Legal Definitions - fractional currency

Fractional currency is a type of paper money that is worth less than one dollar. It was issued by the federal government of the United States from 1863 to 1876. This currency was used as a medium of exchange for small transactions.

For example, if someone wanted to buy a loaf of bread for 25 cents, they could use a fractional currency note instead of using coins. These notes were easier to carry around and use than coins, especially for small transactions.

Fractional currency is an example of currency, which is any item that is used as a medium of exchange. Other examples of currency include coins, government notes, and banknotes. Currency is considered legal tender, which means it is accepted as payment for debts and taxes.