RBI Withdraws Rs 2000 notes and ban after september 30, 2023

reserve bank of india gives guidelines to withdrawal of two thousand rupee banknotes circulation from may 23 and ban after september 30, 2023.

Reserve Bank of India introduced 2000 denomination banknote in november 2016 with aim of to meet the currency requirement of the economy in an expeditions manner after demonetisation of the Rs500 and Rs1000 banknotes circulation due to avoiding illicit money circulation. However, during hiatus, RBI supplanted with new Rs500 notes that was fulfilled the main objective and outnumber of other denominations to meet the currency requirement of the public whilst the move towards digital money led to prevention outflows of RS2000 banknotes since 2018-19.

Further in the "clean note policy" of the reserve bank of india, most of the INR2000 denomination notes have completed their four-year estimated lifespan and are observed that not be used for transactions anymore.

Rs 2000 notes value in each financial year

2017 MarchRs.6,57,100 crores
2018 MarchRs.6,72,600 crores
2019 MarchRs.6,58,199 crores
2020 MarchRs.5,47,952 crores
2021 MarchRs.4,90,195 crores
2022 MarchRs.4,28,394 crores
2023 MarchRs.3,62,000 crores
source: EENADU

Guidelines for Deposit and Exchange:

  1. All Indian citizens even if you are not a customer of the bank can avail of the facility of deposit or exchange 2000 rupee notes at the nearest bank branch from May 23rd,2023 up to september 30, 2023.
  2. All Banks may may exchange Rs2000 banknotes up to a limit of Rs20,000 at a time is a hopeful sign for reducing people's inconvenience and avoiding hurly-burly in respect of regular activities of bank branches.
  3. Bank Business Correspondents (Bcs) may also let the public to exchange 2000 banknotes up to a limit of RS 4000 per day for an account holder.
  4. Banks take a lead to arrange mobile vans for deposit/exchange money to people who are living outside of the banking areas.
  5. 2000 rupee notes deposit process to Jan Dhan Yojana Accounts/Basic Savings Bank Deposit (BSBD) Accounts is similar to a process of previously mentioned accounts.
  6. Banks shall make possible special arrangements to reduce even at the slightest panic to the senior citizens, persons with disabilities and women seeking to exchange of deposit Rs 2000 notes.

Frequently Asked Questions:

(1)Can 2000 banknotes be used for normal transactions?

Yes. Public possession of 2000 banknotes was not eliminated immediately that set four-months time period for continuing to be legal tender, so people can use 2000 rupees for their daily transactions and receive them payment up to september 30, 2023.

(2)Where to Deposit/Exchange facility available?

All Indian Banks and Business Correspondents will accept without any restrictions regarding know your customer (KYC) norms and also all 19 regional offices of RBI taking 2000 notes.

(3)Is there any operational limit on the deposit of 2000 banknotes into a bank accounts?

No. Deposit into bank accounts can be made without restrictions except in the case of exchange up to a limit of 20,000 at a time.

(4)Is there a need to submit any identity proof at the time of the exchange of money?

No. SBI responded in this question that is candidate no need to submit any identity proof and is not required to fill out any forms.

(5)What can do if a bank refuses to exchange/accept the deposit of 2000 banknote?

If any Bank branch employee showing a lax attitude or providing lax service toward the customer, then file a complaint on them. If the bank does not respond within a period of 30 days after lodging of the complaint or is not satisfied with the bank's resolution, then the user filing at the Complaint Management System portal of RBI.

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