TeachMeFinance.com - explain Red dog money
Red dog money -- Prior to the formation of the State Bank of Indiana in 1834,
the state of Indiana issued circulating notes (money) in denominations
of $5, $10 and $20. They were receivable for
taxes and bore interest. They depreciated in value to 60
cents on the dollar and the opprobrious name of "red dog money" was applied to them. They were all finally redeemed
at their full value.
The term "red dog money" (or yellow dog money) came
into general use in describing depreciated notes issued by
other states and by banks in other states than Indiana. The
term was practically synonymous with "wildcat money;" see
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