FACTS ABOUT NOTE BAN

Fact #1 – You can deposit any amount of old notes in your bank/Post Office account

You can “deposit” your old currency in your bank account till 30st Dec, 2016. There is no limit on this amount and if you have Rs 50 lacs with you in Cash, you can just walk into your bank branch (expect a lot of rush) and just deposit the amount in your bank account. The limit which is there is on the “exchange” which is the next point. Please find below the exact wording from the RBI notification.

Also note that there is no limit of deposit for account whose KYC is complete. If KYC is not yet complete, the limit is Rs 50,000.

#2 – You can exchange up to Rs 4,000 notes in ANY bank branch in first 15 days

You can walk to ANY bank branch and exchange up to Rs 4,000 of old notes along with your identity proof (PAN, Aadhaar card, Passport etc). You don’t need a bank account in the same bank. After 15 days, this limit of Rs 4,000 will be reviewed and raised. I am sure this small limit is kept so that most of the middle class and poor people are handled before other privileged class  . Apart from the bank branches, you can also visit RBI centers for this exchange.

#3 – You can deposit the money in 3rd party account also

It is also possible to deposit the money to 3rd party account also if you follow the full procedure and produce a valid ID proof (your own)

#4 – Cash withdrawal Limit from ATM and Bank Branch

There is following withdrawal limit set by the govt.

• ATM – Withdrawal from ATMs would be restricted to Rs.2,000 per day per card up
  to November 18, 2016. The limit will be raised to Rs.4,000 per day per card
  from November 19, 2016 onwards.
• Bank Branch – Till 24th Nov, 2016, you can walk to your bank branch and withdraw up to Rs 10,000 in a go, but the overall limit is Rs 20,000 per week.

You can walk to ANY bank branch and exchange up to Rs 4,000 of old notes along with your identity proof (PAN, Aadhaar card, Passport etc). You don’t need a bank account in the same bank. After 15 days, this limit of Rs 4,000 will be reviewed and raised. I am sure this small limit is kept so that most of the middle class and poor people are handled before other privileged class  . Apart from the bank branches, you can also visit RBI centers for this exchange.

#5 – You can deposit the old notes till 31st Mar, 2017 in worst case

In worst case, if you are not able to deposit the cash in your bank account or exchange those till 30st Dec, 2016, Still you will get another change to deposit the amount at RBI designated branched till 31st Mar, 2017 with proper documentation. One of my close friend parents are coming back to India from US after Jan, and they were worried after this news. I told them about this 31st Mar, 2017 deadline which calmed them!