How this will affect:
From midnight of November 8th INR
500 and INR 1,000 notes will be no longer be legal tender. Other currency
notes INR 10, INR 20, INR 50 and INR 100
are still valid as are all coins. And the all cashless transactions such as cards,
cheques and demand drafts will continue as usual. ATM’s across the nation will
be closed on November 9th and they will not function in parts of the country on
November 10th, PM said. Banks will remain closed on November 9th.
How to exchange your notes:
The currencies of INR 500 and INR
1,000 notes can be submitted to post offices and banks from November 10th till
December 30 with an valid ID card such as a PAN card, passport or Aadhaar card.
And those who are being unable to exchange their notes by December 30th will be
allowed to declare them with the Reserve Bank of India (RBI) till March 31th.
There will be a spile of INR 20,000 on the amount of money that can be
exchanged in a week and INR 10,000 in a day. In the airports tourists can
change these notes.
The exceptions:
Prime Minister said there been made
at places of particular importance where the INR 500 and INR 1,000 notes will
be accepted for an additional 72 hours i.e till midnight on November 11th. This
includes hospitals, railway ticket booking counters, government bus stands, and
airports.
What's next Denominations:
The New notes of INR 2,000 and INR
500 will be circulated soon, PM Modi said and these will have limited
circulation.
In the past:
Indian governments have demonetised
currency notes in the past as well. According to the RBI INR 1,000 and INR
10,000 banknotes were demonetised in January 1946. Banknotes for INR 1,000, INR
5,000 and INR 10,000 were been re-introduced in 1954. INR 1,000, INR 5,000 and INR
10,000 were demonetised again in January 1978.
And the New:
