FAQ on the circular issued by RBI vide, RBI/2023-24/32, DCM(Plg) No.S-236/10.27.00/2023-24 dt.19.5.2023 for withdrawal of Rs.2000 notes from circulation.
Q1: What is the motive behind the withdrawal of ₹2000 banknotes?
A: The introduction of ₹2000 banknotes in November 2016 was an interim measure during demonetization. The usage of this denomination has decreased due to the successful implementation of digital transactions like UPI. To ensure only good quality banknotes are in circulation, the RBI has decided to withdraw ₹2000 banknotes.
Q2: Will ₹2000 banknotes continue to be legal tender from 19.05.2023?
A: Yes, the ₹2000 banknote will maintain its legal tender status. The public can use it for their transactions. However, it is recommended to deposit or exchange these banknotes on or before 30.09.2023.
Q3: Can any bank accept ₹2000 banknotes for deposit and/or exchange?
A: Yes, the public can approach any bank branch for depositing and/or exchanging ₹2000 banknotes until 30th September 2023.
Q4: Is there a limit on depositing ₹2000 banknotes into a bank account?
A: No, there is no restriction on the quantum of deposit into a bank account. However, banks will ensure compliance with Know Your Customer (KYC) norms and other applicable statutory/regulatory requirements. For ease of processing, individuals can exchange up to ₹20,000 at a time.
Q5: Can ₹2000 banknotes be exchanged through Business Correspondents (BCs)?
A: Yes, ₹2000 banknotes can be exchanged through BCs up to a limit of ₹4000 per day for an account holder.
Q6: Will the exchange facility be available from 20th May 2023?
A: No, the public is requested to approach bank branches or RBI’s Regional Offices (ROs) from May 23, 2023, to avail the exchange facility, considering the necessary preparations required by banks.
Q7: Is it necessary to have an account with the bank to exchange ₹2000 banknotes, or can the public exchange them at any nearby branch?
A: Exchange of banknotes does not require the individual to be a customer of the bank. Non-account holders can also exchange ₹2000 banknotes up to a limit of ₹20,000 at any nearby bank branch.
Q8: What if someone urgently needs more than ₹20,000 cash for business or other purposes?
A: There is no restriction on depositing money into a bank account. ₹2000 banknotes can be deposited into bank accounts, and cash requirements can be withdrawn subsequently against these deposits.
Q9: Is there any fee charged for the exchange facility?
A: No, the exchange facility is provided free of cost.
Q10: Will special arrangements be made for senior citizens, persons with disabilities, etc., for exchange and deposit?
A: Banks have been instructed to make arrangements to minimize inconvenience to senior citizens, persons with disabilities, etc., who wish to exchange/deposit ₹2000 banknotes.
As the RBI initiates the withdrawal process of ₹2000 banknotes, these FAQs aim to address common concerns and ensure a smooth transition for the public. Remember to adhere to the specified timelines and avail the exchange facility as per your convenience.
Also Read: –
RBI Press Release and Notification : ₹2000 Denomination Banknotes – Withdrawal from Circulation by RBI
RBI FAQs : FAQs on ₹2000 Denomination Banknotes – Withdrawal from Circulation
Author Bio
not a comment, just a clarification sought ———–Can Banks accept Rs 2000 notes in pooling account opened by state govt for collecting excise or other tax from the public