UNC (U) = UNCIRCULATED
A perfect note, not mistreated by the issuer, a bank teller or a collector. The paper is clean and firm, without any decolonization. The corners are sharp without any sign of rounding. An uncirculated note will have its original luster.
AU = ABOUT UNCIRCULATED
A virtual perfect note, with some few sign of minor handling. May show sign of counting marks or a light fold through centre, but not both. An AU banknote can not be creased or hard folded as this will normally have 'broken' the surface of a banknote. The corners are not rounded. The paper is clean and with original luster.
EF (XF) = EXTREMELY FINE
A very nice banknote, with light marks of handling. May have a maximum of three light folds or one heavy crease. The corners might have slight sign of rounding. The paper is clean and with original luster.
VF = VERY FINE
En attractive banknote, but showing sign of handling and wear. Might have a number of folds both vertically and horizontally. The paper might show minimal dirt or spots. The paper is still firm and crisp. No tears although the edges do show slight wear. The corners do show wear, but not fully rounded.
F = FINE
A banknote which shows considerable circulation, with many folds, creases and wrinkling. The paper is not firm any longer, without being directly dirty. Minor tears in the border, but not into the design. No hole in centre due to folding is accepted. A pin hole or two can be accepted. The colours are still clear, but not bright. The general impression is still a nice banknote.
VG = VERY GOOD
The description 'Very Good' might be a bit confusing as this is a well used note, but still intact. The corners might be well rounded, small nicks and tears can extend into the design. Some discoloration might be present and stains might be present. A small hole in centre due to heavy folding can be accepted. Pin holes or staple holes are normal. The note itself is quite soft, but no part shall be missing. A note in VG is still a note with an overall not 'unattractive' appearance.
G = GOOD
Here the description 'Good' will for many collectors be confusing, as this is a well worn and heavily used note. Normal wear due to long time in circulation has caused lot of folds, stains, pinholes/staple holes, dirt, discoloration, tears, centre hole, graffiti and rounded corners which make the note overall unattractive. No larger pieces can be missing.
FR = FAIR
A totally limp, dirty and well used note. Larger pieces can be missing or half torn off in addition to all the defects mentioned under the Good description. Tears can be larger and dirty spots bigger. A note like this is only collected as a 'filler' or if this is the absolute best condition you will find.
PR = POOR
A 'rag' with several important damages due to extensive use and wear. As described earlier but with bigger spots, bigger tears and more graffiti. A note like this can also be taped to keep the pieces together. As for a Fair note a note like this is only collected as a 'filler' or if this is the absolute best condition you will find.