NC One-Dollar Note
Lithographic date "Sept. 1st, 1862."
Today United States currency in the form of federal reserve notes is
declared by our national government to be legal tender. This
requires citizens to use and accept these notes as payment for all debts,
both public and private. This 1862 dollar and other issues during the
Civil War were not assigned such legal-tender status by North Carolina's
government. Like other Confederate currencies, North Carolina's paper
money did not rely on legal force; instead, the state's money relied
solely on the public's faith in their government and on public confidence
in the South's war effort. Notice the inscription (right)
Payment of all Public Dues" on this note. While the government would
accept this money from citizens in payment of taxes and other official
"dues," this currency's use for satisfying public debts and use in private
financial transactions were not mandatory.