RBI CIRCULAR FOR HIGH DENOMINATION NOTES. CIRCULAR ATTACHED FOR YOUR REFERENCE
"The
fake notes are used for anti-national and illegal activities. High
denomination notes have been misused by terrorists and for hoarding
black money. We as a nation remain a cash-based economy, hence the
circulation of fake rupees continues to be a menace. To contain the
rising incidence of fake notes and black money, the scheme to withdraw
high-denomination notes has been introduced," RBI said.
Explaining
the importance of the scheme, the RBI said the legal tender character
of the notes in denominations of Rs 500 and Rs 1,000 stands withdrawn.
In consequence, the withdrawn old high denomination notes cannot be used
for transacting business and/or store of value for future usage.
The
old notes can be exchanged for value at any of the 19 offices of the
Reserve Bank, any of the bank branches or at any head post offices or
sub-post offices.
For those without any bank account, RBI said they can open an account with necessary KYV documents. But for all the exchanges, the
person has to carry valid identity proofs. This can be done at any
branches of the bank that one is banking with and can also be done at
other bank branches provided one furnishes valid identity proof and bank
account details.
A person with no personal account of her own can
avail of this exchange facility via a relative/friend's account with
written permission. But while exchanging, one should provide the
evidence of permission given by the account holder and own valid
identity proof. The exchange can also be done through a third
party provided one gives a written authorisation letter with the bearer,
who should also prove the identity.
On withdrawals/exchanges
through ATMs, the RBI said banks will take time to recalibrate the ATMs.
Once the ATMs are functional, one can withdraw upto a Rs 2,000 per card
per day up to 18 November. The limit will be raised to Rs 4,000 per day
per card then onwards.
Even cash withdrawal through
cheque/withdrawal slips is subject to a ceiling of Rs 10,000 in a day
within an overall limit of Rs 20,000 in a week (including withdrawals
from ATMs) for the first fortnight-up to 24 November. Higher value notes can be deposited/withdrawn through ATMs, cash deposit machines and cash recyclers. But electronic transactions (NEFT/RTGS/IMPS/ online banking/mobile banking etc) can be done with no limits.
The
scheme closes on 30 December, 2016 until then one can exchange the
banned notes at the branches of commercial banks, regional rural banks,
urban cooperative banks, state cooperative banks and special RBI
counters. And those who failed to do will be offered a limited
opportunity at specified offices of the RBI, along with necessary
documentation as may be specified by the central bank.
Those who
are outside the country can get their exchanges done by authorising in
writing another person in the country to deposit the notes into your
bank account with the authority letter and identity proof such as
Aadhaar card, driving licence, voter ID card, passport, NREGA card, PAN
card etc.
Even NRIs can also deposit the banned notes to NRO
account. A visiting foreigner can purchase Forex equivalent to Rs 5,000
using these illegal notes at airport exchange counters within 72 hours
after the notification, provided you present proof of purchasing these
notes.
In case of emergencies like hospitalisation, travel, life
saving drugs, one can use the old notes to pay for hospitalisation at
government hospitals, to purchase bus tickets at government bus stands
for travel by state or state PSU buses, train tickets and air tickets
within 72 hrs after the notification.
For Format of exchange of old notes with new notes go through the below link...!!!
https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NOTI1111C519110E3984DE7BD28545CDD2EE7A9.PDF
Frequently Asked Questions (FAQs) on Withdrawal of Legal Tender Character of the Old High Denomination Bank Notes
1. Why is this scheme?
The incidence of fake Indian currency notes in higher denomination has
increased. For ordinary persons, the fake notes look similar to genuine
notes, even though no security feature has been copied. The fake notes
are used for anti national and illegal activities. High denomination
notes have been misused by terrorists and for hoarding black money.
India remains a cash based economy hence 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 notes in denominations of Rs. 500 and Rs1000 stands
withdrawn. In consequence thereof withdrawn old high denomination (OHD)
notes cannot be used for transacting business and/or store of value for
future usage. The OHD notes can be exchanged for value at any of the 19
offices of the Reserve Bank of India or at any of the bank branches or
at any Head Post Office or Sub-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 Rs. 4000 per person in cash irrespective of the size
of tender and anything over and 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 of withdrawal of old high denomination(OHD) notes does not provide for it, given its objectives.
6. Rs. 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 electronic means 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 documents required 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 in accord 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 upto 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 to the 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, you
will have to furnish valid identity proof and bank account details
required for electronic fund transfer to your account.
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 proof for exchange in cash; both valid
identity proof and bank account details will be required for electronic
fund transfer in case the amount to be exchanged exceeds Rs. 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. While exchanging, 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 may send your representative with an
express mandate i.e. a written authorisation. The representative should
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 can withdraw from ATMs upto a maximum of Rs.2,000/- per
card per day upto 18th November, 2016. The limit will be raised to
Rs.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 Rs10,000/- in a day within an overall limit of Rs.20,000/-
in a week (including withdrawals from ATMs) for the first fortnight i.e.
upto 24th November 2016.
17. Can I deposit withdrawn notes through ATMs, Cash Deposit Machine or cash Recycler?
Yes, OHD 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.) mode?
You can use NEFT/RTGS/IMPS/Internet Banking/Mobile Banking or any other electronic/ non-cash mode of payment.
19. How much time do I have to exchange the notes?
The scheme closes on 30th December 2016. The OHD banknotes can be
exchanged at branches of commercial banks, Regional Rural Banks, Urban
Cooperative banks, State Cooperative Banks and RBI till 30th December
2016.
For those who are unable to exchange their Old High
Denomination Banknotes on or before December 30, 2016, an opportunity
will be given to them to do so at specified offices of the RBI, along
with necessary documentation 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 OHD banknotes in India, you may authorise in writing
enabling another person in India to deposit the notes into your bank
account. The person so authorised has to come to the bank branch with
the OHD banknotes, the authority letter given by you and a valid
identity proof (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)
21. I am an NRI and hold NRO account, can the exchange value be deposited in my account?
Yes, you can deposit the OHD 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 Rs. 5000 using these OHD
notes at airport exchange counters within 72 hours after the
notification, provided you present proof of purchasing the OHD notes.
23. I have emergency needs of cash (hospitalisation, travel, life saving medicines) then what I should do?
You can use the OHD notes for paying for your hospitalisation charges
at government hospitals, for purchasing bus tickets at government bus
stands for travel by state government or state PSU buses, train tickets
at railway stations, and air tickets at airports, within 72 hours after
the notification.
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 at our website (www.rbi.org.in) and GoI website (www.rbi.org.in)
26. If I have a problem, whom should I approach?
You may approach the control room of RBI by email or on Telephone Nos 022 22602201/022 22602944
Thanks & Regards,
CS Meetesh Shiroya
