The Reserve Bank of India has extended the deadline by 9 months to 1st Jan 2015. RBI has also advised banks to facilitate full exchange of these notes in the time period. The previous deadline by RBI was 1st April 2014.
The notes without a date – or the notes which are printed before 2005 are officially termed as currency and carry full value till 31st Dec 2014. A person is advised to exchange them before the given deadline from the bank. [Check out the list of Top 10 Banks in India]
According to RBI a majority of such notes have been withdrawn and only a few are there in circulation.
How to identify a pre-2005 Indian currency note?
- It’s easy just take a currency note
- Turn to the back side
- Spot the year the note was published at the bottom. Check the image below for an example. (click on the image to enlarge it)
Why is RBI doing this?
- RBI want to eliminate the fake currency in circulation and this move will help them in achieving their goal.
- Also they want to curb black money with this move!
Few people have argued the deadline extension to be an election impact. But RBI governor Raghuram Rajan has mentioned in the press statement that deadline extension is not related to the forthcoming election.