Facility for Exchange of Notes and Coins
The Reserve Bank of India (RBI) has issued a master circular outlining the facility for exchange of notes and coins at bank branches.
Key Points:
The RBI has delegated full powers to banks to exchange notes and coins, and has liberalized the definition of a soiled note.
Notes that are mutilated, extremely brittle, burnt, charred, or stuck up can be exchanged, but notes with “PAY”/”PAID” or “REJECT” stamps, or those bearing slogans/political messages, or deliberately cut notes cannot be exchanged.
Banks are required to provide training to their staff on note exchange facilities and display a notice board at their branches.
Designated branches will adjudicate and dispose of notes, and an agreement between the RBI and commercial banks will govern the process.
Withdrawn coins can be exchanged, and banks are required to monitor and control the exchange process.
Chat with the Master Circular:
Download: Master Circular – Facility for Exchange of Notes and Coins