Rs 10,000 penalty for bank branches refusing to exchange soiled notes: RBI

The Reserve Bank of India has clarified that currency notes, which have messages scribbled on it are legal tender. According to the RBI, bank branches that refuse to exchange soiled notes from people will have to pay a penalty of Rs 10,000.

The RBI, however, stated that notes cease to be legal tender if message scribbled on it is political in nature.

According to RBI’s Clean Note Policy 1999, no banks can deny to exchange soiled or mutilated currency notes.
However, there is a restriction in place. The restriction for exchanging soiled notes is that if one exchanges more than 20 notes or notes worth Rs 5,000 in a day, then banks will levy service charges.

What can be the possible questions from above news:
Q1. According to the RBI, bank branches that refuse to exchange soiled notes from people will have to pay a penalty of__________.

Share your answer in the comment section
Source- The Hindu

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