What do banks do with soiled notes?

All banks are authorized to accept soiled banknotes for full value. These notes should be accepted over bank counters in payment of Government dues and for credit to accounts of the public maintained with banks.

What happens to soiled notes?

Notes which have become excessively soiled, brittle or are burnt and, therefore, cannot withstand normal handling can be exchanged only at Issue Office of the RBI.

What is the value of mutilated notes?

Mutilated notes A note is considered mutilated if a portion is missing or it comprises of more than two pieces. According to the rules, for notes valued between ₹1 and ₹20, you can get the full value in exchange if you have at least 50\% of the surface are of the note. If it is less than 50\%, you will not get anything.

What is mutilated note?

A mutilated note is a note of which a portion is missing or which is composed of more than two pieces. Mutilated notes may be presented at any of the bank branches. The notes so presented shall be accepted, exchanged and adjudicated in accordance with Reserve Bank of India (Note Refund) Rules, 2009.

What is the maximum number of notes per deposit?

Upto 200 currency notes can be deposited in a single transaction.

Why do banks accept torn up or dirty notes?

Unlike shopkeepers, banks happily accept our torn up or dirty notes because that value of money is still in the economy. Every currency note has serial numbers embedded in them, which are kept as records with the RBI.

What to do with unfit or destroyed currency?

Unfit currency should not be forwarded to the Department of the Treasury, but may be exchanged at commercial banks. Destroyed paper currency. No relief will be granted on account of lawfully held paper currency which has been totally destroyed.

What happens to paper money that’s no longer in circulation?

Generally speaking, U.S. paper currency that’s no longer fit for circulation is removed from circulation by the Federal Reserve System. However, different fates can befall a bill, and there are different processes for handling money depending on what happened to it.

What should I do if my currency is contaminated?

If you believe that your currency is contaminated, you may be able to deposit it at a commercial bank. Our currency expert advises that you provide as much information as possible about what happened to the note (s). Consult with your local commercial bank branch for further instructions.