International Bank Note Society's (IBNS) grading standards for world paper money
 

Uncirculated (UNC)

A perfectly preserved note, never mishandled by the issuing authority, a bank teller, the public or a collector. Paper is clean and firm, without discoloration. Corners are sharp and square, without any evidence of rounding. An uncirculated note will have its original, natural sheen. There can be no degrees of uncirculated. Either a note is uncirculated in condition or it is not. The fact that a note is or is not in uncirculated condition should not be a disputable point.

AU-UNC

Some note issues are most often available with slight evidence of very light counting folds which do not break the paper. Such notes are often referred to as AU - UNC.

About uncirculated (AU or AUNC)

A virtually perfect note, with some minor handling. May show a very slight evidence of bank counting folds at a corner or one light fold through the center, but not both. An AU note can not be creased, a crease being a hard fold which has usually broken the surface of the note. Paper is clean and bright with original sheen. Corners are not rounded.

Extremely fine (EF or XF)

A very attractive note, with light handling. May have a maximum of three light folds or one strong crease. Paper is clean and bright with original sheen. Corners may show only the slightest evidence of rounding. There may also be the slightest sign of wear where a fold meets the edge.

Very fine (VF)

An attractive note, but with more evidence of handling and wear. May have several folds both vertically and horizontally. Paper may have minimal dirt, or possible color smudging. Paper itself is still relatively crisp and not floppy. There are no tears into the border area, although the edges do show slight wear. Corners also show wear but not full rounding.

Fine (F)

A note which shows considerable circulation, with many folds, creases and wrinkling. Paper is not excessively dirt but may have some softness. Edges may show much handling, with minor tears in the border area. Tears may not extend into the design. There will be no center hole because of excessive folding. Colors are clear but not very bright. A staple hole or two would not be considered unusual wear in a Fine note. Overall appearance is still on the desirable side.

Very good (VG)

A well used note, abused but still intact. Corners may have much wear and rounding, tiny nicks, tears may extend into the design, some discoloration may be present, staining may have occurred, and a small hole may sometimes be seen at center from excessive folding. Staple and pinholes are usually present, and the note itself is quite limp but no pieces of the note can be missing. A note in VG condition may still have an overall not unattractive appearance.