Grace period for exchange of defunct Rs.500/-& Rs.1000/- notes

The Reserve Bank of India has introduced a facility of exchange now defunct Rs.500/-& Rs.1000/- notes to those who were abroad during November 9, 2016, to December 30, 2016.

In terms of RBI circular dated December 31, 2016; the following categories of individuals can exchange defunct Rs.500/-& Rs.1000/- notes with effect from January 2, 2017.

1. The citizens of India who were abroad during November 9, 2016, to December 30, 2016, can avail the above facility up to March 2017.
2. The Non-Resident Indian citizens who were abroad during November 9, 2016, to December 30, 2016, can avail this facility up to June 30, 2017.
3. No third party tender will be accepted under the facility.
4. Indian citizens resident in Nepal, Bhutan, Pakistan, and Bangladesh are not eligible to avail this facility.

There is no upper limit for the exchange of specified bank notes (SBNs) for the eligible Resident Indians. However, the limit for NRIs will be as per the relevant FEMA Regulations.

The notes can be exchanged by the Indian Citizens and NRIs in their individual capacity only once. The concerned individuals shall submit ID documents such as, Aadhaar number, Permanent Account Number (PAN) etc, Further, they need to submit documentary evidence showing that they were abroad during the period (during November 9, 2016, to December 30, 2016), they have not availed the exchange facility earlier, Customs certificate about import of SBNs by NRIs etc.

The above facility will be available through Reserve Bank offices at Mumbai, New Delhi, Chennai, Kolkata, and Nagpur. The Central Bank on the satisfaction of genuineness of the notes tendered and on the fulfillment of specified conditions would credit the admissible amount to the tenderer’s KYC compliant bank account.