New cash deposit limits: 6 things you need to know about depositing old notes in banks

If you still have old notes worth over Rs 5,000 in your possession and are planning to deposit it, you need to hurry up. The RBI on Monday issued a fresh set of limits for such deposits to check laundering of unaccounted cash using bank accounts.

Under the new curbs, large deposits cannot be made multiple times in bank accounts.

Still confused? Here's the RBI notification decoded:


1) Old bank notes in excess of Rs 5,000 into a bank account can be deposited only once till December 30.

2) Deposits of over Rs 5,000 will be afforded only questioning by 2 bank officials. The questioning of depositor will be made on record and an audit trail will be created for a 'later stage'. A satisfactory explanation on the deposit made would be 'needed'.

3) Even when notes smaller than Rs 5000 are made in an account and such notes taken together on cumulative basis exceed Rs 5,000 they may be subject to scrutiny.

4) No more notes can be deposited after December 30.

5) Full value of notes in excess of Rs 5,000 shall be credited to only KYC compliant accounts and if the accounts are not KYC compliant credits may be restricted up to Rs 50,000 subject to the conditions governing the conduct of such accounts.

6) The curbs are not applicable to notes for the purpose of deposits under the Taxation and Investment Regime for the Pradhan Mantri Garib Kalyan Yojana, 2016.

Also read: You can deposit old notes worth over Rs 5,000 only once now