The sale exceeded official estimates by AUS$30,000 (US$27,700).
It is one of the first hundred ten shilling notes issued by the Bank of New South Wales when it opened on 8 April 1817.
The bank note could be the last of its kind and carries a long history – it plays a key role in the story of Australia's first bank and the country's first regulated currency.
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The hefty price tag shows that the banknote is "extremely rare" according to Richard Beale, a valuer at Warrick and Warrick.
"It's probably a unique chance to purchase the bank note – you either buy it now or you'll never own it that's why it sold for what it did."
The Bank of New South Wales merged with the Commercial Bank of Australia in 1982 and today it operates as Westpac Banking Corporation.
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