RBI extends deadline to exchange pre-2005 currencies to 31 Dec: Here's how to do it

(Republishing with updates) The Reserve Bank on Thursday extended the deadline for exchanging pre-2005 currency notes of various denominations, including Rs 500 and Rs 1,000, by six months, until 31 December, 2015. The earlier deadline would have expired on June 30. Though you are getting time it’s about time you double-checked the currency notes you handle while making a transaction. In fact, it would even make sense to check the loads of cash you may have shoved under your mattress. [caption id=“attachment_2264710” align=“alignleft” width=“380”] Representational image. AFP[/caption] These notes are being withdrawn as they are old design notes and the central bank doesn’t want currency notes of multiple series in circulation. Though banks have been active in withdrawing majority of such notes at their branches itself, there’s a good possibility that there are many in circulation even today. Here’s a low down what you need to do: Take action: If you have currency notes of any denomination, including Rs 500 and Rs 1000, you should either deposit such notes in your bank account, or exchange at a bank branch. Keep in mind, that these notes can be exchanged at their full value and free of charges. The good news is that the RBI has not given a cutoff date for banks to stop accepting such notes. Until that time, the old notes will continue to be legal tenders. There is also no restrictions on the number of pieces which the banks can exchange. How to identify: These pre-2005 currency notes have less security features, and there are a few ways you can identify such notes. Such notes do not have the year of printing mentioned on the reverse side. While the notes printed post 2005 have the year of their printing mentioned at the middle bottom of their reverse, as well as additional security features which help curb the issues of counterfeit notes to an extent. As per the RBI website, “Members of the public can continue to freely use these notes for their transactions and can unhesitatingly receive these notes in payment, as all such notes continue to remain legal tender.” But, we suggest the sooner you get rid of the old the better it is. If you are unable to exchange these notes at any bank branch till 30 June 2015, you will have to wait to hear for RBI regarding the procedure to follow, as the apex bank is expected to communicate regarding the same in due course of time.