For your 25 cent note:
I don't have a Catalogue with me, but these note are fairly common on the market. For a well circulated example in "pretty good" condition as you describe, I would say it's probably worth around $5 to $10.
In contrast, an almost new note with only a light fold or two would be worth as much as $50-$100. Perfectly preserved, Uncirculated examples are less common and could go for as much as $400-$500!
As for the cutting, this is perfectly normal. These notes were issued to banks as sheets and were cut by hand as needed. In fact, many sheets of various dimensions still exist. Better cut examples (with larger margins) would be worth most especially in the higher grades.