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Postage stamp demonetization information


1935 New Zealand Post Office stamp demonitization notice

The demonetization of postage and revenue stamps is the process by which the stamps are rendered no longer valid. In general, stamp demonetization is a rare event, since any unused stamp is effectively equivalent to its face value, and there is no financial disadvantage if postal customers use old stamps on their mail. Demonetization chiefly occurs in connection with major upheavals in the postal system, such as a transfer from one country to another, or currency changes, such as decimalisation, or a change of government. The process of exchanging millions or billions of stamps in the public's hands, plus that of exchanging post office stock, is usually complicated and difficult, and offers much interest for students of postal history.

There are typically two parts to the process; first, the exchange of unused stamps for new ones of equivalent value. This normally occurs at post offices, with patrons bringing in their old stamps. The second part is the handling of mail with stamps already on it. Uncancelled letters, such as those dropped in mailbox, will get a grace period, ending at roughly the same time as the exchange of old stamps. Cancelled letters already in the mailstream may be accepted for a longer period, since remote post offices may not yet have exchanged their stamps, and sometimes there may be delays within the postal system itself.

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