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How to spot a fake banknote

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James Reynolds | 10:17 UK time, Monday, 12 January 2009

Check your Chinese money - if you happen to have any down the back of your sofa. Reports here say that there's an epidemic of fake Chinese banknotes in circulation.

In particular, forgers are said to have gone after the highest value note - the 100 RMB ($14.62) note. It's worth knowing that all Chinese bank notes from 1 RMB upwards feature the same portrait of Chairman Mao. I'm not sure whether or not this makes the notes easier to forge.

So, how do you spot a fake note in China? If you've got enough (real) money, you can buy a note-checking machine. If you don't, you've got to follow a four-point checklist: look, touch, listen, test. (The "listen" refers to the sound a real banknote should make when you crinkle it. Fake notes, of course, don't crinkle.)

A shop clerk with a Santa hat on checks a 100-Chinese renminbi note Wednesday, Dec. 3, 2008, in Shanghai, China. (AP Photo)

And what happens if you've gone through the checklist, but have still been left with a dud note? Tough luck, appears to be the answer. You're meant to hand it into the bank, but you won't get a real one in exchange.

For some people in China, it's all pretty exasperating. "Now everything is fake, including what we eat, drink and wear. It is terrible," .

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