After the Reserve Bank of India (RBI) announced rolling back of ₹2,000 currency notes from circulation, the swapping process of these high-value notes in all banks is set to begin from today. According to the central bank, the currency notes can be exchanged without a requisition slip or identity proof, however, few banks have mandated them for a person to swap them with smaller denominations.
Also read: RBI to reintroduce ₹1,000 currency notes? Governor Shaktikanta Das responds
Notably, the ₹2,000 notes will continue to be legal tender till September 30, therefore RBI Governor Shaktikanta Das said ‘there’s no need to rush'. Whether the currency note will remain a legal tender after September 30 will be decided based on assessments made post the deadline.
"We expect most of ₹2,000 banknotes to come back to the exchequer by September 30. We have more than adequate quantities of printed notes already available in the system, not just with RBI but with currency chests operated by banks. There is no reason to worry. We have sufficient stocks," he said.
Things you should know about exchanging ₹2,000 banknotes:
- A person can deposit up to 10 banknotes (valuing ₹20,000) at a time. However, there is no upper limit on the deposit of these currency notes.
- Large deposit of these high-value notes may require adherence to KYC (know your customer) guidelines. "We have not come out with an additional procedure. You must be aware that there's an income tax rule if you deposit cash above ₹50,000 then you have to produce your PAN. So existing rules will apply," Das said.
- No fee will be charged and there is no need to show identity proof to exchange the notes with lower denominations.
- According to SBI guideline, person willing to deposit more than ₹20,000 may need to fill a form or a requisition slip.
- RBI has arranged exchange facilities at 19 of its regional offices. Special provisions, such as putting up of sheds to protect depositors from direct sunlight, have been made by different banks for hassle-free currency exchange.
- The central bank has put out a redress system for people to approach concerned bank in case of any deficiency of service. “For redress of grievance in case of deficiency of service, the complainant / aggrieved customer may first approach the concerned bank. If the bank does not respond within 30 days after lodging the complaint or if the complainant is not satisfied with the response/resolution given by the bank,” RBI said.
- The facility to deposit ₹2,000 currency notes will remain open till September 30.
- Depositor can visit any bank branch to exchange ₹2,000 currency notes. Person without having a bank account can also do so up to the limit of ₹20,000 at a time.
- Appropriate arrangements will be made for those failing to deposit the banknotes within the stipulated time.