Rs 2,000 notes exchange and deposit: RBI provides guidance amid deadline extension

The banknotes in Rs 2,000 denomination will continue to be legal tender, the RBI said.

The Reserve Bank of India (RBI) on September 30 extended the deadline for the public to exchange or deposit Rs 2,000 notes at bank branches until October 7, 2023.

The banknotes in Rs 2,000 denomination will continue to be legal tender, the RBI said. Also, people can exchange these notes at the 19 RBI Issue Offices, with a limit of Rs 20,000 per transaction even after October 7.

Furthermore, both individuals and entities can tender Rs 2,000 banknotes at the 19 RBI Issue Offices to have the amount credited to their bank accounts, and there is no specified limit for such transactions, as stated by the RBI.

Banks had previously been instructed to offer deposit and exchange services for Rs 2,000 banknotes until September 30, 2023.

The RBI declared the discontinuation of Rs 2,000 currency notes in circulation on May 19 this year, attributing it to their clean-note policy, and instructed banks to cease the issuance of these notes immediately.

In view of the extension of the deadline, the RBI has provided details and clarifications regarding the exchange and deposit of Rs 2,000 banknotes.

Here are all the clarifications from the RBI:

What is the provision for deposit / exchange of Rs 2000 banknotes after September 30, 2023?

The current facility for deposit / exchange of Rs 2000 banknotes at bank branches has been extended by RBI till October 07, 2023.

What will happen if one cannot deposit / exchange Rs 2000 banknotes by October 07, 2023?

The Rs 2000 banknotes can continue to be exchanged by individuals / entities at the 19 RBI Issue Offices up to a limit of Rs 20,000 at a time. Individuals / Entities can also tender Rs 2000 banknotes at the 19 RBI Issue Offices for credit to their bank accounts in India for any amount. Such exchange or credit shall be subject to relevant RBI / Government regulations, submission of valid identity documents and due diligence as deemed fit by RBI.

Is it necessary to visit RBI in person for deposit / exchange of Rs 2000 banknotes?

Individuals / Entities from within the country can send Rs 2000 banknotes through India Post addressed to any of the 19 RBI Issue Offices, as per procedure laid down by the Department of Posts, for credit to their bank accounts in India. Such credit shall be subject to relevant RBI / Government regulations, submission of valid identity documents and due diligence as deemed fit by RBI.

What will be the last date for exchange of Rs 2000 banknotes in RBI?

The facility for deposit / exchange of Rs 2000 banknotes at the 19 RBI Issue Offices shall be available until further advice.