Image Courtesy: The Hindu Business Line
Currency notes issued before 2005 are to be completely withdrawn from circulation after March 31, as per the Reserve Bank. From April 1, 2014, the public will be required to approach banks for exchanging such notes. One can easily identify such notes as the notes issued before 2005 do not carry the year of printing on the reverse side.The move is aiumed at weeding out black money as the RBI susupects that many such notes are in circulation.
The RBI has also clarified that the notes issued before 2005 will continue to be legal tender, i.e. the banks will continue to exchange the notes for their customers and non-customers.
However, from July onwards, to exchange more than 10 pieces of Rs 500 and Rs 1000 notes, non-customers will have to furnish proof of identity and residence to the bank.