10 things you should know about Rs. 500 and Rs. 1,000 discontinuation

10 things you should know about Rs. 500 and Rs. 1,000 discontinuation

by Nutan Gupta Last Updated: Mar 10, 2023 - 03:39 pm 238.5k Views
Listen icon

In an attempt to curb black money and corruption, Prime Minister Narendra Modi in an unscheduled meeting announced demonetisation of of Rs. 500 and Rs. 1,000 currency notes with effect from midnight of November 8th 2016. In March 2016, around 88% of the total currency consisted of Rs. 500 and Rs. 1,000 notes. Naturally, this move has created a lot of panic among the people of India.

Here’s where and when you can exchange/deposit your money...

Process Limit Where Time-Frame
Exchange Rs. 4,000 Bank and Post Office 10th Nov to 24th Nov, 2016
Exchange More than Rs. 4,000 Any Personal Bank or any Post Office 25th Nov to 30th Dec, 2016
Deposit No Limit Banks and Post-Office 10th Nov to 30th Dec, 2016
Deposit No Limit RBI specified offices 31st Dec to 31st March, 2017

Here are 10 things you should know about the discontinuation of Rs. 500 and Rs. 1,000 currency notes:

  • All the residents of India who are holding currency notes of Rs. 500 and Rs. 1,000 have the option to deposit their cash in bank accounts or post office by 30th December 2016.

  • One can exchange old notes of Rs. 500 and Rs. 1,000 at any bank, post office, by showing a valid ID proof. However, the limit for this is Rs. 4,000 upto 24th November, 2016.

  • There would be no restrictions on online transactions, cheque, debit/credit card or any other plastic money transactions.

  • New notes of Rs. 500 and Rs. 2,000 would be brought into circulation from November 10, 2016.

  • People who are unable to deposit the old currency notes by 30th December, 2016 for some reason, have the option to change them by 31st March, 2017 by presenting a valid ID proof.

  • The old currency notes will be valid for transactions related to railway booking, air ticket booking, bus ticket counters and government hospitals till the midnight of November 11 and 12, 2016.

  • ATMs to remain shut on November 9 and 10, 2016.

  • The withdrawal limit for cash against cheque has been set to Rs. 10,000 per day and Rs. 20,000 per week upto 24th November. The limits shall be reviewed post this.

  • After the ATMs are functional, one can withdraw upto a maximum of Rs. 2,000 per card per day upto 18th November, 2016. The limit will be raised to Rs. 4,000 per day per card from 19th November, 2016.

  • People who do not have a bank account can open an account by approaching the bank with necessary documents needed for fulfilling the KYC formalities.

Please Note: You can refer to www.rbi.org.in for further information and the website of the Government of India (www.finmin.nic.in). You may also approach the control room of RBI by email or contact them on 022 22602201/022 22602944.

Read More

How do you rate this blog?

or

Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage

oda_gif_reasons_colorful

About the Author

Open Free Demat Account
Resend OTP
Please Enter OTP
Mobile No. belongs to

By proceeding, you agree to the T&C.

Latest Blogs
Weekly Outlook on Copper - 01 December 2023

Copper prices saw a modest 0.33% gain, reaching 722 on Thursday, as worries about a slowdown in Chinese manufacturing loomed large. The November's NBS Manufacturing PMI slipped to 49.4, the second consecutive monthly decline, heightened concerns, emphasizing the need for additional government support to fortify China's economic growth. The NBS Non-Manufacturing PMI at 50.2, reflecting the 11th month of service sector expansion, hinted at a softer pace.

Swing Trading Stocks: Week of 04 December 2023

Swing Trading Stocks for the Week

Weekly Market Outlook for 04 December to 08 December

Our markets started the truncated week on a positive note and it rallied higher throughout the week. The first day of the December month infact witnessed a new record as the Nifty surpassed its previous high and ended in uncharted territory above 20250 with weekly gains of almost two and a half percent.