Prime Minister Narendra Modi announced that 1000 and 500 rupees notes will cease to be legal tender from midnight 8-9 November 2016. The announcement was made via a special nationwide televised address on 8 November 2016.
PM Modi in his announcement appealed that those who are in possession of these notes can deposit the notes in their accounts in banks and post offices from 10 November to 30 December 2016. He also said that those who are unable to deposit the notes within the deadline for some reasons can change them till 31 March 2016 by furnishing ID proof (Aadhaar card and PAN card).
Besides, he also announced that new currency notes of 500 and 2000 rupees denomination will be introduced.
The major objective behind the Government’s decision to ban the existing currency denomination is to curb black money in the market and cease out face currencies.
Important facts about Rs 500 & Rs 1000 notes banned from 08 November 2016 from 12 PM
- They will cease to be legal tender from tonight;
- Existing currency can only be deposited in banks account, head and sub-post offices;
- You can exchange them in banks & post offices between Nov 9 and Dec 30, 2016;
- ATMs will dispense only Rs 2000 a day, later to be increased to Rs 4000 per day;
- Those who miss the Dec 30 deadline, can exchange old Rs 500 and Rs 1000 notes through RBI on the basis of declaration;
- Till Nov 11 midnight, Hospitals will accept Rs 500 & Rs 1000 notes and on basis of prescription can buy medicines from drug stores on hospital shops;
- Govt buses ticket booking counter, airlines will accept them for booking tickets till Nov 11 midnight;
- Petrol & CNG outlets, crematoriums, international airports will also have leeway to accept Rs 500 & Rs 1000 notes till Nov 11;
- Non-cash transactions (cheques, demand draft, card payments) not to be affected;
- ATMs to be closed on Nov 9 & 10;
- All banks closed on Nov 9 for public transactions