FAQs on Withdrawal of Legal Tender Character of the existing Bank Notes in the
denominations of ₹ 500/- and ₹ 1000/-
1. Why is this scheme introduced?
The incidence of fake Indian currency notes in higher denomination has increased. For ordinarypersons, the fake notes look similar to genuine notes, even though no security feature has beencopied. The fake notes are used for antinational and illegal activities. High denomination notes havebeen misused by terrorists and for hoarding black money. India remains a cash based economyhence the circulation of Fake Indian Currency Notes continues to be a menace. In order to contain the
rising incidence of fake notes and black money, the scheme to withdraw has been introduced.
2. What is this scheme?
The legal tender character of the existing bank notes in denominations of ₹500 and ₹1000 issued bythe Reserve bank of India till November 8, 2016 (hereinafter referred to as Specified Bank Notes)stands withdrawn. In consequence thereof these Bank Notes cannot be used for transacting businessand/or store of value for future usage. These Bank Notes can be exchanged for value at any of the 19offices of the Reserve Bank of India or at any of the bank branches or at any Head Post Office orSub-Post Office.
3. How much value will I get?
You will get value for the entire volume of notes tendered at the bank branches / RBI offices.
4. Can I get all in cash?
No. You will get upto ₹4000 per person in cash irrespective of the size of tender and anything overand above that will be receivable by way of credit to bank account.
5. Why I cannot get the entire amount in cash when I have surrendered everything in cash?
The Scheme does not provide for it, given its objectives.
6. ₹4000 cash is insufficient for my need. What to do?
You can use balances in bank accounts to pay for other requirements by cheque or through electronicmeans of payments such as Internet banking, mobile wallets, IMPS, credit/debit cards etc.
7. What if I don’t have any bank account?
You can always open a bank account by approaching a bank branch with necessary documentsrequired for fulfilling the KYC requirements.
8. What if, if I have only JDY account?
A JDY account holder can avail the exchange facility subject to the caps and other laid down limits inaccord with norms and procedures.
9. Where can I go to exchange the notes?
The exchange facility is available at all Issue Offices of RBI and branches of commercial
banks/RRBS/UCBs/State Co-op banks or at any Head Post Office or Sub-Post Office.
10. Need I go to my bank branch only?
For exchange up to 4000 in cash you may go to any bank branch with valid identity proof.
For exchange over 4000, which will be accorded through credit to Bank account only, you may go tothe branch where you have an account or to any other branch of the same bank.
In case you want to go to a branch of any other bank where you are not maintaining an account, youwill have to furnish valid identity proof and bank account details required for electronic fund transfer to
11. Can I go to any branch of my bank?
Yes you can go to any branch of your bank.
12. Can I go to any branch of any other bank?
Yes, you can go to any branch of any other bank. In that case you have to furnish valid identity prooffor exchange in cash; both valid identity proof and bank account details will be required for electronicfund transfer in case the amount to be exchanged exceeds ₹4000.
13. I have no account but my relative / friend has an account, can I get my notes exchanged
into that account?
Yes, you can do that if the account holder relative/friend etc. gives you permission in writing. Whileexchanging, you should provide to the bank, evidence of permission given by the account holder and your valid identity proof.
14. Should I go to bank personally or can I send the notes through my representative?
Personal visit to the branch is preferable. In case it is not possible for you to visit the branch you maysend your representative with an express mandate i.e. a written authorisation. The representativeshould produce authority letter and his / her valid identity proof while tendering the notes.
15. Can I withdraw from ATM?
It may take a while for the banks to recalibrate their ATMs. Once the ATMs are functional, you canwithdraw from ATMs upto a maximum of ₹2,000/- per card per day upto 18th November, 2016. Thelimit will be raised to ₹4000/- per day per card from 19th November 2016 onwards.
16. Can I withdraw cash against cheque?
Yes, you can withdraw cash against withdrawal slip or cheque subject to ceiling of ₹10,000/- in a daywithin an overall limit of ₹20,000/- in a week (including withdrawals from ATMs) upto 24th November2016, after which these limits shall be reviewed.
17. Can I deposit Specified Bank Notes through ATMs, Cash Deposit Machine or cash
Yes, Specified Bank Notes can be deposited in Cash Deposits machines / Cash Recyclers.
18. Can I make use of electronic (NEFT/RTGS /IMPS/ Internet Banking / Mobile banking etc.)
You can use NEFT/RTGS/IMPS/Internet Banking/Mobile Banking or any other electronic/ non-cashmode of payment.
19. How much time do I have to exchange the notes?
The scheme closes on 30th December 2016. The Specified banknotes can be exchanged at
branches of commercial banks, Regional Rural Banks, Urban Cooperative banks, State CooperativeBanks and RBI till 30th December 2016.For those who are unable to exchange their Specified Bank Notes on or before December 30, 2016,an opportunity will be given to them to do so at specified offices of the RBI, along with necessarydocumentation as may be specified by the Reserve Bank of India.
20. I am right now not in India, what should I do?
If you have Specified banknotes in India, you may authorise in writing enabling another person inIndia to deposit the notes into your bank account. The person so authorised has to come to the bankbranch with the Specified banknotes, the authority letter given by you and a valid identity proof (ValidIdentity proof is any of the following: Aadhaar Card, Driving License, Voter ID Card, Pass Port,NREGA Card, PAN Card, Identity Card Issued by Government Department, Public Sector Unit to its
21. I am an NRI and hold NRO account, can the exchange value be deposited in my account?
Yes, you can deposit the Specified banknotes to your NRO account.
22. I am a foreign tourist, I have these notes. What should I do?
You can purchase foreign exchange equivalent to ₹5000 using these Specified Bank Notes at airportexchange counters within 72 hours after the notification, provided you present proof of purchasing theSpecified Bank Notes.
23. I have emergency needs of cash (hospitalisation, travel, life saving medicines) then what I should do?
You can use the Specified Bank Notes for paying for your hospitalisation charges at governmenthospitals, for purchasing bus tickets at government bus stands for travel by state government or statePSU buses, train tickets at railway stations, and air tickets at airports, within 72 hours after the
24. What is proof of identity?
Valid Identity proof is any of the following: Aadhaar Card, Driving License, Voter ID Card, Pass Port,NREGA Card, PAN Card, Identity Card Issued by Government Department, Public Sector Unit to its Staff.
25. Where can I get more information on this scheme?
Further information is available on our website (www.rbi.org.in) and the website of the Government of