We all have a few old Canadian bills kicking around. Whether you have one that your grandma gifted you that's sitting in the back of your closet, or your parents have a few scattered throughout the house, most Canadians have access to some of the older Canadian currency. However, the Canadian Government just announced that if you have these older bills, you will no longer be able to use them as legal tender in Canada. 

The Bank of Canada has announced that the Government of Canada now has the power to remove 'legal tender status' from bank notes. This means, that while the Canadian Government was not able to stop the use of old currency in the past, they are now able to do so, and they're already taking action on these new rules. 

The Government of Canada has announced that five different Canadian bills will no longer be accepted as a form of payment starting on January 1, 2021. Canada's old $1, $2, $25, $500, $1,000 will no longer be accepted as legal notes in 2021. 

If you're old enough to remember, or if you've just heard your parents tell stories about the 'good old days', before toonies and loonies came into circulation, $1 and $2 bills were used throughout the nation just as often as the $5, $10, and $20. 

Back when the Bank of Canada opened in 1935, a $25, $500 and even a $1000 bill were all in circulation. The $1000 was used for years and only just stopped circulation in 2000.  As of today, Canadians are still technically able to use these bills at stores and to buy items. While this is rare, all of these notes are still accepted at the currency that they specify. 

However, once these bills lose their legal status in 2021, it means that these bills will no longer be approved as a form of payment. This means, that you will no longer be able to use these bills at any stores. 

Fortunately, this does not mean that the bills will lose their complete value as soon as 2021 hits. The Bank of Canada ensures that while Canadians will no longer be able to use these bills as a form of currency, they will still be able to take them to a local bank or send them to the Bank of Canada to redeem the value of the bill that you have in your possession. 

The Government of Canada has stated that it has no additional plans to remove any other banknotes from circulation at this time, but they will be able to do so in the future if needed. 

According to the Bank of Canada, we aren't the first country to remove legal tender status from old bills. Twenty other banks around the world have already done this including the Bank of England and the European Central Bank. 

Disclaimer: Cover photo used for illustrative purposes only. 

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