Prime Minister of India Shri Narendra Modi address to the nation said, 'These notes will only be papers from Wednesday onward' he said in Hindi, adding that the move is to curb circulation of counterfeit notes and fight black-money.
Reserve Bank Of India (RBI) official said 'People who posses currency notes of these denomination can exchange them in banks and head and sub-post offices from 10th November, 2016 to 30th December. 2016 by providing a valid proof or identity such as Aadhar card, PAN card or voters ID card.
After due date these notes having with people have to deposit/accepted only by the Reserve bank of India after submitting a self-declaration.
RBI will replace the existing Old Rs.500 and Rs.1000 notes with New notes circulated from 10th November, 2016 onward. Whereas from midnight i.e on 9th November, 2016 and 10th November, 2016 ATMs will not function and Banks will be closed on 9th November, 2016 for public work.
For instance upto Rs.2000 will be allowed to withdraw from ATMs thereafter Rs.4000 will be enhanced. The withdrawal limit for ATM will eventually be fixed at Rs.10000 per day and Rs.2000 per week.
However, the Government has given relaxation for exchange of these notes at Government hospitals, Medicines, Purchasing railway tickets, Fuel stations and burial grounds.
Airports will make arrangements to inform international travelers that the cash limit is Rs.5000.
Exchange of money through DD, Cheque or Debit/Credit cards is not allowed. This move will not affect on online transactions i.e payment with Credit/Debit cards will continue as usual.
Modi government given a dead line to all the Black money holders to deposit their these existing notes at Banks by providing necessary documents before 31st December, 2016 to control backmoney and Fake notes circulating in the market.