YOU CAN DEPOSIT MORE THAN 5000 ANY NUMEBR OF TIME WITHOUT ANY QUESTION

RBI has changed the Instruction again and has clarified that Limit of Rs 5000 without explanation/ any question and deposit only once till 30.06.2016 is applicable only on Non-kyc compliant account only.

So Now you can deposit any amount without any question exceeding Rs 5000 and no question will be asked from you.Further you can also deposit any number of times.

We have also interpreted the Ministry of Finance notification that it is applicable only on Non -kyc compliant accounts only .But on notification from RBI ,we have to changed our view.

RBI has clarified that Para (i) and (ii) of original circular is only for Non-kyc compliant account and not applicable on KYC compliant Accounts.However All other instruction shall applicable on All type of Accounts.

Para (i) and (ii) of original Notification reproduced as under

Tenders of SBNs in excess of Rs 5000 into a bank account will be received for credit only once during the remaining period till December 30, 2016. The credit in such cases shall be afforded only after questioning tenderer, on record, in the presence of at least two officials of the bank, as to why this could not be deposited earlier and receiving a satisfactory explanation. The explanation should be kept on record to facilitate an audit trail at a later stage. An appropriate flag also should be raised in CBS to that effect so that no more tenders are allowed.

Tenders of SBNs up to Rs 5000 in value received across the counter will allowed to be credited to bank accounts in the normal course until December 30, 2016. Even when tenders smaller than Rs 5000 are made in an account and such tenders taken together on cumulative basis exceed Rs5000 they may be subject to the procedure to be followed in case of tenders above Rs 5000, with no more tenders being allowed thereafter until December 30, 2016.

Now above para are applicable only on Non KYC compliant accounts only.So if your accounts is KYC complaint which generally we have, then you can deposit any amount any number of Times at in your Bank without any explanation.

RBI/2016-17/191

DCM (Plg) No. 1911/10.27.00/2016-17

December 21, 2016

The Chairman / Managing Director/ Chief Executive Officer,

Public Sector Banks/ Private Sector Banks / Foreign Banks/ Regional Rural

Banks / Urban Cooperative Banks/ State Cooperative Banks

Dear Sir,

Withdrawal of Legal Tender Character of existing ₹ 500/- and ₹ 1000/- Bank Notes (Specified Bank Notes) - Deposit of Specified Bank Notes (SBNs) into bank accounts- Modification

Please refer to our circular DCM (Plg) No. 1859/10.27.00/2016-17 dated December 19, 2016. On a review of the above, we advise that the provisions of the above circular at sub para (i) and (ii) will not apply to fully KYC compliant accounts.

2. Please acknowledge receipt.

Yours faithfully,

(P Vijaya Kumar)

Chief General Manager