue of any of the Schedule B taxes from 1862-1883. Matches brought in the second highest amount, at one cent per hundred since everyone needed them every day.

wt1 thanks for the explanation... it gives the check context and turns it from a curiosity to history

Where do you find these? If there is a eBay link, please post.

I looked on eBay and there's only a handful?

never mind, I was looking in the wrong place.

Hi actually value in 2015 is $11,006,333.99

Stampmaster

BTW, this is not a check. It appears to be a bill of exchange.

Could you explain the difference? There are many things that differ from checks but look similar, like sight drafts and promissory notes. I'm still learning.

The legal language appears to make it a sight draft, which today is equivalent to a check when it is made in exchange for legal rights such as a mortgage. It's an order to the Drexel bank of New York to pay Union Iron on sight of the instrument and to charge the insurance company account at that bank for the amount paid.