When I was in India a number of years ago, I found that people were quite wary about receiving money that was partially torn. Sometimes a cab driver or shopkeeper would refuse to take a bill that was torn (such as from being folded/creased too many times) but still very much intact and clearly recognizable. At least once when I got stuck with such a bill, I eventually had to take it to the bank to get it exchanged because no one would accept it.
By contrast, people in the U.S. seem to pass around dollar bills in much worse shape than many of the rupee notes that I saw people inspect closely for tears - dollar bills held together by scotch tape, bills missing big chunks out of them, etc.
Anyone know what the deal is in India with torn money? And is it peculiar to India? Thanks.