The Reserve Bank of India (RBI) published Frequently Asked Questions (FAQs), in which they were able to address practically all of the concerns.
The Reserve Bank of India has announced the withdrawal of Rs. 2000 denomination banknotes from the Circulation on 19th May 2023. However it will still continue as legal tender. The public can exchange ore deposits the note in the banks from May 23, 2023 to September 30, 2023.
The Rs. 2000 rupees notes were introduced to meet the currency requirement in the economy when the legal tender status of the Rs. 500 and Rs. 1000 were removed. When the same was fulfilled, the RBI stopped printing the notes in 2018-19. And now going to stop the circulation too. The banknotes were withdrawn in conformance with ‘Clean Note Policy’, adopted by RBI to ensure the availability of good quality banknotes to the public.
The public may use Rs 2000 for transactions and may even accept them as payment, according to the RBI. That poses no legal problems. However, it was advised to deposit or sell those currencies by September 30, 2023, or earlier. The public can freely and without any cost can approach the bank for the same. Additionally, it was made clear that the exchange option would also be available at all the RBI’s regional offices.
The RBI has made it clear that you can only exchange up to 20,000 notes worth of Rs. 2000 at a time. More exchanges cannot be made by the public. There is no such restriction while making deposits, though. Up to the stated maximum, a non-account holder may also do the exchange. The maximum amount of money a Business Correspondent (BC) may exchange for an account holder each day is Rs. 4000.
The RBI has given note holders four months to deposit or exchange their notes. The general public is urged to take the same action within the allotted period. The customer may also lodge a complaint against the concerned bank if the bank declines to exchange or accept deposits of Rs. 2000 banknotes.
If concerned failed to respond within 30 days or if the complainant is not satisfied with the response, may file a complaint under the Reserve Bank – Integrated Ombudsman Scheme (RB-IOS), 2021 at the Complaint Management System Portal of RBI.
The decision of the RBI did not have a significant impact on the general populace because there were very few Rs. 2000 banknotes in circulation. There won’t be substantial variation in the life of the public and also the economy as long as the egal tender status remains unchanged.
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