May 26, 2023: Starting May 23, those who have cash in Rs 2,000 denominations can Exchange or deposit these with banks. The start of this facility follows the Reserve Bank of India (RBI) announcement of May 19 in which it said Rs 2,000 notes will be withdrawn from circulation.  This guide will help you find out what to do next.

When will banks start to exchange/deposit Rs 2,000 currency notes?

Banks will start to exchange/deposit Rs 2,000 currency notes starting May 23, 2023.

What facility are banks offering to enable exchange/deposit of Rs 2,000 notes?

The RBI has advised banks to provide appropriate infrastructure at the branches such as shaded waiting space, drinking water facilities, etc., considering the summer season.

What should the public do with the Rs 2000 denomination notes held by them?

One can visit the nearest bank branch and start the process of exchange/deposit when the window to do so starts on May 23, 2023.

What is the last date to exchange/deposit Rs 2,000 currency note?

September 30, 2023, is the last date to exchange/deposit Rs 2,000 currency note.

What will be the legal status of Rs 2,000 notes after September 30, 2023?

Rs 2,000 notes may continue to have a legal status till December 2023 for the convenience of people living abroad who may have this currency. The RBI may take a decision on this depending on the situation then. “We will wait how many notes are coming. We will see how many notes come back. And as we approach September 30, we will decide at that stage,” says RBi governor Shaktikanta Das.

Where can I exchange/deposit Rs 2,000 currency note?

You can exchange/deposit Rs 2,000 currency notes at any bank branch till the September-30 deadline.

The facility for exchange will be available also at the 19 regional offices of the RBI.

Banks’ business correspondents are also allowed to exchange banknotes up to a limit of Rs 4,000 per day for an account holder. Business correspondents are extended arms of banks, providing services in unbanked and underbanked areas. Banks may also deploy mobile vans to extend this facility in villages.

How many notes can I deposit?

You can deposit any number of Rs 2,000 banknotes into your account as long as your account is KYC-compliant.

How many notes can I exchange?

You can exchange up to 10 Rs 2,000 banknotes at a time.

Is it necessary to be a customer of the bank to exchange Rs 2,000 banknotes from its branches?

No. A non-account holder also can exchange these notes at any bank branch.

Will I have to submit any documents for depositing Rs 20,000 notes?

While no additional procedures have been announced by the RBI, depositers will have to follow the existing requirements and procedures. For instance, if you deposit cash above Rs 50,000, you have to produce your PAN.

Should I carry my PAN/ Aadhaar card to the bank for Rs 2,000 note exchange, deposit?

Even though the RBI has said that carrying these documents is not mandatory, experts are of the view that KYC documents must be carried, just in case.  “When exchanging or depositing large amounts of currency, especially in the case of demonetised or high-denomination notes like Rs  2,000 notes, it is advisable to carry your KYC documents,” Rachit Sharma, deputy general manager, Taxmann, told Business Standard.

Is there any fee to be paid for the exchange facility?

No. The exchange facility is free.

Will there be special arrangements for senior citizens, persons with disabilities, etc., for exchange and deposit?

Banks have been instructed to make arrangements to reduce inconvenience to the senior citizens, persons with disabilities, etc., seeking to exchange/deposit Rs 2,000 banknotes.

What will happen if a bank refuses to exchange/accept deposit of Rs 2000 banknote?

Customers may first approach the bank concerned. If the bank does not respond within a period of 30 days after lodging of the complaint or if the complainant is not satisfied with the response/resolution given by the bank, they can lodge the complaint under the Reserve Bank-Integrated Ombudsman Scheme (RB-IOS), 2021 at the Complaint Management System portal of the RBI.

Here is how to file a complaint with the RBI!